Please note this post has not been updated since March 30, 2020 and should not be referred to for the most up-to-date information.
Updated on March 30, 2020. Can you believe it’s only been a week? So much has changed! And they just keep changing.
Tax Deadlines
Registered Charities
The filing deadline for registered charities has been extended to December 31, 2020 for any charities with T3010s due on or after March 18. In normal life, T3010s are due six months after the charity’s year-end. So this extension means that for any charities with year-ends between September 18 and June 30 now have until December 31, 2020 to file their T3010s.
Individuals
The tax deadline for individuals has been moved from April 30 to June 1. Currently, the June 15 filing deadline for self-employed individuals has not been changed.
Tax payments are now due August 31 (instead of April 30).
We still recommend preparing your taxes as soon as possible, so that you know what balance you’re working with - plus, if you qualify for a refund, it might be helpful to you to receive it sooner rather than later!
GST/HST Filing
Updated on April 1, 2020: Any GST/HST payments due between March 15 and May 31, 2020 are now not due until June 30, 2020. (The payments you choose to defer will all be due on June 30, 2020. ). The filing deadline has not changed, but there will be no penalties on late filing.
Read the government notice here.
Canada Emergency Response Benefit (CERB)
This benefit was announced on Wednesday, March 26 - and it already has a fun acronym. This is a combination of the “Emergency Care Benefit” and “Emergency Support Benefit” that was mentioned on the last edition of this blog post (points 1 and 2)…which we have conveniently removed so that you will no longer refer to them, as they are now irrelevant.
Updated on April 1, 2020: Trudeau said today that direct payments could arrive within five days, mailed cheques within ten days.
Learn more on the Government of Canada website here.
Who is eligible for CERB?
Anyone who is either: sick with COVID, quarantined, taking care of children, taking care of a sick family member PLUS anyone not receiving a paycheque because their workplace has been closed. You are eligible if you are a contractor (AKA – self-employed, freelancer) or an employee.
Update: Prime Minister Trudeau confirmed on April 1, 2020 that if you've already applied through EI, you're all set up for CERB - you do not need to reapply for the CERB when the portal opens. If you’re already receiving EI benefits, you can continue to collect your EI benefits and if your benefits run out before October 3, you can apply for CERB as well.
How much is it?
Applicants will receive $2,000 a month for 4 months. That’s $8,000 total. And it’s available for Canadians who’ve had their work disrupted between March 15 and October 3, 2020.
When can you apply & get your money?
The portal to apply is set to open on April 6 with payments coming as soon as 10 days after.
Updated April 2, 2020: The CRA has identified days of the week corresponding to birth month to help service applicants without overloading the system, once applications are open.
Born January, February or March? Apply on Mondays, starting Monday, April 6.
April, May or June? Apply on Tuesdays, starting Tuesday, April 7.
July, August or September? Apply on Wednesdays, starting Wednesday, April 8.
October, November or December? Apply on Thursdays, starting Thursday, April 9.
Any month may apply on Fridays, Saturdays and Sundays.
What do I need to prepare?
Well, the government hasn’t yet released details on what documents or information you need to provide but one can assume you will need the following:
Up to date taxes (you should have filed up to 2018)
What income you’ve earned so far in 2020
How much income you anticipate losing or have already lost due to this ‘disruption’ (learn more about how to do this in our blog post: Tracking Financial Losses due to COVID-19)
Side note: we know it can be scary to face the numbers, but trust us, it will make you feel better once you can quantify the losses and know the numbers you’re working with so you can come up with an actionable plan.Get registered for CRA My Account! If you forgot your login or your security pin – good news – you can call CRA and request to reset your password. You will need to have a copy of your last tax return on hand to answer their security questions. It’s possible your taxes need to be up to date to create MyAccount for the first time. The number to call is: 1-800-959-8281, or you can watch CRA’s How to Register for MyAccount video here (or click the video link above).
Note: the following two sections have not been changed since March 20.
GST credit
The government is proposing (read: this needs to be approved by all parties first) an additional GST credit of up to $400 for singles or $600 for couples. Currently, the maximum GST credit is $451 and individuals with income of less than approximately $48,000 qualify for this credit. The lower your income, the higher the credit you receive.
Student loan interest
The government is also proposing to stop charging interest on student loan for six months.
Other credits are being made available to Indigenous communities, parents, seniors with RRIF withdrawals, the homeless and women and children escaping domestic violence.
More Resources
A great breakdown about programs announced last week, compiled by Dr. Jennifer Robson of Carleton University
Sara Clarke is breaking down government announcements as they roll in on her blog page Financial Information During COVID-19
The official CRA bulletin that our initial breakdown was based off of
A great explainer and guide on how to survive this financial emergency
The COVID-19 Health and Safety for Artists page on ArtistProducerResource.com includes emergency funding initiatives, mental health tools, digital sharing platforms, food bank information, and external resource lists
Take care out there and support one another.
Did we mention it’s time to get set up online with a CRA MyAccount (if you’re not already)?
