Canada - Covid-19 MMIC Summary
We are not lawyers and are not offering an interpretation of the Canadian government programs. This was received from a Canadian dealer - please read through the government acts and get legal counsel to understand how you can use the resources.
COVID-19 MMIC SUMMARY
March 31st 2020
Federal
Canada Emergency Wage Subsidy details include:
• Will cover 75% of salary on the first $58,700 earned, back dated to March 15
• Any business with at least a 30% revenue decrease because of COVID-19 qualifies
• Number of employees does not matter
• It applies to non-profits, charities and companies big and small
The Prime Minister warned that there will be serious consequences for any business that improperly uses this benefit.
Mr. Trudeau also indicated that Minister of Finance, Hon. Bill Morneau, and Minister of Small Business, Hon. Mary Ng, will provide a detailed briefing tomorrow with additional information.
For information, please read the federal government’s full program. https://www.cfib-fcei.ca/en/advocacy/federal-government-banks-small-business-relief-measures-covid-19
Additionally, Ottawa has stated that while the Canada-U.S. border is closed to non-essential traffic, shipments, trade and commerce will not be affected by the new restrictions.
Québec
The government of Québec has an excellent site with regards to what should stay open or closed. If a dealership has any kind of questions about if they can stay open, they can access this
The new deadline to pay taxes (without penalties or fees) will be July 31 to pay any corporate taxes or make any scheduled installment payments.
Alberta
Alberta has followed the same as Québec and Ontario where motor vehicle, auto-supply, auto and motor-vehicle-repair, including bicycle repair, aircraft repair, heavy equipment repair,
watercraft/marine craft repairs, car and truck dealerships and related facilities are deemed essential with a message of avoiding gatherings to conduct business.
Corporate income tax balances and instalment payments will be deferred from March 19 until August 31, 2020.
Private-sector employers can defer WCB premiums until 2021. For small and medium businesses, the government will also cover 50% of the 2020 premium.
https://www.alberta.ca/covid-19-support-for-employers.aspx
BC
Business and light and major industry property classes will have their school property tax cut in half for the 2020 tax year, providing cash flow relief for businesses that own their property and for tenants on triple-net leases. Also, B.C. business tax filings have been deferred to September 30, 2020, including PST, employers health tax, and municipal and regional district taxes, among others.
Manitoba
The government has informed RCC that they are in the process of finalizing an “essential services” list, that could be issued in the next few days. The government is sensitive to the impacts this would have on businesses in the province, and has indicated that it would align with Ontario. Support for small and medium sized retailers will be available, providing businesses with the ability to defer payment of payroll taxes and provincial PST remittance up to $10,000 for 60 days. The Minister noted that they will work with all sized businesses regarding flexible repayment options above the $10,000 cap. Application information available here.
https://news.gov.mb.ca/news/index.html?item=47161&posted=2020-03-22
New Brunswick
All businesses in retail sales will stop admitting patrons, except for grocery stores, pharmacies, repair garages, post offices, financial and lending institutions, retailers of fuel, hardware, automotive parts and office supplies, convenience stores, animal and fish feed providers, and corporate and agency stores of NB Liquor and Cannabis NB. All businesses required to stop admitting patrons are permitted to sell online or over the phone and to arrange delivery or pick-up of purchases. https://www2.gnb.ca/content/gnb/en/gateways/for_business/covid19/guideline.html
Newfoundland and Labrador
WorkplaceNL is temporarily deferring the collection of employer premiums until June 30, 2020 and waiving interest charges or penalties. The deferral will be applied to all existing payment plans and postdated cheques. Employers do not need to contact WorkplaceNL and will be able to revise their payroll estimates, used to calculate their assessment payable, prior to their payments being reinstated. Anyone arriving to the province from outside of Newfoundland and Labrador on or after March 20, 2020 is required to self-isolate for 14 days after their arrival. https://www.gov.nl.ca/releases/2020/exec/0326n03/
Nova Scotia
Retail businesses can still operate but must continue to practice social distancing. Social gatherings of more than 5 people are restricted and retail business are still allowed to operate but must adhere to the five person rule inside their stores. The province has announced that $161 million will be made available to address cash flow and provide access to credit for small- and medium-sized business’. Effective immediately, the province will defer several fees and payments including: payments & interest for government loans; business related fees (until June 30) and loan payments under the small business loan guarantee program.
https://novascotia.ca/news/release/?id=20200320003
WCB employer premium payments have been deferred for three months; interest and late payment fees will be waived until further notice.
Certain taxes and utilities are offering deferred payment programs. View more information on RCC’s municipal measures resource tool.
Retail and commercial landlords who defer lease payments for the next three months for businesses that had to close directly due to the public health order will be able to claim losses of up to $5,000 per month, if the renting business does not continue operating. Landlords are not permitted to change locks or seize property of businesses who cannot pay rent, if the business closed directly because of COVID-19 public health orders.
Ontario
If you sell one essential product, you may continue operations. An operating store is allowed to sell non-essential products in addition to essential ones. Retailers not considered essential are still permitted to sell to customers via e-commerce (phrased by the government as “either online, by telephone, or by mail/delivery”).
https://www.ontario.ca/page/list-essential-workplaces
There will be deferrals in place on all 10 of the provincial business taxes, including the Employer Health Tax, the provincial portion of property tax, as well as on all WSIB payments. The current package includes the following:
• All 10 Provincial Business Taxes will be deferred until at least Aug 31st, interest & penalty free including the Employer Health Tax, all fuel taxes, beer and wine taxes.
• For the Employer Health Tax, the minimum payroll amount of $490,000 will be increased to $1,000,000 for 2020. That means businesses with payrolls less than a million will not have to pay any EHT. For eligible private-sector employers with payrolls up to $5 million, the first $1 million of total Ontario remuneration is exempt, increasing the exemption to $19,500 for 2020.
• All WSIB premium payments will be deferred for 6 months. In the interim, the Province will cover all employee claims.
• The Provincial portion of Property Tax will be deferred for 90 days (Education payments).
• Finally, Ontario is postponing property tax reassessment for 1 year (reassessments were to start in May – this has been delayed until May, 2021)
PEI
Dealers who provide repair and services are allowed to stay open. https://www.princeedwardisland.ca/en/information/health-and-wellness/essential-and-nonessential-services-covid-19
WCB employer premiums have been deferred until June 30. All new employer payroll audits have been deferred.
PEI Broadband Fund has been expanded to support equipment and installation of Mi-Fi units and Wi-Fi Signal Boosters for businesses and the self-employed.
Saskatchewan
Effective March 26, all non-essential retailers must close. A comprehensive list of allowable retailers is available and the full Government announcement includes what they have determined to be nonallowable businesses. Essential services include food, pharmacy, convenience, hardware, appliances, pet stores, liquor and fuel among others. All businesses will continue to be able to sell online or provide pick-up and delivery services View our guide to what is considered an essential service and the full list of allowable Saskatchewan services. Business that conduct repairs for motor vehicles (including motorcycles) are allowed to provide services.
The 3 territories have some info but nothing out of the ordinary from other provinces. If you need info for the Northwest Territories, Nunavut or the Yukon.