The Canada Emergency Wage Subsidy (SEWS) was passed into law on Saturday, April 11. The program is designed to help Canadian businesses that are facing hardship as a result of this pandemic. It allows employers to retain employees that are on payroll and to rehire employees previously laid off during this difficult time.
The program as it stands today is a twelve-week program that, if eligible, provides for a maximum pre-tax subsidy of approximately $10,000 per employee. This subsidy is available to employees who receive remuneration in the form of wages.
There are a number of anti-avoidance provisions in the legislation and the penalties are severe for attempted manipulation of this program.
Applications for the CEWS open Monday, April 27
The legislation is quite complex and if assistance is needed in determining if you qualify, please reach out and book a consultation appointment with Pelican Bookkeeping Team.