26 Nov Canada Emergency Rent Subsidy (CERS)
What is the Canada Emergency Rent Subsidy (CERS)?
This financial support replaces the Canada Emergency Commercial Rent Assistance (CECRA) program. CERS helps businesses, charities, and non-profits that have suffered a revenue drop due to COVID-19. It subsidizes a percentage of your expenses, on a sliding scale, up to a maximum of 65 percent of eligible expenses until June 2021. Hard-hit businesses subject to a lockdown could receive rent support of up to 90 percent.
There is no minimum revenue drop required to qualify for the subsidy.
What is Lockdown Support?
The CERS program includes a new, additional Lockdown Support of 25 percent for businesses that must shut their doors or significantly limit their activities under a public health order issued under the laws of Canada, a province or territory (including orders made by a municipality or regional health authority under one of those laws).
Combined, this would mean that hard-hit businesses subject to a lockdown could receive rent support of up to 90 percent.
Ask us about Lockdown Support eligibility and subsidy amounts
You can apply for a portion of eligible expenses relevant to each claim period for each qualifying property.
A qualifying property is one that you:
- Own or rent, and
- Use in the course of your ordinary business activities For each claim period, you can claim eligible expenses up to:
- $75,000 per business location (base subsidy and top-up Lockdown Support)
- $300,000 in total for all locations (including any amounts claimed by affiliated businesses)
Calculating Your Subsidy
Use the Government of Canada CERS calculator to find out how much your rent subsidy may be. The calculation takes into account:
- Eligible expenses you may claim up to the stated maximums above
- Your base rent subsidy rate based on your revenue drop
- Your top-up (lockdown support) eligibility and rate
A CERS application must be filed no later than 180 days after the end of a claim period. This support program is due to end in June 2021.
- Claim period 1: September 27th to October 24th, 2020
- Claim period 2: October 25th to November 21st, 2020
- Claim period 3: November 22nd to December 19th, 2020
Your AZ Accounting Firm advisor is able to assist you with the subsidy application. Contact us today.