Certain organizations affected by COVID-19 may be eligible to receive the new Canada Emergency Rent Subsidy (CERS).
Under this new relief, businesses, eligible charities and non-profits that experience a revenue drop will be eligible to claim a subsidy on eligible expenses. This is based on a sliding scale up to a maximum of 65% of eligible expenses, including rent and interest on commercial mortgages, from September 27, 2020 until June 2021. The government has now passed legislation related to the first stage of this new relief until December 19, 2020, which outlines the criteria of this new subsidy and generally mirrors the Canada Emergency Wage Subsidy (CEWS), including a sliding rate scale and certain eligibility considerations.
The KPMG CERS support service package can assist organizations to optimize their subsidy claim to offset rent, interest and other costs.