CRA indicates that qualifying rent expense for CERS purposes did not include third-party liability insurance premiums

The application of the Canada emergency rent subsidy ("CERS") turned on the definition of “qualifying rent expense” which, in s. (b)(ii) thereof, included, in the case of a qualifying property owned by the eligible entity, “amounts paid for insurance on the qualifying property.” CRA indicated that this component refers “only to amounts paid as insurance for real or immovable property” and did not include third-party liability insurance.

Neal Armstrong. Summary of 10 January 2022 External T.I. 2020-0873921E5 F under s. 125.7(1) - qualifying rent expense - (b)(ii).