Federal & Provincial Government Support & Programs for Business Related to COVID-19

This document is the first attempt to provide the current status of all federal and provincial programs of support for the economy and businesses in Canada in one place for members. It has evolved significantly over the past two weeks and is likely to continue to evolve and be updated by governments. As such please be sure to click the links provided to all governments for the most updated and available support for your business and ensure you take full advantage of the substantial support available via your respective levels of government. CPCA will assist where it can in exceptional cases related to access to funding, but we have limited resources to take on individual accounts for specific funding support as there will be challenges in accessing certain support in a timely manner. In some cases, various support initiatives already announced are still being defined in terms of benefit and who it applies to in some cases. Further information will be provided via the links provided below. CPCA will also monitor more specific actions taken, new announcements and report on them when they become available.

This resource will be provided on the website and updated as required and members will be altered when updates are made.

We hope the information provided below will assist members in developing a checklist of those support programs that are relevant for your company to access in the coming days.

Please note the resources at the end of this Bulletin that will help companies deal with business disruption, provided by Raymond Chabot Grant Thornton and Deloitte.

 

Federal Support for Business Related to COVID-19

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Resources for Canadian Businesses – COVID-19 Response: https://www.canada.ca/en/services/business/maintaingrowimprovebusiness/resources-for-canadian-businesses.html

NOTE: Please consult the links for ongoing federal government announcements which occur regularly and which may be of benefit to member companies.

Canadian Economic Response Plan

The federal government has announced the following economic relief measures. For more information on Canada’s COVID-19 Economic Response Plan, announced on March 18, 2020, please visit the Department of Finance Canada’s website, here.

Resources for Canadian Businesses

Small and medium-sized businesses are the backbone of the Canadian economy. During this extraordinary time, the Government of Canada is taking strong action to help Canadian businesses as COVID-19 is affecting them, their employees and their families. View all resources here.

Federal Government Support Announced
for Small Businesses in Canada

Canada’s Regional Development Agencies (RDAs) are one of the key platforms for economic development in Canada and help to address key economic challenges by providing regionally tailored programs, services, knowledge and expertise.

FedDev Ontario is closely monitoring the COVID-19 global challenge and the potential impact it could have on business and workers, as well as the broader economy.

 

New measures

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The Government of Canada has announced a number of measures to help stabilize the economy. These measures, delivered as part of the Government of Canada’s COVID-19 Economic Response Plan, will provide up to $27 billion in direct support to Canadian workers and businesses. Support includes:

• Temporary wage subsidies for small businesses;
• Access to credit through the Business Credit Availability Program (BCAP);
• Deferral of income tax payments owing on or after March 18;
• An Insured Mortgage Purchase Program;
• Augmenting credit available to farmers and the agri-food sector through Farm Credit Canada;
• Flexibility in the Canada Account limit to allow for additional support to Canadian businesses in exceptional circumstances;
• Enhancing the Work-Sharing Program to help employers who are experiencing a downturn in business due to COVID-19, and their workers;
• Introducing an Emergency Care Benefit to provide income support to workers who must stay home and do not have access to paid sick leave;
• Introducing an Emergency Support Benefit to support workers who are not eligible for EI and are facing unemployment.

 

Federal Announcement for Small Businesses
Announced on March 27, 2020

NOTE: This is separate from the eligibility all workers currently have to access Employment Insurance programs when temporarily laid off and can access up to 55% of their salary. The announcement below allows access to 75% of current earnings up to a maximum of approximately $58,000.

While the announcement below is for small business it may apply to ALL businesses in Canada that qualify. Current details note that businesses can qualify if experiencing a 30 percent reduction in current business. It applies as noted below.

Announcement of  a 75 per cent wage subsidy for qualifying businesses, for up to 3 months, retroactive to March 15, 2020. This will help businesses to keep and return workers to the payroll. More details on eligibility criteria will start with the impact of COVID-19 on sales, and will be shared before the end of the month.

• Allow businesses, including self-employed individuals, to defer all Goods and Services Tax/Harmonized Sales Tax (GST/HST) payments until June, as well as customs duties owed for imports. This measure is the equivalent of providing up to $30 billion in interest-free loans to Canadian businesses. It will help businesses so they can continue to pay their employees and their bills, and help ease cash-flow challenges across the country.
• Launch the new Canada Emergency Business Account. This program will provide up to $25 billion to eligible financial institutions so they can provide interest-free loans to small businesses. These loans – guaranteed and funded by the Government of Canada – will ensure that small businesses have access to the capital they need, at a zero per cent interest rate, so they can pay for rent and other important costs over the next number of months.
• Launch the new Small and Medium-sized Enterprise Loan and Guarantee program that will enable up to $40 billion in lending, supported through Export Development Canada and Business Development Bank, for guaranteed loans when small businesses go to their financial institutions to help weather the impacts of COVID-19. This is intended for small and medium-sized companies that require greater help to meet their operational cash flow requirements.

These new investments will help Canada’s financial institutions provide the credit and liquidity options that a range of Canadian businesses need immediately.

The Government of Canada understands that some sectors have been disproportionally impacted by the COVID-19 pandemic. We will continue to carefully monitor all developments, and take further action in the near term. We’re all in this together, and the Government of Canada will continue to work around the clock to ensure all Canadians and small businesses get the support they need to weather this crisis.

Quick Facts

• The deferral to June of GST/HST payments, as well as customs duties owing on imports, will generally apply to remittances that become due in March, April, and May. These amounts would normally have been due to the Canada Revenue Agency and the Canada Border Services Agency as early as the end of this month. This measure will take effect immediately, through existing authorities.
• The Canada Revenue Agency is introducing a series of administrative measures to remove some of the burden on businesses experiencing financial hardship.
• The new Canada Emergency Business Account will provide funding to eligible financial institutions so that they can provide interest-free loans in the form of lines of credit of up to $40,000 to businesses with payrolls of less than $1 million. A quarter of this loan (up to $10,000) is eligible for complete forgiveness.
• The new Small and Medium-sized Enterprise Loan and Guarantee program will operate as follows:
  • Export Development Canada will provide guarantees to financial institutions so that they can issue new operating credit and cash flow term loans of up to $6.25 million to small and medium-sized businesses. These loans will be 80 per cent guaranteed by Export Development Canada, to be repaid within one year.
  • Small and medium-sized businesses can also get support through a new Co-Lending Program that will bring the Business Development Bank of Canada together with financial institutions to co-lend term loans to these businesses for their operational cash flow requirements. Eligible businesses may obtain incremental credit amounts of up to $6.25 million through the program, which will be risk-shared at 80 per cent between the Business Development Bank of Canada and the financial institutions. Eligible financial institutions will conduct the underwriting and funding directly for customers.
• The government has already introduced several measures to support businesses affected by COVID-19:
  • Providing eligible small employers a temporary wage subsidy for a period of three months. The subsidy will be equal to 10 per cent of remuneration paid during that period, up to a maximum subsidy of $1,375 per employee and $25,000 per employer. Businesses will be able to benefit immediately from this support by reducing their remittances of income tax withheld on their employees’ remuneration.
  • Extending the maximum duration of the Work-Sharing program, from 38 weeks to 76 weeks, for workers who agree to reduce their normal working hours because of developments beyond the control of their employers.
  • Establishing a Business Credit Availability Program, largely targeted to small and medium-sized businesses, through the Business Development Bank of Canada and Export Development Canada. These organizations are working closely with private sector lenders to coordinate on credit solutions for individual businesses, including in sectors such as oil and gas, air transportation, and tourism.
  • Increasing credit available for farmers and the agri-food sector through Farm Credit Canada.
  • Deferring the payment of income taxes. The government is allowing all taxpayers to defer, until after August 31, 2020, the payment of income tax amounts owed on or after March 18 and before September 2020. This relief would apply to tax balances due, as well as instalments, under Part I of the Income Tax Act. No interest or penalties will accumulate on these amounts during this period.

