COVID-19 | UPDATE ON WAGE SUBSIDY FOR BUSINESS

JMH continuing to add it all up for you during COVID-19.

There are now two options for business (which includes sole proprietors, corporations, charities and not-for-profit organizations) in regards to wage subsidy: either a 75% or 10% subsidy, depending on your situation.

To qualify for the 75% subsidy, you need to prove you have had a decrease in revenue by at least 30%. In order to establish this, they will look at your sales from 2019 and compare them to 2020.

If you are eligible for this subsidy and are still struggling to pay your employees, you do not have to. Of course, the government will be auditing this. You will also need to provide testimony from your employee(s) stating that they believe you truly did everything you could to pay them their full wage.

This process will not be available for another 3-6 weeks, though it will be retroactive to March 15, 2020. Keep in mind that payroll source deductions will still be due by April 15th. That means you will probably still have to submit those for March and apply for a refund later. Unfortunately, that may cause some cash flow issues.On the bright side, if you do not qualify for the 75% subsidy, you most likely will qualify for the 10% subsidy.

You can also view Canada’s COVID-19 Economic Response Plan here.

We will continue to keep you update as information becomes available. Stay safe out there.

April 1, 2020 | UPDATE ON WAGE SUBSIDY FOR BUSINESS

🔸UPDATE ON WAGE SUBSIDY FOR BUSINESS🔸There are now two options for business (which includes sole proprietors, corporations, charities and not-for-profit organizations) in regards to wage subsidy: either a 75% or 10% subsidy, depending on your situation. To qualify for the 75% subsidy, you need to prove you have had a decrease in revenue by at least 30%. In order to establish this, they will look at your sales from 2019 and compare them to 2020. If you are eligible for this subsidy and are still struggling to pay your employees, you do not have to. Of course, the government will be auditing this. You will also need to provide testimony from your employee(s) stating that they believe you truly did everything you could to pay them their full wage. This process will not be available for another 3-6 weeks, though it will be retroactive to March 15, 2020. Keep in mind that payroll source deductions will still be due by April 15th. That means you will probably still have to submit those for March and apply for a refund later. Unfortunately, that may cause some cash flow issues. On the bright side, if you do not qualify for the 75% subsidy, you most likely will qualify for the 10% subsidy.Check our blog for more updates as they become available here👉 https://www.jmhca.com/resource-centre/ As well as Canada’s COVID-19 Economic Response Plan here 👉https://bit.ly/2wVY0Dl #YXH2gether #COVID19AB

Posted by JMH & Co. on Wednesday, April 1, 2020

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