Posted on August 11th, 2021 in Domestic Tax, General Business

CRA Limits Amount for Qualifying Rent Expenses for CERS

Yield Sign with CERS limit

According to the government’s Canada Emergency Rent Subsidy (CERS) website, there is a $75,000 limit on qualifying rent expense “per business location”.

It is unclear whether this interpretation is consistent with the legislation, since one reading of the legislation is that the $75,000 cap applies to each eligible entity’s use of the business location rather than the business location itself.

Details on the limits and interpretation can be reviewed in the following article, written by RSM Canada.  It is recommended that businesses revisit their prior CERS claims to determine whether adjustments should be made.  

 

More articles related to CERS and/or COVID-19 in our Business Resource Centre.

For assistance with Government Subsidy Calculations, please contact a member of our Government Relief Team.  

This article is being referenced with permission as a member of the RSM Canada Alliance.