 

Related Product

• Additional support for Canadian businesses from the economic impact of COVID-19

 

Associated Links

• Prime Minister outlines Canada’s COVID-19 response
• Government of Canada takes action on COVID-19
• Canada outlines measures to support the economy and the financial sector

 

Export Development Canada (EDC)

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Canada Account business support

• The Minister of Finance will now be able to determine the limit of the Canada Account in order to deal with the COVID-19 outbreak. The Canada Account is used to support exporters when necessary and in the national interest. Exporters can receive support through loans, guarantees or insurance policies.
• Announced on March 18, 2020. EDC’s Coronavirus Campaign website may be found here. To contact EDC directly, call 1-800-229-0575 or e-mail tradeadvisor-conseiller@edc.ca

 

Business Credit Availability Program

• The Business Credit Availability Program (BCAP) is targeted at small and medium-sized businesses. It will provide more than $10 billion in support.
• The program is a collaboration between EDC, the Business Development Bank of Canada (BDC), and private sector lenders. The goal is to provide credit solutions for individual businesses in sectors such as oil and gas, air transportation, and tourism.
• Announced on March 13, 2020. EDC’s Coronavirus Campaign website may be found here. To contact EDC directly, call 1-800-229-0575 or e-mail tradeadvisor-conseiller@edc.ca

 

Farm Credit Canada (FCC)

• On March 23, 2020, the Prime Minister announced that the FCC has received an enhancement to its capital base that will allow for an additional $5 billion in lending capacity.
• Initially, the focus will be on assisting the industry in addressing cash flow challenges so that businesses can remain focus on business-critical functions.
• The FCC is asking existing customers who have financial concerns to contact the organization to discuss alternatives.
• For more information, see the FCC news release of March 23, 2020. To contact the FCC Customer Service Centre, call 1-888-332-3301.

 

Office of the Superintendent of Financial Institutions (OSFI)

• OSFI announced in a press release on March 13, 2020, that it has taken a number of actions to build resilience of federally regulated financial institutions during the COVID-19 crisis. These measures include:
• Lowering the Domestic Stability Buffer by 1.25% of Risk Weighted Assets, effective immediately;
• Suspending consultation on the minimum qualifying rate for uninsured mortgages; and
• Reviewing its supervisory and regulatory priorities to align with current conditions.

 

Bank of Canada

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Broadening of eligible collateral liquidity facility

• On March 18, 2020, the Bank of Canada announced the following interventions, which are effective immediately:
• Providing liquidity on a daily basis to participating financial institutions in the payments systems operated by Payments Canada under its Standing Liquidity Facility (SLF). Loans made by the Bank of Canada must be fully collateralized.
• Allowing Large Value Transfer System (LVTS) participants to assign 100 per cent of their non-mortgage loan portfolio (NMLP) as pledged collateral for the SLF, giving institutions greater flexibility in managing their collateral.
• LVTS participants who do not use their NMLP will be able to hold up to 100% of their pledged collateral for the SLF in securities that are currently subject to concentration limits.
• The Bank of Canada has also lowered its target for the overnight rate by 50 basis points to 0.75%, effective Monday, March 16, 2020.
• For more information, see the Bank of Canada’s Market Notice of March 18, 2020.

 

Broadening of eligible collateral under term repo facility

• On March 16, 2020, the Bank of Canada announced that it is broadening eligible collateral for its term repo facility to include the full range of collateral eligible under the Standing Liquidity Facility, as well as own-name covered bonds. This change was effective immediately.
• For more information, see the Bank of Canada’s Market Notices of March 16 and March 18, 2020.

 

Support to Canada mortgage bond market

• On March 16, 2020, the Bank of Canada announced that it stands ready, as a proactive measure, to provide support to the Canada Mortgage Bond (CMB) market so that this important funding market continues to function well. This may include purchases of CMBs in the secondary market, similar to the increase in Government of Canada bond buybacks. Further operational details, including the effective date, will follow.
• For more information, see the Bank of Canada’s Market Notice of March 16, 2020.

 

Bank of Canada’s bond buyback program

• On March 18, 2020, the Bank of Canada announced:
  • A switch buyback operation on Thursday, March 19th in the 10-year sector.
  • A switch buyback operation on Monday, March 23rd in the 5-year sector.
  • A switch buyback operation on Wednesday, March 25th in the 30-year sector.
  • The Bank will announce the specific operational details (e.g., timing and maximum size of a replacement Bond and Buyback basket) ahead of each operation through its regular Call for Tenders process.
• For more information, see the Bank of Canada’s Market Notice of March 18, 2020.

 

Bank of Canada’s Banker’s Acceptance Purchase Facility (BAPF)

• Beginning on March 23, 2020, the Bank of Canada will conduct secondary market purchases of one-month Bankers’ Acceptances issued and guaranteed by any Canadian bank of sufficiently high quality.
• For more information, see the Bank of Canada’s Market Notice of March 18, 2020, or the BAPF Operational Details.

 

Canada Mortgage and Housing Corporation (CMHC)

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Insured Mortgage Purchase Program

• Under this program, announced on March 16, 2020, the government will purchase up to $50 billion of insured mortgage pools through CMHC. This will provide stable funding to banks and mortgage lenders, so they can continue to lend to Canadian consumers and businesses. Details of the terms of the purchase operations are forthcoming.
• For more information, see CMHC’s press release of March 16, 2020.

 

Canada Revenue Agency (CRA)

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Helping Businesses Keep Their Workers Wage Subsidy

• On March 18, 2020, Prime Minister Trudeau announced a “Helping Businesses Keep Their Workers Wage Subsidy”. This is targeted at small businesses, non-profits, and charities.
• This program is designed to support businesses that are facing revenue losses and to help prevent lay-offs. The wage subsidy proposed will be equal to 10% of remuneration paid during that period, up to a maximum subsidy of $1,375 per employee and $25,000 per employer.
• Businesses will be able to benefit immediately from this support by reducing their remittances of income tax withheld on their employees’ remuneration.
• Eligible employers include non-profit organizations, corporations eligible for the small business deduction (i.e. Canadian-controlled private corporations) and registered charities.
• For more information, see the Department of Finance Canada’s press release of March 18, 2020.

