COVID-19: Trudeau explains $82B relief package for Canadians
The Canadian government has released $82 billion in relief, representing more than 3 percent of the GDP, for all Canadians and Canadian businesses.
The fund includes $27 billion in direct supports and the other $55 billion to help Canadian businesses with liquidity through tax deferrals. The money will be handed out directly to individuals through existing Canadian safety net programs as well as employment insurance and Canada Child Benefits.
“The measures we are announcing today will provide up to $27-billion in direct support to Canadian workers and businesses, plus $55-billion to meet liquidity needs for Canadian businesses and households through tax deferrals to help stabilize the economy,” said Trudeau. “This $82-billion in support represents more than 3 per cent of Canada’s GDP.”
Canadian businesses are feeling the pinch already from shut downs, public fear and cancellations of programs.
The stimulus package will provide cash so businesses can keep workers on the payroll even if they have been sent home and bolstering federal benefits and employment insurance programs.
Trudeau also declared that Canada is launching an Emergency Care Benefit for those who do not qualify for Employment Insurance and do not have access to paid sick leave but have to self-isolate or quarantine, or if you need to take care of a family member who has COVID-19. You are eligible to receive an Emergency Care Benefit will receive up to $900 biweekly for 15 weeks.
The Canadian government is also extending the Tax filing deadline from April 30th to June 1st and can defer any payments until after August 31.
Trudeau said the federal government is also creating an emergency support benefit for self-employed and part-time workers who do not qualify for EI. Small-business owners will receive a temporary wage subsidy from Ottawa that will be equal to 10 per cent of salary paid to employees for a period of three months.
For those with outstanding student loans, the federal government has announced a six months grace period for repayment of their loans.
“This will encourage employers to keep staff on the payroll during this uncertain time,” Mr. Trudeau said.
The Canadian government will boost the GST credit in May to help lower income people. This is a tax-free payment send to Canadians.
“Every adult who qualifies will receive up to $300 with $150 for every child,” Mr. Trudeau said.
“No matter where you live or who you are, you will get the support you need during this time,” Prime Minister Trudeau said.
“For people experiencing homelessness we are doubling the Reaching Home Program that provides funding for communities to address their local needs,” said Trudeau. Also a separate fund is being set up to help Indigenous communities.
The Canadian government is also thinking of invoking the Emergencies Act, which would give the government extraordinary powers to restrict movement. Regulate and distribute supplies during this Global pandemic.
This new announcement of $82 billion in relief will be on top of the $1 billion announced already to support Canadian businesses.
