CRA has provided additional relief for taxpayers with a payment deadline extension for current year personal, corporate and trust income tax returns to September 30, 2020. Penalties and interest will not be charged on amounts owing, including instalment payments as long as payments are made by September 30. This also includes late-filing penalties if your tax return is filed by that date. Interest on existing tax debts is also being waived from April 1, 2020 to September 30, 2020.
It's important to also note that benefits and credits will stop in October 2020 for individuals who haven't yet filed their personal income tax return for 2019. If you still need to file, be sure to do so as soon as possible to ensure there are no delays or interruptions in these benefit payments.
Please contact me for a free consultation if you have any questions or if you need assistance with filing your tax return.
As announced on July 17, 2020, the government of Canada has extended the Canada Emergency Wage Subsidy until December 19, 2020. Although incredibly complex, the new rules are more flexible and will provide relief for eligible employers who had any drop in revenue for claims periods 5 to 9 (July 5 - November 21). A Safe Harbour rule is in place for claim periods 5 and 6 (July 5 - August 29) and allows for businesses with a revenue decrease of at least 30% to receive not less than what they would have been entitled to under the original CEWS rules. The updated version of CEWS also includes a top up subsidy of up to 25% for businesses who have been hit exceptionally hard by the Covid 19 pandemic. The calculator on the CRA website is a reasonably good tool and a good place to start to see if your business qualifies. Rules for claim period 10 (November 22 - December 19) have yet to be determined.
If you haven't yet applied and need assistance, please contact me for a free consultation to determine if you are eligible and get you on track to receiving support payments.
Today the Department of Finance Canada announced that it has redesigned the Canada Emergency Wage Subsidy and has extended the program to December 19, 2020. The program, part of Canada's COVID-19 Economic Response Plan, provides a subsidy of up to 75% of wages paid. The extension and redesign will enable businesses to keep employees on payroll while revenues gradually recover as the economy begins to reopen. This is good news for Canadian businesses and will help to position them and their employees for a strong recovery.
If you haven't yet applied and need assistance, please contact me for a free consultation to help determine if you qualify and get you on track to receiving support payments.