 

Flexibility for business tax filings

• As announced on March 18, 2020, the federal government’s COVID-19 Response Plan contains measures that will allow businesses to defer the payment of any income tax that becomes owing between March 18, 2020, and August 31, 2020, until September 1st, 2020. Interest and penalties will not apply or be computed to these unpaid tax balances during this period.
• This measure will apply to both monthly instalments and year-end tax balances due under Part I of the Income Tax Act.
• The CRA will temporarily suspend audit interactions with taxpayers and their representatives. The CRA will also refrain from initiating any post-assessment GST/HST or income tax audits with small or medium-sized businesses for the next four weeks. No collection activities will be initiated on new debts until further notice, and the CRA undertakes to make flexible payment arrangements available
• For more information, see the Department of Finance Canada’s press release of March 18, 2020.

 

Extending the Work-Sharing program

• The Work-Sharing program is provided for workers who agree to reduce their normal working hours because of developments beyond the control of their employers. The federal government is extending the maximum duration of the Work-Sharing program from 38 to 76 weeks.
• For more information, see the Government of Canada’s “Support to Businesses” webpage. Applications can be made here.

 

Support for people facing unemployment

• This benefit replaces the Emergency Care Benefit and the Emergency Support Benefit that were announced by the Department of Finance Canada’s press release of March 18, 2020. From now on, the federal government will provide a taxable benefit of $2,000 a month for up to 4 months. The benefit will be available to the following individuals:
  • Workers who do not have access to income support and who must stop working due to COVID-19;
  • Working parents who must stay home without pay to care for children that are sick or need additional care because of school and daycare closures;
  • Workers who are sick, quarantined, or taking care of someone who is sick with COVID-19;
  • Workers who still have their employment but are not being paid because their employer has asked them not to come to work since there is not sufficient work;
  • Wage-earners and self-employed individuals, including contract workers, who would not otherwise be eligible for Employment Insurance.
• For more information, see the Government of Canada’s “Support for Individuals” webpage. Application details will be available through My CRA and My Service Canada, beginning the first week of April.

 

Income support for individuals

• The response plan also includes certain measures to boost assistance to low and modest-income families through $7.5 billion of additional payments which will be made under existing benefit programs.
• This includes a one-time special payment of a GST/HST credit to be paid by early-May, and an increase to the maximum annual Canada Child Benefit (CCB) of $300 per child for the 2019-2020 benefit year. This is expected to be paid as part of the May 20, 2020, CCB payment date.
• In recognition of the volatility in stock market conditions, the Response Plan also includes a measure to reduce required minimum withdrawals from Registered Retirement Income Funds (RRIFs) by 25% for 2020, to provide flexibility to annuitants who might otherwise be forced to liquidate investments to meet minimum RRIF withdrawal requirements. The Response Plan also notes that similar rules will apply to individuals who are receiving variable benefit payments under defined contribution registered pension plans. Please note that on March 25, 2020, the federal government passed legislation reducing this 2020 RRIF Minimum Payment by 25%.
• While the Response Plan contemplates expanding the tools that the Canada Mortgage and Housing Corporation (CMHC) and other mortgage insurers offer to lenders to increase flexibility for homeowners to defer mortgage payments on CMHC-insured mortgage loans, there is no suggestion that the Government of Canada intends to introduce measures to defer repayments of amounts withdrawn from registered retirement savings plans under the home buyers’ plan.
• For more information, see the Department of Finance Canada’s press release of March 18, 2020.

 

Flexibility for taxpayers

• The CRA will defer the filing due date for 2019 tax returns until June 1, 2020, for individuals, and until May 1, 2020, for trusts having a taxation year ending on December 31, 2019.
• Any income tax that becomes owing by the taxpayers between March 18, 2020, and August 31, 2020, under Part I of the Income Tax Act (ITA) will be deferred until September 1st, 2020.
• To reduce the administrative burdens, the CRA will recognize electronic signatures as having met the signature requirements of the ITA on a temporary basis.
• For more information, see the Department of Finance Canada’s press release of March 18, 2020.

 

Support for students

• The Government of Canada is placing a six-month interest-free moratorium on the repayment of Canada Student Loans for all student loan borrowers. During this period, no payment will be required and interest will not accrue.
• For more information, see the Government of Canada’s “Support for Individuals” webpage.

 

Support for vulnerable populations

• The federal government will provide:
• $305 million for a new distinctions-based Indigenous Community Support Fund;
• $157.5 million to the Reaching Home initiative;
• $50 million to women’s shelters and sexual assault centres.
• For more information, see the Government of Canada’s “Support for Individuals” webpage.

 

Flexibility for registered charities

• The filing deadline for all charities with a Form T3010, Registered Charity Information Return, due between March 18, 2020, and December 31, 2020, is postponed to December 31, 2020.

 

Tax Court of Canada

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The Tax Court of Canada has cancelled all sittings and conference calls scheduled between March 16, 2020, and May 1, 2020, inclusively. The Court will reassess on April 14, 2020. The Registry will contact affected parties directly. The Registry offices of the Tax Court of Canada are closed for all other business until further notice.

Canadian Sales Taxes (GST/HST/QST, and PST of British Columbia,
Saskatchewan and Manitoba)

The Government of Canada and the Government of Quebec have yet to announce relief measures from a sales tax perspective for GST/HST/QST for registrants who are directly impacted by the COVID-19 pandemic. This means that every person who is registered for GST/HST/QST purposes must act with diligence in filing their sales tax returns, and meet any applicable deadlines despite the hardship caused by the COVID-19 pandemic.

Each of British Columbia, Manitoba, and Saskatchewan have announced certain relief measures with respect to PST in the respective provinces. Please see the detailed discussion below for additional information on specific PST measures.

 

Canada Border Services Agency

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• Customs Notice 20-08 provides information on the relief of duty and taxes for goods required for an emergency (as defined in the Goods for Emergency Use Remission Order (C.R.C., c. 768)) (the “Order”) and imported by or on behalf of federal, provincial or municipal entities, as well as by or on behalf of members of first response organizations, such as police, fire, and local civil defence groups including medical response teams. Other parties are not eligible for this relief. As these goods are required on site quickly, the CBSA will endeavour to expedite the clearance when possible.

As a result, this notice is likely to have limited impact for non-government entities, including most private importers, unless they have registered to import goods required for an emergency on behalf of federal, provincial, or municipal entities (such as masks, personal protective equipment, ventilators, hand-sanitizing gel, etc.) To apply for relief of duty and taxes, the importer must fill out a Form B3-3 and enter special authorization code “73-2529” in field 26 and “9993” in field 28. No security deposit will be collected.

