COVID-19 UPDATES:
WAGE SUBSIDY;
In an effort to keep more people working and off of the embattled EI program, Prime Minister Trudeau announced Friday that the Government of Canada would be stepping up its support of the employee wage subsidy. Originally announced at 10% of earnings, the subsidy now is increased to 75%, and is backdated to March 15th under condition that the small or medium sized business applying must be able to demonstrate a loss of 30% of revenues.
Trudeau warns that companies / individuals, who abuse the system will see serious penalties applied. In our shuttered industry this should be an easy demonstration. We were hopeful for more details in Trudeau's update this morning, but the one question relating to the subsidy was shrugged off, despite the fact that more details were supposed to be available yesterday. We'll keep watching and update you as more news comes in on this.
BUSINESS LOANS;
While residential "Rent" for April 1st has been deferred for now, and Mortgage deferrals are also in place through banks and the CMHC, when asked about "LEASING" of property for businesses, Trudeau explained that the available remedy for such situations is the new available Business Loans announced Friday.
The Gov't of Canada is guaranteeing bank loans up to $40,000, with no interest in the first year and under certain conditions $10,000 of the loan may be deemed non-repayable.
GST/HST PAYMENTS as well as IMPORT Taxes and Duties;
GST/HST Payments have been deferred to June, as have any taxes and duties on Imports.
And also on taxes (reminder)....
The Canada Revenue Agency will allow all businesses to defer, until after August 31, 2020, the payment of any income tax amounts that become owing before September 2020. This relief would apply to tax balances due, as well as instalments, under Part I of the Income Tax Act.
