COVID-19 | Governmental Measures

Last update: May 19, 2022, 10:06 a.m.

What You Need to Know

Support for Businesses

Note: Programs application is still possible up to 180 days after end of any given claiming period.

1. Canada Recovery Hiring Program (CRHP) extension: This program is introduced to compensate eligible entities for extra costs incurred for increased wages or hours worked or hiring more staff. It is NOT possible to claim both the CRHP and the CEWS for the same claiming period. Subsidy available provided that the eligible entity has a revenue decline over 0. The program has been extended to May 7, 2022, under the current rules. Note that the subsidy rate for the period ending November 2021 to May 7, 2022 will be increased to 50%.

Periods 23 to 28

50% of the incremental eligible remuneration between October 24 to November 20, 2021 over March 14 to April 10, 2021.
Subsidy available provided that the eligible entity has a revenue decline over 10%.

2. Tourism and Hospitality Recovery Program (THRP):This program is introduced to provide support to the tourism and hospitality sector through a combination of wage and rent subsidy. The subsidy will up to 75% for periods 22 to 26 and 37.5% for periods 27 and 28, provided that businesses have experienced an average monthly revenue reduction of at least 40% over the first 13 qualifying periods for the Canada Emergency Wage Subsidy (12-month revenue decline) AND a current-month revenue loss of at least 40%. The rules applicable under the previous wage and rent subsidy programs would continue to apply for the purposes of calculating the current-month revenue decline.

3. Hardest-Hit Business Recovery Program (HHBRP): This program is introduced to provide support to industries not covered by the THRP. The subsidy will be up to 50% for periods 22 to 26 and 25% for periods 27 and 28, provided that businesses experienced an average monthly revenue reduction of at least 50% over the first 13 qualifying periods for the Canada Emergency Wage Subsidy (12-month revenue decline) AND a current-month revenue loss of at least 50%.

4. Local Lockdown Program: This program is introduced to provide support to organizations subject to a public health order regardless of the sector. The subsidy rate will be the same as for the THRP. Under this program, an organization would not need to demonstrate a 12-month revenue decline but rather only a current-month decline.

Only for periods 24 and 25, the Government is softening the eligibility criterias to include entities where one or more of its locations are subject to a public health order that has the effect of reducing the entity’s capacity at the location by 50% or more and the activities restricted by the public health order accounts for at 50% of the entity’s total qualifying revenues during the prior reference period.

Related: COVID-19 Employers FAQ

The Canada Emergency Business Account (CEBA) will provide interest free loans of up to $60,000 to small businesses and not-for-profits to help cover their operating costs. Eligible organizations are those who paid between $20,000 and $1.5M in total payroll in 2019 OR between $0 and $20,000 (in cases where employees are paid through dividends) as long as the applicant demonstrates having non-deferrable expenses between $40,000 and $1,500,000 in 2020. Between $10,000 and $20,000 would be forgiven if the loan is repaid by December 31, 2023. The loan will be provided by financial institutions and is currently available.

Support for Not-for-Profit Organisations and Charities

The extended Canada Emergency Business Account (CEBA): see Financial and Loan Programs for Businesses and Not-For-Profits section above.
The Canada Recovery Hiring Program (CRHP) is available for Not-for-Profit and Registered Charities. See Support for Businesses section above.

Support for Individuals

Registered Retirement Income Fund (RRIF): minimum withdrawal for 2020 can be reduced by 25% in recognition of volatile market conditions.
Canadian banks will offer mortgage support to Canadians facing financial hardships due to the COVID-19 including flexibility for a mortgage deferral. Contact your financial institution for more information.
The Canada Emergency Response Benefit (“CERB”) which provided a taxable payment of $2,000 per month starting mid March ended on September 26, 2020, although late applications can be filed for the last 4-week period. The CERB is replaced with the programs below:

a. Employment Insurance (EI): with enhanced benefits for 1 year from September 27, 2020:

- Reduction of hours needed to qualify EI to 120 insured hours in the last 52 weeks.
- Minimum pre-tax EI benefit of $500 per week or $300 per week for extended parental benefits.The 52-week period to accumulate insured hours will be extended if you were claiming the CERB.
- This benefit is obtained through Service Canada

b. Canada Recovery Benefit (CRB): available online October 12, 2020

- For those not eligible for EI, applications can be made through the CRA My Account portal for the CRB.
- The CRB will pay $1,000 every 2 weeks ($900 after taxes) for a maximum of 26 weeks.
- Eligibility to the CRB are for those not working for reasons relating to COVID-19 or have had a 50% reduction in average weekly income compared to the previous year due to COVID-19 and meet the following requirements, namely:
  - You reside in Canada with a valid social insurance number
  - You did not apply for or receive the Canada Recovery Sickness Benefit (see below), the Canada Recovery Caregiving Benefit (see below), short term disability benefits, workmen’s’ compensation benefits, EI and Quebec parental leave benefits.
  - You are 15 years old or more when you apply
  - You have not quit your job or reduced your hours voluntarily on or after September 27, 2020
  - You are seeking work either as an employee or in self-employment during the period.
  - You did not turn down reasonable work during the 2-week period being applied for the CRB.
  - You earned a minimum of $5,000 income in the last 12 months, in 2019 or in 2020 from one or more of the following sources:
    - employment income
    - Net self-employment income
    - provincial or federal benefits related to maternity or paternity leave

c. Canada Recovery Caregiving Benefit (CRCB)

- - Applications for the CRCB were available online as of the week of October 4 for the first week period starting September 27, 2020, through the CRA My account portal.
  - The program is available for a total of 26 weeks during the 1-year period ending September 25, 2021. Applications apply for 1 week at a time.
  - The CRCB payment is $500 per week ($450 after taxes withheld).
  - The CRCB is available if you are unable to work at least 50% of your scheduled work week since you are caring for a family member, or
  - You are caring at home for a child under 12 years old and the school, or daycare facility is closed or unavailable due to COVID-19, or
  - You are caring at home for a family member who needs supervised care and the care facility is closed or unavailable due to COVID-19, and the person is sick with COVID-19, self-isolating due to COVID-19 or at risk of serious health complications if they get COVID-19.
  - You did not apply or receive the CRB, the Canada Recovery sickness Benefit, short term disability benefits, workmen’s’ compensation benefits, EI or the Quebec Parental leave benefit.
  - You reside in Canada with a valid SIN and are at least 15 years old and meet the income test described above for the CRB.
  - You are the only one in the household making the claim and are not receiving paid leave from your employer

d. Canada Recovery Sickness Benefit (CRSB)

- Applications for the CRSB were available online as of the week of October 4 for the first week period starting September 27, 2020 through the CRA My Account portal.
- The program is available for a total of 2 weeks during the 1-year period ending September 25, 2021.
- The CRSB provides a benefit of $500 per week for a maximum of 2 weeks.
- You are eligible for the CRSB if you are not eligible to work for at least 50% of your scheduled work week because you are self-isolating since you are sick with COVID-19, were advised to self-isolate or have underlying health condition that puts you at greater risk.
- Many of the other requirements applicable to the CRCB apply here as well.