• Customs Notice 20-09, issued March 18, 2020: effective immediately, the usual 90 day period for submitting corrections following a CBSA trade compliance verification where errors were found has been extended by 30 days (for a total of 120 days). No end date for these measures has been announced and it is likely that it will continue for the duration of the emergency.
• Customs Notice 20-11, issued March 27, 2020: for the extension of timeframes for the payment of customs duties and GST. As of now, the all payments due to the CBSA (including customs duties and GST on regular imports, re-assessments, penalties, etc.) are extended to June 30, 2020. This also includes charges on the statement of account of March due on April 1, 2020. Importers are still obligated to submit accounting declarations for imported goods released on minimum documentation within prescribed timeframes.
• Customs Notice 20-10, issued March 29, 2020: for transactions released by the CBSA from March 11, 2020 to May 14, 2020, importers will receive a 45-business-day grace period for late accounting penalties. Importers will not need to submit individual applications to have late accounting penalties waived for this period. The grace period is subject to review as matters evolve, and an update will be posted if it is extended.

 

Provincial Government Announcements Related to COVID-19

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NOTE: Please consult the links for each Province highlighted in red below, as new announcements occur regularly that may be of benefit to member companies.

   ONTARIO

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Ontario has declared a provincial state of emergency under the province’s Emergency Management and Civil Protection Act. For more information about this legislation and the government’s powers under it, see our “explainer”, here.

On March 17, 2020, the provincial Cabinet promulgated three Orders in Council. These closed certain establishments and prohibited gatherings of greater than 50 people. On March 25th, the Ontario Minister of Finance announced Ontario’s Action Plan: Responding to COVID-19. The programs outlined in this action plan are included below.

COVID-19 contingency fund

• The Minister of Finance announced on March 25, 2020 that the provincial government is committing to a dedicated $1.0 billion COVID-19 contingency fund for emerging needs related to the COVID-19 outbreak.
• For more information, see the Government of Ontario’s news release of March 25, 2020.

 

Health sector relief

• The Minister of Finance announced on March 25, 2020 that the provincial government is investing $935 million for the hospital sector. This includes $594 million to address capacity issues, as well as $341 million for an additional 1,000 acute care and 500 critical care beds.
• The Minister of Finance also announced increased public health funding by $160 million to support COVID-19 monitoring, surveillance, and laboratory and home testing, while also investing in virtual care and Telehealth Ontario.
• The province is investing $243 million to increase surge capacity in the long-term care sector, fund 24/7 screening, send more staffing to support infection control, and provide supplies and equipment.
• The province is investing $75 million to supply personal protective equipment and critical medical supplies to front-line staff.
• For more information, see the Government of Ontario’s news release of March 25, 2020.

 

Support for individual and jobs

The Minister of Finance also announced that the Government of Ontario is providing $3.7 billion for individuals and job protection. This includes:

• A one-time payment help families pay for the extra costs associated with school and daycare closures during the COVID-19 outbreak. The Government of Ontario will provide 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;
• Doubling the Guaranteed Annual Income System (GAINS) payment for low-income seniors for six months;
• Support 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. See the “electricity rate relief” section below for details;
• Cutting taxes by $355 million for about 57,000 employers through a proposed temporary increase to the Employer Health Tax (EHT) exemption;
• Providing $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;
• Emergency child care options to support parents working on the front lines;
• Expanding access to Ontario Works to help more people meet basic needs such as food and rent;
• Enhancing funding by $148 million for charitable and non-profit social service organizations;
• Providing six months of OSAP loan and interest accrual relief for students;
• Proposing a new Corporate income tax credit, the “Regional Opportunities Investment Tax Credit”, to help try to support employment growth;
• Providing an additional $26 million to indigenous peoples and communities, including emergency financial assistance and health care;
• For more information, see the Government of Ontario’s news release of March 25, 2020.

 

Supporting businesses to improve cash flow

• The Minister of Finance announced on March 25, 2020 the Government of Ontario will be making available $6 billion by providing five months of interest and penalty relief for businesses to file and make tax payments.
• Over $1.8 billion will be made available to businesses by deferring the upcoming municipal remittance of education property tax.
• $1.9 billion will be devoted to the Workplace Safety and Insurance Board (WSIB), allowing employers to defer payments.
• For more information, see the Government of Ontario’s news release of March 25, 2020.

 

New legislation protecting workers

• Ontario recalled its provincial legislature on March 19, 2020. The legislature unanimously passed the Employment Standards Amendment Act (Infectious Disease Emergencies), 2020 to provide “job-protected leave” to workers during the COVID-19 crisis.
• The legislation provides job-protected leave for employees who are in isolation or quarantine due to COVID-19, or employees that need to be away from work to care for children or relatives.
• The legislation is retroactive to January 25, 2020. The legislation is clear that employees cannot be required to show sick notes.
• Note that “emergency leave” is already available to many Ontario workers under s. 50.1 of the Employment Standards Act. For more information, see our blog post, here.
• For more information about the legislation, see the Government of Ontario’s news release of March 19, 2020.

 

New legislation ensuring the delivery of goods

• On March 19, 2020, the legislature also passed the Municipal Emergency Act, 2020, ensuring that delivery of goods to Ontario’s businesses and consumers is not impacted by municipal noise by-laws.
• The legislation also gives municipalities the ability to fully conduct Council, local board and committee meetings electronically in emergencies.
• For more information, see the Government of Ontario’s news release of March 19, 2020.

 

Front-line justice services

• On March 19th, the Ontario Attorney General announced that Ontario courts and tribunals are limiting in-person proceedings and making use of audio and video conferencing to hear priority matters remotely.
• Critical matters such as criminal and child protection proceedings are prioritized.
• All in-person proceedings are postponed and will be rescheduled at a later date, including:
• The Local Planning Appeal Tribunal, Landlord and Tenant Board, and Human Rights Tribunal of Ontario;
• The Superior Court of Justice, except for urgent matters;
• The Small Claims Court;
• All Provincial Offences Act hearings; and
• The Court of Appeal, except for urgent appeals.
• For more information, see the Ministry of the Attorney General news release of March 19, 2020.

 

Municipal measures

• On March 20, 2020, the Mayor of Toronto announced municipal tax relief measures. These measures provide businesses and property owners with a 60-day grace period on their City of Toronto property tax, Toronto Water, and Solid Waste bill payments, as of March 16, 2020. Additionally, late payment penalties on business properties will be waived for 60 days, starting on March 16, 2020.
• For property owners on the 11-instalment pre-authorized payment plan, Interim 2020 instalment due dates will be extended by 60 days. Late payment penalties for residential properties will be waived for 60 days, starting March 16, 2020.
• For more information, see the City of Toronto website or Municipal Tax Measures Summary Hub – COVID-19.

 

$200 million social services relief funding

• The province will be providing municipalities and organizations that administer social services with $200 million in relief funding to support them in their response to COVID-19. The funding will help municipalities and social service providers continue to deliver critical services and promote social distancing and self-isolation.
• For more information, see the Government of Ontario’s news release of March 23, 2020.

 

Specifics of electricity rate relief to families and small businesses

• The Government of Ontario is providing immediate electricity rate relief for families, small businesses and farms paying time-of-use (TOU) rates.
• The Government of Ontario is working to suspend TOU electricity rates for a 45-day period, holding electricity prices to the off-peak rate of 10.1 cents-per-kilowatt-hour.
• The discount is applied automatically to electricity bills and is effective immediately.
• For more information, see the Government of Ontario’s news release of March 24, 2020.

