As part of its commitment to supporting Canadian businesses and organizations in the face of the ongoing COVID-19 pandemic, the Government of Canada implemented and extended a number of measures in December 2021. The CRA launched into action to apply new legislation within a matter of days—rather than the routine months-long process—to ensure that access to COVID-19 benefits was given to those who needed it as quickly as possible.

On December 17, 2021, the legislation to create jobs and implement targeted COVID-19 support measures received Royal Assent. These measures ensure that the hardest-hit sectors and those who are most affected by the pandemic will continue to receive the support they need until May 7, 2022, with the authority to further extend them until July 2, 2022. The measures consist of:

·        Increasing the subsidy rate for the Canada Recovery Hiring Program from 20% to 50%, which helps organizations continue to rehire workers and create the additional jobs Canada needs for a full recovery.

·        Replacing the Canada Emergency Wage Subsidy (CEWS) and Canada Emergency Rent Subsidy with targeted support to organizations that are still facing significant pandemic-related challenges. Support is available through two streams:

o   Tourism and Hospitality Recovery Program, which provides support through wage and rent subsidies to, for example, hotels, tour operators, travel agencies, and restaurants, with a subsidy rate of up to 75%.

o   Hardest-Hit Business Recovery Program, which also provides support through wage and rent subsidies, but for other organizations that have faced deep losses, with a subsidy rate of up to 50%.

On December 22, 2021, the Government of Canada also announced the expansion of the eligibility for the Canada Worker Lockdown Benefit (CWLB) to better support Canadian workers in regions where provincial or territorial governments have introduced or acknowledged capacity restrictions of 50% or more.

This benefit provides $300 per week in income support to eligible workers who are directly affected by a COVID-19-related public health lockdown, and who have lost 50% or more of their income as a result. 

The CRA’s top priority is to ensure that access to COVID-19 benefits are simple and clear, and that benefit payments are put swiftly into the hands of those who need it. By monitoring fraud and suspicious activity, and implementing necessary controls, the CRA will protect the integrity of the programs and help ensure that only eligible Canadians receive these benefit payments.