On March 27th, Prime Minister Justin Trudeau announced additional measures to support small businesses dealing with the economic impacts of the COVID-19 pandemic.
These measures will help employers keep employees on payroll, assist both employers and employees pay bills, and help get businesses and individuals get through this difficult time.
Employers can receive:
- Up to 75% wage subsidy for 3 months, backdated to March 15, 2020
Any SME business that has undergone a 30% or more reduction in business revenue is eligible for the 75% employee wage subsidy up to $58,700 or $847 per week. Serious future penalties for any business not providing accurate information. It is the hope / expectation of government that businesses will top the subsidy by the remaining 25%.
- Deferred GST/HST payments until the end of June (equivalent to giving $30B in interest free loans)
- Canada Emergency Business Account to provide interest-free for the first 12-months, up to $40K loans with a possibility of up to $10K forgiven
- SME Loan and Guarantee program that will enable up to $40 billion in lending through EDC and BDC
More details will be rolled out soon.
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