Canada Emergency Wage Subsidy (CEWS)

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• What the changes are: Canada Emergency Wage Subsidy (CEWS)
• Compare the CEWS and the CRHP: Canada Emergency Wage Subsidy (CEWS)
• Who can apply: Canada Emergency Wage Subsidy (CEWS)
• Periods you can apply for: Canada Emergency Wage Subsidy (CEWS)
• Which of your employees qualify: Canada Emergency Wage Subsidy (CEWS)
• Calculate your amount: Canada Emergency Wage Subsidy (CEWS)
• How to apply: Canada Emergency Wage Subsidy (CEWS)
• After you apply: Canada Emergency Wage Subsidy (CEWS)
• Contact us about CEWS: Canada Emergency Wage Subsidy (CEWS)

Who can apply

On this page

• Eligibility criteria
• Confirming your eligibility

Eligibility criteria

To be eligible to receive the wage subsidy, you must meet all three of the following criteria:

1. Have had a CRA payroll account on March 15, 2020

   Even if you didn’t have a payroll account on March 15, you may still qualify if:

   Situation 1

   another person or partnership made remittances on your behalf

   or

   Situation 2

   you purchased all (or almost all) of another person's or partnership’s business assets

2. Be one of the following types of employers

   • individuals (such as sole proprietors)
   • corporations (or trusts) that are not exempt from income tax (Part I of the Income Tax Act)
   • the following persons that are exempt from income tax (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 consisting of eligible employers
   • 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 consisting of eligible employers (including partnerships where at least 50% of the interests in the partnership are held by eligible employers)

     Public institutions are not eligible for the subsidy. This includes municipalities and local governments, Crown corporations, public universities, colleges and schools, and hospitals.

     Read more about who is an eligible employer

3. Have experienced a drop in revenue

   Your drop in revenue is calculated by comparing your eligible revenue during the crisis with your eligible revenue from a previous period (baseline revenue).

   Claim periods 18 to 21
   

   Revenue drop and CEWS rate calculation for claim periods 18 to 20 (July 4, 2021, to September 25, 2021)

   Read about the calculation

   You can read the in-depth details of how the revenue drop and subsidy rate are calculated for claim periods 5 and later.

   Claim period dates

   See all the dates of periods you can apply for.

   Claim periods 5 to 17
   

   Revenue drop and CEWS rate calculation for claim periods 5 and later (July 2020 and later)

   Claim period dates

   See all the dates of periods you can apply for.

   Claim periods 1 to 4
   

   Revenue drop calculation for claim periods 1 to 4 (March to June, 2020)

   Examples of revenue drop calculation and automatically qualifying for claim periods 1 to 4

   Eligible revenue

   Eligible revenue generally includes revenue earned in Canada from:

   • selling goods
   • rendering services, and
   • others' use of your resources

   Generally, you should use your normal accounting method when calculating your eligible revenue. If your normal accounting method is the accrual method, you can elect to use the cash method (and vice versa), but once you choose you must use the same accounting method for all your claims.

   Note: If you choose to use the cash method, you need to check the “cash method” election box when completing your application.

   Read more about calculating eligible revenue

   Special revenue circumstances

   Registered charities and non-profit organizations

   Eligible revenue of registered charities, non-profits, and some prescribed organizations includes donations. These organizations may choose whether or not to include government funding, such as grants, when calculating eligible revenue. Once you’ve chosen, you must use the same approach for each period you are applying for.

   Read more about eligible revenue for charities and non-profit organizations

   Non-arm's length transactions and affiliated groups

   There are special rules for revenue related to:

   • certain non-arm's-length transactions
   • affiliated groups
   Amalgamations and changes of ownership

   Special rules apply for calculating eligible revenue when two or more employers have amalgamated, or when an employer purchased all (or substantially all) of the assets used by a person or partnership to carry on a business in Canada.

   Read more about calculating eligible revenue for amalgamations and changes of ownership

Confirming your eligibility

If we notice a mistake in your application, we will work with you to correct it. If you realize you made a mistake in your application, you can request a change to your previous claim.

We will review your claim and confirm the information you submit.

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• Periods you can apply for