Small businesses, sole proprietors and self-employed individuals in the City of Kawartha Lakes, as of April 9, 2020, help on whether you are eligible for the CERB, wage subsidies and the interest-free line of credit:
IF YOU OWN AND OPERATE A SMALL CORPORATION – AND YOU PAY YOURSELF A SALARY:
If so, and you pay yourself an annual salary through your corporation, then:
- You do not qualify for the Canada Emergency Response Benefit (the “CERB”) ($500 weekly for up to 16 weeks) if you continue working
- You do qualify for the CERB if you stop working for reasons related to COVID-19 and you have no income
- You are eligible to apply for for the Cananda Emergency Wage Subsidiy (75% wage subsidy, up to $847 weekly for up to 3 months) or the alternative 10% wage subsidy (the “CEWS”)
- You are eligible to apply for the Canada Emergency Business Account (“CEBA”) – $40,000 interest-free business loan/line of credit ($10,000 can be forgiven if $30,000 is paid off before Dec. 31, 2020)
For more information from us about qualifying for the CERB, check here: https://wardlegal.ca/31585663827879
For more information from us about qualifying for the CEBA, check here: https://wardlegal.ca/31585663827893 and here: https://wardlegal.ca/31586368607013
For more information about qualifying for the CEWS and how you calculate your wage subsidy, check here: https://wardlegal.ca/31585663827901
IF YOU ARE A SOLE PROPRIETOR (i.e., NO INCORPORATED BUSINESS) OR SELF-EMPLOYED:
- You may be eligible for the CERB, if you continue working for less than 10 hours per week
- You are eligible for the CERB if you stop working for reasons related to the virus
- You are not eligible to receive the CEWS (either the 75% or 10% wage subsidy)
- You are not eligible to receive the CEBA
IF YOU OWN AND OPERATE A SMALL CORPORATION – AND YOU PAY YOURSELF BY DIVIDENDS, NOT SALARY:
- You are not eligible for the CERB if you continue working
- You may be eligible for the CERB if you stop working, per the Canada Revenue Agency’s Web site update on Apr. 6, 2020
- You are not eligible for the CEWS (both the 75% and 10% wage subsidies) or the CEBA
