The government announced today that the deadline to apply to the Canada Emergency Business Account (CEBA) has been extended until October 31. Read the full press release here.
CFAA will seek clarification of the application of CEBA to rental housing providers, and promote broader availability of that relief for rental owners and operators.
For those corporations and businesses which qualify and apply, CEBA provides a loan of up to $40,000. The loan comes from your bank, but is guaranteed by the federal government. No interest is charged until December 31, 2022. If the loan is repaid by then, 25% of the loan is forgiven (usually $10,000).
If repayment is not made by December 31, 2022, the loan begins to bear interest at 5%, and needs to be repaid over 3 years or less.
Individuals or corporations who operate as property managers would generally earn business income, and appear to qualify for CEBA now if they have a payroll of $20,000 or more per year, or $40,000 or more of non-postponable expenses in 2020.
The situation of rental owners who report only rental income and not business or professional income is unclear at this time. As noted above, CFAA will seek clarification of the application of CEBA to rental housing providers, and promote broader availability of that relief for rental owners and operators.
For more information, google search CEBA and your bank or other financial institution. Or watch for another CFAA eNewsletter.
1600 Carling Ave., Suite 640, Ottawa ON K1Z 1G3
Phone: (613) 235-0101
Fax: (613) 238-0101
Email: Email Us
