CKL BUSINESSES AND SELF-EMPLOYED - OUR TOP 25 LIST OF FINANCIAL SUPPORT, OPTIONS AND RELIEF THAT MAY BE AVAILABLE TO HELP YOU DURING THE CRISIS

Here is a list of financial support, options and relief available to both essential and non-essential businesses and self-employed individuals, if eligible, in the City of Kawartha Lakes, as of April 6, 2020:

[1]      the Canada Emergency Wage Subsidy [75% reimbursement for ongoing wages for essential workers]

Our “Cheat Sheet” about the CEWS is available here: http://wardlegal.ca/31585663827857

[2]      if you do not qualify for the CEWS, apply for the Temporary Wage Subsidy [10%]

Our “Cheat Sheet about this alternative wage subsidy is available here: http://wardlegal.ca/31585663827857

[3]      speak to your broker about potential business interruption insurance coverage; join the contact list for the new class action in Ontario against insurers that have denied this coverage to business owners

More information from us is available here: http://wardlegal.ca/31585663827877

[4]      consider of a “Supplemental Unemployment Benefit Program” may be an option to you, topping up your employees’ EI benefits

More information from us is available here:  http://wardlegal.ca/31585663827859

[5]      the new $40,000 Line of Credit (the Canada Emergency Business Account); interest free

More information from us on this is available here: http://wardlegal.ca/31585663827865

[6]      consider “work-sharing” to reduce hours and/or avoid lay offs

More information from us about this is available here: http://wardlegal.ca/31582887996646

[7]      the new Canada Emergency Response Benefit (the “CERB”); $2,000 monthly

Our “Cheat Sheet” for the CERB is available here: http://wardlegal.ca/31585663827879

[8]      Business Development Bank funding:

The BDC has been given $10 billion from the federal government to assist small and medium-sized business with working capital and financing solutions.

More information from us about this is available here: http://wardlegal.ca/31585663827855

[9]      contact your financial institution for temporary, financial relief (mortgage and business loan deferrals, etc.):

The Bank of Canada has released an additional $300 million in capital to the primary banks, for these objectives:

  • postpone principal payments on mortgages
  • postponement of principal payments for business loans
  • access to additional working capital and loans
  • access to additional credit card limits and other principal postponements

More information from us about this is available here: http://wardlegal.ca/31585663827855

[10]    consider deferring your personal and business credit card payments temporarily

More information from us is available here: http://wardlegal.ca/31585663827867

[11]    consider deferring your corporate fax filings and tax payable, if any

More information from us about this is available here: http://wardlegal.ca/31585663827855

[12]    consider deferring your GST/HST remittances

More information from us about this is available here: http://wardlegal.ca/31585663827855

[13]    consider deferring your personal tax filing and tax payable, if any

More information from us about this is available here: http://wardlegal.ca/31585663827855

[14]    the Ontario-funded, one-time financial support payment for children and families:

They have offered a one-time payment of $200 per child up to 12 years of age, and $250 for those with special needs, including children enrolled in private schools.

They will also provide emergency child care options to support parents working on the front lines, such as health care workers, police officers, firefighters and correctional officers.

More information is available here: https://www.ontario.ca/page/get-support-families?fbclid=IwAR3AY4jo7i0bFZGES5sB58GE2bMloAh-Ta9VHYxFX2Ex28M_12KyJ-alpUE

[15]   the new electricity and energy costs:

They promise more affordable electricity bills for eligible residential, farm and small business consumers, by providing approximately $5.6 billion for electricity cost relief programs in 2020-21.  

They also promise to set electricity prices for residential, farm and small business time-of-use customers at the lowest rate, known as the off-peak price, 24 hours a day for 45 days to support ratepayers in their increased daytime electricity usage as they respond to the COVID-19 outbreak, addressing concerns about time-of-use metering.

The Ontario government represents it will provide $9 million in direct support to families for their energy bills by expanding eligibility for the Low-income Energy Assistance Program (LEAP) and ensuring that their electricity and natural gas services are not disconnected for nonpayment during the COVID-19 outbreak.

[16]  the new Employer Health Tax Exemption:

They will cut taxes by $355 million for about 57,000 employers through a proposed temporary increase to the Employer Health Tax (EHT) exemption.

  • the current exemption is $490,000
  • the 2020 exemption, retroactive to January 1, is increased to 1 million for employers with an annual payroll of less than 5 million

[17]   the new Corporate Tax Credit (Specific Regions):

They will help support communities or regions lagging in employment growth with a proposed new Corporate Income Tax Credit, the Regional Opportunities Investment Tax Credit.

[18]   consider deferring Canada Student Loan repayments for six months

More information from us about this is available here: http://wardlegal.ca/31585663827855

[19]   the reduced minimum Registered Retirement Income Fund [RRIF] withdrawals

[20]   the monthly Guaranteed Annual Income Supplement payments, if eligible, which are now doubled for the next six months

[21]   Ontario proper tax reassessment for 2020 has been deferred to 2021

[22]   Charitable and Non-Profit Organizations:

The Ontario government promises to enhance funding by $148 million for charitable and non-profit social services organizations such as food banks, homeless shelters, churches and emergency services to improve their ability to respond to COVID-19, by providing funding directly to Consolidated Municipal Service Managers and District Social Service Administration Boards who would allocate this funding based on local needs.

[23]   Tax Relief and Other Financial Incentives:

The government's plan also includes measures that will make available $10 billion in support for people and businesses through tax and other deferrals to improve their cash flows over the coming months, including:

  • making available $6 billion by providing five months of interest and penalty relief for businesses to file and make payments for the majority of provincially administered taxes;
  • over $1.8 billion by deferring the upcoming June 30 quarterly municipal remittance of education property tax to school boards by 90 days, which will provide municipalities the flexibility to, in turn, provide property tax deferrals to residents and businesses, while ensuring school boards continue to receive their funding; and
  • making available $1.9 billion by the Workplace Safety and Insurance Board (WSIB) allowing employers to defer payments for up to six months.

[24]   the BIG BANKS:

The Bank of Montreal, CIBC, National Bank of Canada, RBC Royal Bank, Scotiabank and TD Bank have made a commitment to work with personal and small business banking customers on a case-by-case basis to provide flexible solutions to help them manage through challenges such as:

  • pay disruption due to COVID-19; 
  • childcare disruption due to school closures; and
  • those facing illness from COVID-19

This support will include up to a six-month payment deferral for mortgages, and the opportunity for relief on other credit products.

More information is available here: Canada's Six Biggest Banks Take Decisive Action To Help Customers Impacted by COVID-19

https://cba.ca/canada-six-biggest-banks-take-decisive-action-to-help-customers-impacted-by-covid-19


Thank you for reading this - Jason Ward of WARDS LAWYERS PC.

If you would like to read more, please go to wardlegal.ca/posts.

This WARDS LAWYERS PC blog is for general information only. It is not legal advice, or intended to be. Specific or more information may be necessary before advice could be provided for your circumstances.

More information? We're here to help - jason@wardlegal.ca | www.wardlegal.ca