Federal budget delayed

On May 15, 2020, the federal government announced that it plans to extend the CEWS, expand it so that additional types of employers are eligible, and make a few clarifying amendments.

The federal government has reached an agreement in principle with all provinces and territories to implement the Canada Emergency Commercial Rent Assistance (“CECRA”) for small businesses. The provinces and territories have agreed to share up to 25% of the costs, subject to the terms of agreements with the federal government.

The Canadian Mortgage and Housing Corporation (“CMHC”) has provided additional details regarding the previously-announced Canada Emergency Commercial Rent Assistance (“CECRA”) program for small businesses.

Over the recent days, the federal government has provided various updates to the COVID-19 Economic Response Plan. All of these new developments that may be of interest to tax practitioners and taxpayers are summarized below.