Amount:

No Fixed Amount

Type of Program:

Wage Subsidy


Description:

The Canada Recovery Hiring Program (CRHP) provides support for increasing wages to existing employees and wages paid to new hires as business resumes and the economy recovers.

Comments on Funding:

Funding is a wage or hiring subsidy.


When It Ends:

Ongoing

Deadline:

May 7, 2022

Eligibility:

To be eligible for a wage or hiring subsidy, applicants must meet:

  • two general eligibility criteria that relate to all subsidies;
  • additional requirements that are specific to the subsidy they are applying for, and
  • revenue drop requirements for the subsidy they are applying for;

Applicants may only apply for one wage or hiring subsidy per claim period, even if they are eligible for more than one.

Applicants must meet both of these criteria to be eligible for any subsidy: 

I. had a CRA payroll account on March 15, 2020. Even if they didn't have a payroll account on March 15, they may still qualify if:

  •  another person or partnership made remittances on their behalf, or
  • they purchased all (or almost all) of another person's or partnership's business assets.

II. be one of the following types of employers:

  •  individuals (such as sole proprietors);
  • corporations (or trusts) that are not exempt from income tax under Part I of the Income Tax Act. Note: Publicly traded companies or their subsidiaries are not entitled to any wage subsidy for a claim period in which they paid taxable dividends to an individual who is a holder of common shares of the company or of the subsidiary of the company.
  • the following persons that are exempt from income tax under Part I of the Income Tax Act : 
  • non-profit organizations;
  • agricultural organizations;
  • boards of trade;
  • chambers of commerce;
  • non-profit corporations for scientific research and experimental development;
  • labour organizations or societies;
  • benevolent or fraternal benefit societies or orders.
  • registered charities;
  • partnerships where all members are eligible employers; 6. the following prescribed organizations:
  • certain Indigenous government-owned corporations that carry on a business;
  • partnerships consisting of eligible employers and certain Indigenous governments;
  • registered Canadian amateur athletic associations;
  • registered journalism organizations;
  • private schools or private colleges, and
  • partnerships where at least 50% of the fair market value of all interests in the partnership are held by eligible employers throughout the claim period.

Public institutions are not eligible for the subsidies.

This includes municipalities and local governments, Crown corporations, public universities, colleges and schools, and hospitals. 

Additional CRHP ELIGIBILITY CRITERIA:

  1. 1
    All types of employers who are eligible for the wage subsidy are eligible for CRHP, except some for-profit corporations and partnerships. For-profit corporation, must be either:
  • a Canadian-controlled private corporations (CCPC), or 
  • a cooperative corporations that is eligible for the small business deduction. 
  1. 2
     If applicants are a partnership, at least 50% of the fair market value of the partnership’s interests must be held (directly or indirectly) by employers eligible for the CRHP throughout the claim period.
  2. 3
    Claim period revenue drop required:
  • for Period 17 no minimum revenue drop required;
  • for Periods 18 and later the minimum revenue drop of more than 10% required.

Applications Steps:

1

submit only one application for each claim period they are eligible for, even if they have more than one RP account.

2

use one of the three ways to apply:

  • In My Business Account, find the wage subsidy applications under Payroll in the main menu.
  • Business representatives may apply using Represent a Client. Note: Only representatives authorized at Level 2 or 3 will be able to apply with a completed attestation form.
  • If neither is an option for applicants, they may use the Web Forms application using their web access code (WAC).

About the author 

Maurice

Maurice (Moe) Muise learned the ins-and-outs of government while an employee of the Government of Canada in Ottawa for 10 years. His current focus is helping small businesses in Ontario to identify and maximize government grants to grow their business.
Click here to learn more about Moe's background and how he can help your business.

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