Canada’s COVID-19 Economic Response Plan – Your Options

We understand there is a lot of confusing information on what hardship options you have during the COVID-19 pandemic. If you have lost income due this situation, we have streamlined the different options for you in hopes it will help those in need of assistance from the Government. 

Please note that these option can change and there may be additional options for you in the future. Check the Canadian Government site – site directly for the most up to date information.

Covid-19 support for individuals and families

Child Tax Benefit

The Government is providing an extra $300.00 per child through the Canada Child benefit for 2019-2020 starting May 2020.

Special Goods and Service (GST) Tax Payment

A One time special payment starting April 2020 for low and modest income families which will be close to $400.00 for single individuals and $600.00 for Couples.

Income Tax Filing Date Extended

Filing date is deferred until June 1 2020 and new income tax balances owing deferred until August 31 2020 without incurring interest and penalties. Please note it is important that if you receive the Child Tax Benefit and GST Credit to not delay in filing income tax to ensure that your entitlements are properly determined.

Mortgage Support

Canadian Banks are reviewing case-by-case to permit lenders to defer up to six monthly mortgage payments for those impacted. You are encouraged to visit your banks website for the latest information. 

Covid-19 support for those that have a loss of income and self employed individuals

Canada Emergency Response Benefit (CERB)

A taxable benefit of $2,000.00 paid every 4 weeks up to 16 weeks to ELIGIBLE workers who have lost their income due to COVID-19. Please note that is a taxable benefit which means you may have to pay tax on this when you file your 2020 income tax depending on what your yearly income will be. Please note that if you already applied for or are already receiving E.I. you will not receive the CERB benefit.

Covid-19 support for seniors

RRSP Withdrawals

The Government reduced the required minimum withdrawals from Registered Retirement Income Funds by 25% for 2020.

Covid-19 support for students

Student Loan borrowers will automatically have their Federal portion of their Student loan payments and interest suspended until September 30 2020. You do not need to apply for this. Please note that this moratorium only applies to the federal portion and borrowers will need to check with their provincial or territorial student loan provider directly to see if payment is required on the provincial portion.

Consumer Credit Counselling is here to help you get through Covid-19

If you are still struggling with making minimum payments on your Credit Cards and other unsecured debt with this government assistance, please contact us for a free consultation and a licensed Credit Counsellor can help you with a lower payment and interest option in hopes of freeing up more cash for you in your budget during these unprecedented times.

If you have more questions about your debt, you can also check out our questions page where we have answered many common questions about debt and your everyday life.