CJA update - Government implements changes to the Canada Emergency Wage Subsidy (CEWS)
The Federal Government recently implemented changes to the Canada Emergency Wage Subsidy (CEWS) that broaden the reach of the program. Applications are now open for Period 5 – the first period of the enhanced CEWS program.
Program changes for Periods 5-9 include:
- The extension of the CEWS, including redesigned program details, until November 21, 2020.
- Increased eligibility, meaning that all eligible employers who've experienced a revenue drop can now qualify for a base subsidy. The subsidy amount is based on the revenue drop.
- Employers who are especially hard-hit can qualify for a top-up of up to 25%.
- Provide certainty for employers that have already made business decisions for July and August, by ensuring they will not receive a subsidy rate lower than they would have under the previous rules.
The CRA's updated CEWS calculator can help small and large employers alike, by guiding them through a step-by-step process to prepare their applications and giving them a preview of the subsidy they may qualify for, based on the information they enter.
Eligible employers can apply for period 5 of the CEWS through My Business Account or through the CRA's web form application. The CRA reassures applicants that they have added new security measures to the My Business Account portal following the recent cyber attack. Employers can submit their application securely as planned.