 

   QUEBEC

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Temporary Aid for Workers Program (PATT COVID-19)

• Announced on March 17, 2020, this program grants a lump sum of $573 per week to an eligible person, for a period of 14 days of isolation. If justified, the coverage period could be extended to a maximum of 28 days.
• Beginning on March 19, 2020, workers could apply to PATT COVID-19 if they were (or are) in isolation because they had contracted the virus or are showing symptoms, had been in contact with an infected person or had returned from abroad.
• Workers are not eligible if:
• They are being compensated by their employer;
• They have private insurance;
• They are covered by another government program, including federal employment insurance.
• For more information, see the Government of Québec’s “PATT COVID-19” website. Applications can be made here.

Flexibility measures for individuals and businesses

• The deadline for individuals for filing provincial income tax returns for the 2019 taxation year is postponed to June 1, 2020, from April 30, 2020.
• For individuals and individuals in business, the deadline to pay any balances due related to income tax returns for the 2019 taxation year is postponed to September 1, 2020.
• The deadline to make instalment payments for the 2020 taxation year is postponed to September 1, 2020.
• The deadline to pay any Québec Pension Plan, Québec Parental Insurance Plan, Health Service Fund, and Québec drug insurance plan contributions for the 2019 taxation year is postponed to September 1, 2020.
• The minimum withdrawal by annuitants from their registered retirement income funds (RRIFs) is reduced by 25% for 2020.
• The deadline for businesses to pay tax instalments and the balance of tax otherwise due between March 18, 2020, and September 1, 2020, is suspended until September 1, 2020.
• The deadline to file a trust return will be postponed to May 1, 2020, for trusts (other than Specified Investment Flow-Through Trusts (SIFT)) whose tax return filing-due date, for the 2019 taxation year, is March 30, 2020.
• The deadline for a trust (other than a SIFT) to pay any balance of tax otherwise due no later than March 30, 2020, for the 2019 taxation year will be postponed to September 1, 2020 (Note that the March 19th press release applies the September 1 deadline to “individuals”, which we interpret to include trusts; in the alternative, the due date is August 31, 2020).
• The payment of tax instalments and the balance of tax otherwise due by SIFTs between March 17, 2020, and September 1, 2020, will be postponed to September 1, 2020 (Note that the March 19 press release applies the September 1 deadline to “businesses”, which we interpret to include SIFTs; in the alternative, the due date is August 31, 2020).
• Partnerships that had to file a Partnership Information Return (form TP-600-V) for 2019 by March 31, 2020, now have until May 1, 2020, to file the return.
• The payment of tax instalments and the balance of tax otherwise due by specified investment flow-through partnerships between March 17, 2020, and September 1, 2020, will be postponed to September 1, 2020(Note that the March 19 press release applies the September 1 deadline to “businesses”, which we interpret to include partnerships; in the alternative, the due date is August 31, 2020).
• To limit in-person contact, Revenu Québec will allow tax preparers to use an electronic signature on certain forms. The forms in question are form TP-1000.TE-V (for individuals) and form CO-1000.TE (for corporations).
• Revenu Québec will also limit its audits and collection activities. Concerning collection measures, Revenu Québec has indicated that it will be amenable, on a case-by-case basis, to extending payment agreements.
• For more information, see the Minister of Finance’s March 18th Press Releaseand a March 19th Press Release and the Ministry of Finance’s Bulletins 2020-3 and 2020-4

Municipal measures

• Announced on March 19, 2020, by the Mayor of Montréal, the owners of residential and commercial properties will have an extra month to make their second instalment of property taxes so that the deadline is postponed from June 1, 2020, to July 2, 2020. Also, effective March 19, 2020, private and social economy businesses who have received a loan through the PME MTL fund, Fonds Locaux de Solidarité, and Fonds de commercialisation des innovations will benefit from an automatic, six-month moratorium on capital and interest. The City will pay interest during this period. In addition to measures taken by the provincial and federal government, the City of Montréal is placing $5 million in an assistance fund for businesses to support targeted industries such as commerce, social economy and arts/creative industries.
• For more information, see the City of Montréal’s press release of March 21, 2020.
• Announced on March 20, 2020, for Québec City businesses and individuals:
• May 4, 2020, municipal tax payment has been postponed to August 4, 2020;
• July 3, 2020, municipal tax payment has been postponed to September 3, 2020; and
• September 3, 2020, municipal tax payment has been postponed to November 3, 2020.
• Québec City will process all cheques on the appropriate date and for taxpayers who have agreed to pre-authorized payments over 12 months with interest, the City will hold to the agreed direct debit and will adjust the costs downward for the last payment in February 2021.
• For more information, see Québec City’s press release of March 20, 2020.
• For more information regarding other municipal measures, see the press releases of the City of Laval, Longueuil and Lévis (in French only).

Student loans repayment deferral

• The Government of Québec announced that it is postponing the student loan debt repayments. According to this measure, individuals who have loan debt repayment will not have to make any payment during the next six months.
• Interest will not accrue during this period. Furthermore, students do not need to apply for the repayment deferral. This measure automatically applies to all Aide financière aux études
• For more information, see the Government of Québec’s “Repayment of a student loan” web page.

$2.5 billion program to help businesses

• The Government of Québec announced the Programme d’action concertée temporaire pour les entreprises (PACTE). The government is committing at least $2.5 billion to help companies overcome liquidity issues connected to the pandemic. This program is intended to support business’ working capital to help them continue operations. All industries will be eligible for this emergency program. Businesses will have to demonstrate that they are likely to be profitable after the crisis. The financial assistance is a minimum amount of $50,000, provided in the form of a loan guarantee, but may also take the form of a loan.
• For more information, see the Government of Québec’s “Financial assistance for Quebec businesses” website (in French only). Investissement Québec is currently evaluating requests for financial assistance. To make a request, visit Investissement Québec’s website (in French only).

Loans and loan guarantees

• In order to support businesses affected by the impacts of COVID-19, flexibility for outstanding loans and loan guarantees are being put in place by the Fonds local d’investissement (“FLI”).
• A three-month moratorium has been put in place for the repayment (principal and interest) of loans already granted through the FLI. Interest accrued during this period will be added to the loan balance. This measure is in addition to the moratorium already in place under most investment policies in effect, which can be as long as twelve months.
• For more information, see the Government of Québec’s “Ministère de l’Économie” website (in French only).

Hydro-Québec measures

• On March 22, 2020, Hydro-Québec announced that, starting March 23, 2020, it will suspend the application of charges for unpaid invoices for all its customers (individuals and businesses) until further notice. Customers who expect to have difficulties paying their bill are invited to make a payment arrangement with Hydro-Québec.
• For more information, see Hydro-Québec’s website. The payment arrangement can be here.

     BRITISH COLUMBIA

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Review of federal programs

• On March 18, 2020, the Premier of British Columbia announced that the provincial government will conduct a full review of the federal support package as it works on the details of the province’s own plan.
• The Premier has committed to “expand on the federal government’s efforts to offer immediate relief for people and businesses, and build our longer-term plan for economic recovery in collaboration with the business community”.

