The Government of Canada has confirmed that certain existing income and business support programs will end on October 23, 2021, as previously announced. This includes the Canada Emergency Wage Subsidy and the Canada Emergency Rent Subsidy. However, as retroactive benefits, businesses can still apply for claim periods up to six months after the period has ended. For example, businesses have until March 24, 2022 to apply for the current claim period of August 29 to September 25, 2021 for the Canada Emergency Wage Subsidy.
In place of these expiring programs, the government is proposing new targeted programs for businesses still struggling with revenue decline:
• Tourism and Hospitality Recovery Program, which would provide support through the wage and rent subsidy programs, to hotels, tour operators, travel agencies, and restaurants, with a subsidy rate of up to 75 per cent.
• Hardest-Hit Business Recovery Program, which would provide support through the wage and rent subsidy programs, would support other businesses that have faced deep losses, with a subsidy rate of up to 50 per cent.
The government intends to introduce legislation to make these programs available until May 7, 2022. The Canada Recovery Hiring Program will also be extended until May 7, 2022 for eligible employers with current revenue losses above 10 per cent and increase the subsidy rate to 50 per cent. The extension would help businesses continue to hire back workers and to create the additional jobs Canada needs for a full recovery.
Full Article: canada.ca
For more information on available COVID-19 business supports, visit our COVID-19: Business Resources page.