Federal Government Support for Businesses during COVID-19 Crisis

  • Community Update

Measures for businesses announced by the federal government include:

  • Essentially eliminating the payroll tax for three months by providing a 10% wage subsidy to small businesses – this will keep people employed;
  • Helping businesses with cash flow by deferring tax payments until August 31st;
  • Increase credit available to farmers through Farm Credit Canada.
  • Introducing a new Emergency Care Benefit of up to $900 bi-weekly for up to 15 weeks for self-employed people who are not eligible for EI sickness benefits.

This is builds on their announcements earlier this week to help businesses:

  • A coordinated approach with the financial sector: cutting interest rates to 0.75%, and major banks increasing lending capacity by $300 billion;
  • Establishing a Business Credit Availability Program through BDC and EDC worth $10 billion – this means more short-term loans, working capital, and export insurance-credit so that more Canadian businesses are supported.
  • Enhancing the Work-Sharing Program to help businesses pay wages so they don’t have to lay anyone off;

For more specific information and to find out how to apply, CLICK HERE.