Changes to the Employment Standards Act

• On March 17, 2020, the Premier of British Columbia announced that the government is looking to amend B.C.’s employment standards act to enable greater worker support.

Specific relief to the agricultural sector

• On March 22, 2020, the Minister of Agriculture announced that they are working with the Federal Government to insure seasonal labour can still enter Canada to support the agriculture industry.
• In addition, the Minister of Agriculture stated that it will be providing financial support to develop an operating model for a farmer’s market better suited to times of a pandemic.
• For more information, please see the Minister of Agriculture’s press release of March 22, 2020.

B.C. Emergency Benefit for Workers

• The B.C. Emergency Benefit for Workers program provides a one-time $1,000 payment to people who lost income because of COVID-19.
• Residents of B.C. who receive federal Employment Insurance or the new Canada Emergency Response Benefit (replacing the federal Emergency Care Benefit and the federal Emergency Support Benefit) are eligible or, if the workers are not eligible for these benefits, based on certain criteria such as lay-offs, self-employment, voluntary quarantine, etc.
• Applications will open in April 2020, and the one-time payment will be made in May 2020.
• For more information, please see the Government of British Columbia’s “Financial Supports in Response to COVID-19” website.

Climate action tax credit

• In July 2020, a one-time enhancement to the climate action tax credit will be paid for moderate to low-income families. Adults receive up to $218.00, and children receive $64.00.
• For more information, please see the Government of British Columbia’s “Financial Supports in Response to COVID-19” website.

Funding for housing supports

• Funding for housing supports is increased to ensure people can maintain their housing in the event of job or income loss. Further, B.C. housing has temporarily suspended evictions of tenants in subsidized and affordable housing due to non-payment of rent.
• For more information, please see the Government of British Columbia’s “Financial Supports in Response to COVID-19” website.

B.C. monthly bills and student loan payments

• C. Hydro customers can defer bill payments or arrange for flexible payment plans with no penalty.
• Grants up to $600 are available to B.C. Hydro customers experiencing job loss, illness or lost wages due to COVID-19. These grants are available through the Customer Crisis Fund.
• Insurance Company of British Columbia (ICBC) customers on a monthly payment plan who are facing financial challenges due to COVID-19 may defer their payment for up to 90 days with no penalty.
• Starting March 30, 2020, B.C. student loan payments are automatically frozen for six months.
• For more information, please see the Government of British Columbia’s “Financial Supports in Response to COVID-19” website.

Tax relief for businesses

• The Government of British Columbia is extending filing and payment deadlines until September 30, 2020, for the employer health tax, provincial sales tax, municipal and regional district tax on short-term accommodation, carbon tax, motor fuel tax, and tobacco tax.
• The following tax changes for the 2020 budget announced on February 18, 2020 are postponed until at least September 30, 2020:
• eliminating the PST exemption for carbonated beverages that contain sugar, natural sweeteners or artificial sweeteners.
• expanded registration requirements for Canadian sellers of goods, along with Canadian and foreign sellers of software and telecommunication services.
• carbon tax rates will remain at their current levels until further notice.
• School tax rates for commercial properties are reduced by 50% for the 2020 tax year.
• In July 2020, an additional one-time payment will be made on top of the regular climate action tax credit.
• For more information, see the Government of British Columbia’s “Provincial Tax Changes” webpage.

     ALBERTA

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Emergency Isolation Support Program

• Under the Emergency Isolation Support Program (EISP), announced on March 18, 2020, Albertans will receive a $1,146 payment for self-isolation. This is similar to the PATT COVID-19 program initiated by the government of Quebec, discussed above.
• EISP will be distributed in one payment instalment and will bridge the gap until federal emergency payments begin in April.
• The Government of Alberta expects EISP to be available through a simple online application on alberta.ca as of March 23, 2020, and that funds will be deposited in the accounts of eligible recipients beginning at that time.
• For more information, see the Government of Alberta’s “COVID-19 Info for Albertans” website. Applications can be made here.

Utility payment deferral

• Residential, farm and small commercial customers can defer electricity and natural gas bill payments for the next 90 days, regardless of their service provider to ensure no one will be cut off, regardless of the service provider. The payment deferral is also available to Albertans who are experiencing financial hardship as a direct result of COVID-19.
• For more information, see the Government of Alberta’s “COVID-19 support for employers and employees” website.

Student loans repayment deferral

• The Government of Alberta announced on March 17, 2020, that it is implementing a six-month, interest free moratorium on Alberta student loan payments.
• Interest will not accrue during this period. Furthermore, students do not need to apply for the repayment pause.
• Students may, however, decide to continue to make payments during this period if they choose. This will not affect their eligibility to receive the benefit.
• For more information, see the Government of Alberta’s “COVID-19 Info for Albertans” website.

Banks and credit unions

• Effective immediately, Alberta Treasury Branches (ATB Financial) customers can apply for a deferral on their ATB Financial loans, lines of credit, and mortgages for up to six months.
• Credit union members will have access to a broad range of programs and solutions designed to facilitate loan payments and short-term cash flow. In order to take advantage of this measure, credit union members need to contact their credit union to work out a plan, which will be tailored to each member’s personal situation.
• For more information, see the Government of Alberta’s “COVID-19 support for employers and employees” website.

Corporate income tax changes

• The Alberta government announced on March 18, 2020, that corporate income tax balances and instalment payments coming due between March 18 until August 31, 2020 will be defer until September 1st, 2020. This measure will allow employers to increase their access to cash so they can pay employees, address debts, and continue operations.
• Although penalties and interest are waived for this period of time, businesses must continue to file their Alberta corporate tax returns as required. Also, the deferral does not apply in respect of tax balances or instalment payments made prior to March 18, 2020.
• The Alberta Tax and Revenue Administration (“TRA”) also announced that it will modify its corporate income tax audit and collection practices during the COVID-19 pandemic.
• For more information, see the Government of Alberta’s “COVID-19 support for employers and employees” website.

WCB premium payment deferral

• Small, medium and large private-sector employers can defer Workers’ Compensation Board (WCB) premium payments until 2021. For small and medium businesses, the government will cover 50% of the 2020 premium when it is due in 2021 and large employers will have their 2020 WCB premium payments deferred until 2021, at which time their premiums will be due. Employers who have already paid the WCB premiums in 2020 are eligible for a rebate or credit.
• For more information, see the Government of Alberta’s “COVID-19 support for employers and employees” website.

Job-protected leave

• The Government of Alberta announced on March 18, 2020, that it will amend the Employment Standards Code to allow full- and part-time employees to take 14 days of job-protected leave. To be eligible, the claimant employee:
  • Must either be required to self-isolate or caring for a child or dependent adult who is required to self-isolate;
  • Does not require a medical note; and
  • Does not need to have worked for an employer for 90 days.
• This measure covers the 14-day self-isolation period recommended by Alberta’s chief medical officer. This leave may be extended by Albert’s chief medical officer.
• For more detailed information, please see this blog from our Calgary Labour and Employment group.

