The Coronavirus (COVID-19) pandemic has caused millions of Canadians to grow concerned about not only their health, but also their financial wellbeing. Thousands of hair and nail salons across the country have been forced to close their doors for the sake of social distancing—in Toronto, city officials have even directly encouraged them to close immediately in efforts to combat the virus. This has been particularly stressful for small businesses and self-employed hairstylists that are losing their only source of income.
The Canadian government has unveiled a budget of $82 billion to help all Canadians that have been directly impacted by the COVID-19 pandemic.
“These are extraordinary times, our government is taking extraordinary measures,” says prime minister Trudeau, adding that they will be providing up to $27 billion in direct support to Canadian workers and businesses, along with $55 billion for any liquidity needs of businesses and households through tax deferrals.
How Salons and Stylists Can Benefit:
For Canadians without sickness benefits, the government is introducing a new Emergency Care Benefit that will provide up to $900 bi-weekly for up to 15 weeks. You’re encouraged to apply for benefits as soon as possible, but can also submit your application at a later date and have your claim backdated.
For Canadians who have lost their jobs or reduced their hours due to the pandemic and do not have access to employment insurance through the new emergency benefit program, the CRA has also put aside $5 billion.
For Canadians caring for children while not being able to earn income, the government will boost the Canada Child Benefit by $300 over the coming months.
For Canadians and small businesses concerned about paying their taxes on time, the government has delayed the individual tax filing deadline from April 30 to June 1. The payment deadline for both individual and business balances has also been pushed to August 31 —with no interest or penalties if you submit your payment by September 1.
For Canadians struggling to make their mortgage payments on time, Canada’s six big banks will allow mortgage payment deferrals for up to six months, and will also provide flexible solutions on a case-by-case basis for other debts that have accumulated as a result of the pandemic.
For Canadian employers with questions or concerns about providing employment insurance, records of employment or any other benefit-related responsibilities, visit the government website for more information.