New Canada Emergency Rent Subsidy Opens For Application

November 23, 2020
By Candy Pollard

Cornwall, Ontario – The new Canada Emergency Rent Subsidy (CERS) opened for application today.  CERS provides targeted, direct relief to businesses, non-profits and charities that are continuing to face the economic impacts of the COVID-19 pandemic.

Organizations can now directly apply for the subsidy for the period of September 27th to October 24th, 2020 through the Canada Revenue Agency (CRA) My Business Account, or Represent a Client portals. 

Applications for the second CERS period (October 25th to November 21st, 2020) will open on November 30th.  

The CRA has launched a CERS online calculator and application form that are designed almost identically to those of the Canada Emergency Wage Subsidy (CEWS). The calculator guides applicants through a step-by-step process that allows you to determine the subsidy amount that you can claim, based on the information you enter.  The CERS web pages include detailed information about eligibility requirements, how payment periods are structured, and how the subsidy is calculated.  

The CRA will collect applications over the coming days and, on November 30th, process applications received to date. Qualifying organizations whose claims successfully clear the CRA’s automated verification system and that are registered for direct deposit should expect to begin receiving payments starting on December 4th.  In cases where the CRA does not have enough information on file to process a claim, they will ask organizations to provide additional information so that eligibility can be verified before processing.

Quick facts

  • The new CERS is a successor to the Canada Emergency Commercial Rent Assistance (CECRA) and delivers direct, targeted, and accessible rent support to qualifying organizations affected by COVID-19 without the need to claim the assistance through their landlords.
  • The new rent subsidy supports businesses, charities, and non-profits that have suffered a revenue drop by providing support up to a maximum of 65% of eligible expenses.
  • Qualifying organizations that are required to shut down or significantly limit their activities under a public health order will have access to Lockdown Support, a top-up subsidy of 25%, meaning that they could receive rent or property expenses support of up to 90%.
  • Eligible expenses include commercial rent, property taxes (including school taxes and municipal taxes), property insurance, and interest on commercial mortgages (subject to limits) for a qualifying property, less any subleasing revenues. Any sales tax (e.g., GST/HST) component of these costs is not be an eligible expense.
  • The rent subsidy parameters apply until December 19, 2020 with future parameters in 2021 to be adapted and targeted as needed.
  • Applicants can visit CRA login services to create a My Business Account or Represent a Client account and apply for the CERS.