Relief for the energy sector

• On March 20, 2020, the Government of Alberta announced the following initiatives to provide economic relief to Alberta’s energy industry:
• $113 million in industry relief to fund the Alberta Energy Regulator; and
• a $100 million loan extended to the Orphan Well Association to create up to 500 direct and indirect jobs through reclamation efforts, decommissioning about 1,000 wells, and starting more than 1,000 environmental assessments.
• For more detailed information, please see the Government of Alberta’s press release of March 20, 2020.

Establishing an Economic Recovery Council

• The Premier of Alberta has appointed an Economic Recovery Council to provide insight and expert advice on protecting jobs during the economic crisis, as well as strategies for long term recovery from the crisis.
• For more detailed information and a list of Council members, please see the Government of Alberta’s press release of March 20, 2020.

Education property tax freeze

• Residential education property tax rates will be frozen at last year’s level, reversing the planned 3.4% increase that had been added in the 2020 budget.
• For more information see the Government of Alberta’s “COVID-19 supports for Albertans” website

     SASKATCHEWAN

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Penalty and interest waiver for businesses

• On March 20, 2020, the Premier of Saskatchewan announced a penalty and interest waiver program.
• Businesses who have cash flow concerns and that are unable to remit their PST will have relief from penalty and interest charges for three months.
• Businesses directly impacted by COVID-19 and that are unable to file their provincial tax returns by the due date may submit a request for relief from interest or penalties that would otherwise apply to such late filings.
• Penalty and interest waiver requests can be submitted electronically through the Saskatchewan eTax Service (SETS) located at sets.saskatchewan.ca, by email (sasktaxinfo@gov.sk.ca) or at the following address: Ministry of Finance (Revenue Division), PO Box 200, Regina, SK, S4P 2Z6.
• For more information, see the Government of Saskatchewan’s information notice.
• Audit programs and compliance activities have been suspended.
• For more information, see the Government of Saskatchewan’s press release of March 20, 2020.

Establishing a Business Response Team

• On March 23, 2020, the Government of Saskatchewan launched a Business Response Team to support businesses in the province dealing with the economic challenges resulting from COVID-19.
• The Business Response Team will be led by the Ministry of Trade and Export Development and will work to identify program supports relevant to particular businesses.
• For more information, see the Government of Saskatchewan’s press releaseof March 23, 2020. Businesses can contact the Business Response Team directly, call 1-844-800-8688 or e-mail supportforbusiness@gov.sk.ca.

Amendments to the Saskatchewan Employment Act

• On March 20, 2020, the Saskatchewan Employment Act was amended to introduce a new unpaid public health emergency leave and remove the 13-week employment requirement to access sick leave and the requirement for a doctor’s note to access sick leave.
• The Employment Standard Regulations have been amended to provide that:
  • Businesses will not have to provide notice or pay in lieu of notice when they lay-off staff if it is for a period of 12 weeks or less in a 16-week period.
  • If an employer lays off employees periodically for a total of more than 12 weeks in a 16-week period, the employees are considered to be terminated and are entitled to pay instead of notice.
• For more information, see the Government of Saskatchewan’s press release of March 20, 2020.

Self-Isolation Support Program

• On March 20, 2020, the Premier of Saskatchewan announced a support plan for employers and employees. The Self-Isolation Support Program will provide $450 per week for a maximum of two weeks (or $900) for residents who are forced to self-isolate. Workers can apply to the program if they were (or are) in isolation because they had contracted the virus or are showing symptoms, had been in contact with an infected person or had returned from abroad.
• Workers are not eligible if they are being compensated by their employer (including sick leave and vacation leave), they have private insurance, or if they are covered by another government program, including federal employment insurance.
• For more information, see the Government of Saskatchewan’s press release of March 20, 2020.

Crown utility interest deferral

• The Crown utility interest deferral program waives interest on late crown utility bill payments for up to six months. The program is effective immediately and is available to all crown utility customers.
• For more information, see the Government of Saskatchewan’s press release of March 20, 2020.

Student loans repayment deferral

• The Government of Saskatchewan announced on March 20, 2020, that it is implementing a six-month, interest free moratorium on Saskatchewan student loan payments.
• For more information, see the Government of Saskatchewan’s press release of March 20, 2020.

      MANITOBA

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Child care for essential workers

• On March 20, 2020, The Manitoba government announced the following measures to help provide child care to essential front-line workers:
  • Establish a new $18-million grant program to help early childhood educators begin independently offering child-care services at their homes or in the community;
  • Continue to provide licensed child-care centres with their full operating grants and subsidies;
  • Create a $2 million trust to provide capital gains to child-care providers; and
  • Encourage all centres to reimburse prepaid fees to parents for child care they can no longer access at this time.
• For more information, see the Government of Manitoba’s news release of March 20, 2020.

Extended tax filing deadlines for businesses

• On March 22, 2020, the Premier of Manitoba and Minister of Finance announced that the province will extend the April and May filing deadlines for small and medium-sized business with monthly remittances of not more than $10,000. Businesses will have up to two additional months to remit retail sales taxes, and the Health and Post-Secondary Education Tax Levy.
• The Minister of Finance also noted that it will work with businesses regarding flexible repayment options above the $10,000 cap.
• In person service at the Taxation Division Offices is not available. Services are continuing by telephone and online.
• For more information, see the Government of Manitoba’s news release of March 22, 2020.

Postpone eviction hearings and freeze rent increases

• On March 24, 2020, Manitoba Premier Brian Pallister and Finance Minister Scott Fielding announced that the Government of Manitoba is postponing eviction hearings and freezing rent increases.
• For more information, see the Government of Manitoba’s news release of March 24, 2020.

     NOVA SCOTIA

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Measures to support vulnerable Nova Scotians

• Every individual and family member on income assistance will receive an additional $50.
• $1 million to Feed Nova Scotia to purchase food and hire more staff
• Emergency funding of $230,000 to help vulnerable older adults through Senior Safety Programs and Community Links.
• For more information, see the “Support for individual, families, and businesses” section of the Government of Nova Scotia website.

Deferred government loan payments, suspended student loan payments, and small business renewal fee payments

• The Government will defer payments for all government loans and small business fees (including business renewal fees and workers compensation premiums) until June 30th.
• The Government will suspend payments on Nova Scotia student loans for six months, until September 30th.
• The Government will defer payments for small business renewal fees, including business registration renewal fees and workers compensation premiums, until June 30th.
• Small businesses that do business with the government will be paid within five days instead of the standard 30 days.
• For more information, see the “Support for individual, families, and businesses” section of the Government of Nova Scotia website.

Changes to the Small Business Loan Guarantee Program

• The program is enhanced to make it easier for businesses to access credit up to $500,000 and for those who might not qualify for a loan, the government will guarantee the first $100,000.
• For more information, see the “Support for individual, families, and businesses” section of the Government of Nova Scotia website.

