Find out if your business is eligible for the Ontario Small Business support grant!

The grant that was announced in December is to support businesses, including sole proprietorships, that have had to restrict or close operations due to the December 26, 2020 Provincewide shutdown. The minimum grant can be anywhere from $10,000 to a maximum of $20,000 for eligible businesses. Businesses must be able to show that they have experienced a revenue decline of at least 20 percent when comparing monthly revenues in April 2019 and April 2020, if your business was not in operation in April 2019, you can select alternative months for comparing the revenue decline.

Please see below what is considered an eligible small business:

  • Were required to close or significantly restrict services due to the Provincewide Shutdown being imposed across the province effective 12:01 a.m. on December 26.
  • Have fewer than 100 employees at the enterprise level.
  • Have experienced a minimum of 20 per cent revenue decline in April 2020 compared to April 2019. New businesses established since April 2019 will also be eligible if they meet the other eligibility criteria.

Please see below businesses that are not eligible:

  • If you were already required to close prior to the introduction of modified Stage 2 measure on October 10, 2020, and essential businesses that were permitted to operate with capacity restrictions.
  • Must have a business number. If your business does not have a number, you will be directed to apply for a business number before you can proceed with applying.

Application requirements, deadline to apply is March 31, 2021:

  • Legal Business name
  • Canada Revenue Agency (CRA) Business Number (If you do not have a CRA Business Number, please apply for one here: Register for a business number or Canada Revenue Agency program accounts – Canada.ca
  • Business type
  • Revenue figures
  • Number of employees
  • Business’ bank account number – Name of financial institution – Address of financial institution – Financial institution number – Branch/Transit number – Account type

Enterprise businesses, which can be a corporation, unincorporated business, partnership, charity, non-profit organization, or any other type of entity operating a business in Ontario. To be eligible to apply you must have owned and operated at least one enterprise on or prior to December 24, 2020. If the enterprise was not in operation on December 24, 2020, it is not eligible for this grant.

If an enterprise applying for funding was affiliated with one or more other enterprises on December 24, 2020:

a) You will need to calculate the decline in the aggregate revenue of the applicant enterprise and of all enterprises with which it was affiliated on December 24, 2020. Do this by comparing.

i. the revenue of the applicant enterprise for April 2020, plus the revenue for April 2020 of all enterprises with which it was affiliated on December 24, 2020, with the revenue of the applicant enterprise for April 2019, plus the revenue for April 2019 of all enterprises with which it was affiliated on December 24, 2020.

b) If the decline in revenue as calculated in paragraph (a) is less than 20 per cent, then neither the applicant enterprise nor any of its affiliates are eligible for a grant under this program.

c) If the decline in revenue as calculated in paragraph (a) is 20 per cent or more,

i. The grant available under this program will be based on the aggregated revenue reduction as calculated in paragraph (a) above for the affiliated group (subject to a maximum of $20,000 in funding); and only the applicant, and no other enterprise with which it is affiliated, may apply for funding under this program.

Once applications are successfully submitted an eligible business can expect to receive payment within approximately 10 business days. Note, if your application is incomplete or incorrect you will experience a delay in receiving payment.

Below are other grants that are available when you apply:

Main Street Relief Grant for Personal Protective Equipment (PPE) providing up to $1,000 for PPE costs to eligible small businesses across Ontario with 2 to 9 employees.

Property Tax and Energy Cost Rebate Grants this will provide a rebate to eligible businesses in respect to property taxes and energy bills.

Please click the below link to apply or to find more detailed information on the available funding:

https://www.ontario.ca/page/businesses-get-help-covid-19-costs#section-0

Shaelene’s Tax Tip of the Week – January 13th

Did you know?

If you are a sole proprietor and claiming a home office and you own your home, you will receive your annual mortgage statement in January or February. Be sure to keep this document, as you can claim a portion of the interest paid on your mortgage.

Contact Books In Line at 905-571-2665 and we can help assist you with your taxes.  
Have questions? Give us a call at 905-571-2665 (BOOK)!