CANADIAN GOVERNMENT ANNOUNCES EMERGENCT RENT SUBSIDY
This afternoon, the Government of Canada announced the new Canada Emergency Rent Subsidy, which will provide rent and mortgage support until June 2021 for qualifying businesses. The rent subsidy would be provided directly to tenants, while also providing support to property owners.
The subsidy would support businesses, charities, and non-profits that have suffered a revenue drop, by subsidizing a percentage of their expenses, on a sliding scale, up to a maximum of 65 per cent of eligible expenses until December 19, 2020. Organizations would be able to make claims retroactively for the period that began September 27 and ends October 24, 2020.
The government also announced:
- A top-up to the Canada Emergency Rent Subsidy of 25 per cent for organizations temporarily shut down by a mandatory public health order issued by a qualifying public health authority, in addition to the 65 per cent subsidy.
- The extension of the CEWS until June 2021, which would continue to protect jobs by helping businesses keep employees on the payroll and encouraging employers to re-hire their workers.
- An expanded Canada Emergency Business Account (CEBA), which would enable businesses, and not-for-profits eligible for CEBA loans—and that continue to be seriously impacted by the pandemic, in addition to the original CEBA loan of $40,000.
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