Internet for Nova Scotia Initiative

• To ensure that more Nova Scotians can access the internet to work from home, the government is providing $15 million as an incentive to providers to speed up projects under the Internet for Nova Scotia initiative and complete them as soon as possible.
• For more information, see the “Support for individual, families, and businesses” section of the Government of Nova Scotia website

     NEW BRUNSWICK

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Relief on co-pay for drug plans

• Patients with drug coverage under New Brunswick’s public drug plans will only be responsible for the initial co-payment on a prescription fill or refill.
• For example, a patient with a 90-day prescription made up of three 30-day fills will only have a co-payment for the first 30-day fill payment.
• For more information, see the Government of New Brunswick news release of March 21, 2020.

Child care for those who lost income and essential workers

• The Government of New Brunswick has committed to covering the child-care fees of anyone who has lost their income due to the ongoing COVID-19 outbreak.
• The Government of New Brunswick will also cover any “double fees” for child care services for essential workers. This includes workers paying to reserve a space at their usual child care facility, but whose child is attending one of the emergency child care facilities.
• For more information, see the Government of New Brunswick news release of March 20, 2020.

One-time income benefit for unemployed workers

• The Government of New Brunswick will provide a one-time $900 income benefit to either workers or self-employed people in New Brunswick who have lost their job due to the pandemic.
• The benefit will be administered through the Red Cross and is meant to bridge the time between the when people lose their employment and when they receive their federal benefits.
• For more information, see the Government of New Brunswick’s Update on Covid-19 of March 24, 2020.

     PRINCE EDWARD ISLAND

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$25 million COVID-19 Emergency Contingency Fund

• On March 16, 2020, the Government of Prince Edward Island announced the establishment of a $25 million COVID-19 Emergency Contingency Fund to support Island workers and small businesses who are affected by COVID-19.
• For more information, see the Government of Prince Edward Island’s news release of March 16, 2020. The Island businesses can call the phone number 1-866-222-1751 to share the effect COVID-19 has had on their finances.

Support for small businesses and employees

• On March 18, 2020, the Government of Prince Edward Island announced the following measures:
  • The scheduled loan payments are deferred for the next 3 months for clients of Finance PEI, Island Investment Development Inc., and the PEI Century Fund;
  • $4.5 million will be provided to Community Business Development Corporations across the province to deliver financing to small business and entrepreneurs; and
  • A temporary allowance of $200 per week for employees that have a significant drop in their working hours.
• For more information, see the Government of Prince Edward Island’s news release of March 18, 2020.

Educational and financial supports for Islanders

• On March 20, 2020, the Government of Prince Edward Island announced the following measures:
  • Creating a fund of up to $2 million to support early learning centres, maintain child care spaces and ensure parents do not pay fees during the period of closures;
  • Deferring repayments for provincial student loans for the next six months; and
• providing home learning activities for students.
• For more information, see the Government of Prince Edward Island’s news release of March 20, 2020.

Emergency Income Relief for the Self-Employed

• On March 16, 2020, the Government of Prince Edward Island announced a program for the self-employed individuals that consists of a maximum of $500 per week for the period of March 16 to March 29, 2020. The government notes that this period will be reviewed if necessary. To be illegible to the program, the individuals must have declared business income on their most recent tax return, business income must be their primary source of income, must be able to demonstrate direct financial losses related to COVID-19 isolation measures and don’t receive any other income support.
• For more information, see the Government of Prince Edward Island’s “Emergency Income Relief for the Self-Employed” website.

Worker Assistance Program

• The Worker Assistance Program is a temporary program aimed at providing financial support to employers to assist their employed workers. The employers eligible will receive a maximum of $250 per week for each employed worker that experienced a reduction of at least 8 hours per week during the two week period March 16-29, 2020. The eligible employers include the registered private sector businesses in Prince Edward Island and they are encouraged to complete one application for the two week period.
• For more information and to apply to the program, see the Government of Prince Edward Island’s “Emergency Relief – Worker Assistance Program” website. Online applications can be submitted until April 15, 2020.

Emergency Working Capital Financing

• The Emergency Working Capital Financing program is a temporary program aimed at providing emergency working capital financing to assist small business to maintain normal business operations during the economic disruption caused by COVID-19. Applicants to the program can receive a working capital loan of up to $100,000 with a fixed interest rate of 4% per annum to be used to assist with fixed operating costs with principal and interest payments deferred for a minimum of 12 months. In order to be eligible, companies must be:
• Existing small businesses (start-ups not eligible) located and operating in the Province of PEI, that have been generating revenue in PEI;
• Registered to conduct business within the Province of PEI; and
• In possession of a satisfactory credit rating and must not have any defaulted outstanding debt obligation on file in the Province’s Central Default Registry.
• For more information and to apply to the program, see the Government of Prince Edward Island’s “Emergency Working Capital Financing” website.

Employee Gift Card Program

• The Employee Gift Card Program is a temporary program aimed at providing a $100 Sobeys gift value to any employee, living and working on Prince Edward Island, who has received a lay-off notice as a direct result of the impacts associated with COVID-19. The employer is responsible to complete the application form and distribute the gift card letters to affected employees. To be eligible, the employer must:
• Have issued lay-off notice(s) to 1 or more employee(s) as a result of COVID-19, between March 13 and March 31, 2020; and
• Have affected employees with a salary of $25/hour or less.
• For more information and to apply to the program, see the Government of Prince Edward Island’s “Employee Gift Card Program” website

      NEWFOUNDLAND & LABRADOR

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Government Link: https://www.gov.nl.ca/covid-19/resources-2/

For Businesses and Workplaces

• The Federal Government has a framework for risk-informed decision making about public health actions for workplaces/businesses during the COVID-19 pandemic. The tool can be used by employers and business owners to consider risks associated with their workplace/business, the implementation of risk mitigation strategies, and in consultation with local public health authorities regarding decisions to close workplaces. The tool can be found at the following link:
• Information Sheet for Workplaces (578 KB)
• COVID-19 and the Construction Industry (455 KB)
• Risk-Informed Decision Making Guidance for Construction Sites (345 KB)
• COVID-19 Guidance for Funeral Homes (488 KB)
• Alternative Service Delivery for Retail Stores (407 KB)
• Alternative Service Delivery for Craft and Microbreweries (395 KB)
• Guidance for Traveling in Vehicles (320 KB)

Resources for Companies in Addressing Business Disruption

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Raymond Chabot Grant Thornton

• Tax Returns: Flexibility Measures Announced
• COVID-19: Support measures for businesses
• Maintain your business activities despite the ups and downs
• Coronavirus: Effective supply chain management during a crisis
• Acting for a better recovery: reassessing your business model
• Three tips for effective cash management in a crisis
• Engaging Your Workforce in a Crisis Context
• Cybersecurity in the Coronavirus Era: More Important than Ever
• COVID-19 and Teleworking: Adapting Your Business Practices
• Coronavirus: The ABCs of Sound Health Practices for Your Workers
• COVID-19: Preparing a Contingency and Business Continuity Plan

Deloitte

• • Orchestrating the Recovery of Organizations and Supply Chains
  •  Government Financing Programs for Canadian SMEs
  • Practical Steps for Pandemic Preparedness
  •  Managing Supply Chain Risk and Disruption
  • Managing Cash Flow During a Crisis
  • Practical Workforce Strategies that Put Your People First
  • Canadian Tax Alert