Canada Emergency Rent Subsidy

Givens LLP | December 10, 2020


Canada Emergency Rent Subsidy (CERS)

The subsidy is available starting September 27th and covers 4-week periods until ending in June 2021. This subsidy will provide payments directly to qualifying renters and property owners, without requiring the participation of landlords. In summary:

  • Amount is based on eligible expenses multiplied by a factor which is determined by your decrease in revenue
  • If your business was locked down by a public health order there is additional subsidy amounts available.
  • If you rent and have a written agreement in place prior to October 9, 2020 you can claim the following amounts paid or payable to an arm’s-length party. They are:
    • base rent
    • regular payments for customary operating expenses, such as
      • property insurance
      • utilities
      • common area maintenance
    • property and similar taxes, including school and municipal taxes
    • regular payments to the lessor for customary ancillary services
    • If you own the property and use it primarily for your own business use you can claim amounts paid or payable to an arm’s-length party:
      • Interest on the mortgage
      • Property taxes
      • Property insurance
    • If the amounts above are only payable, then you must attest that you will pay them within 60 days of receive the subsidy.

To apply we will require for each location:

  • Address
  • Landlords name, contact and phone number
  • Expenses for each month in the subsidy period (ie: first period is September 27 to October 25, will need September expenses and October expenses) for each location
  • Any dates the premises was under lock-down
  • Revenue for the months in the subsidy for 2020 and for 2019