When is the Deadline for Filing for 2020 Tax Year?

A calculator to use to help you know when to file for 2020 tax year.

When is the deadline for filing taxes this year for 2020? It is a good question because with the pandemic still ranging on, many Canadians are not sure. Last year, the deadline was extended but what about this year? Here are some dates that you need to know.

When is the Deadline for Filing for 2020 Tax Year? Individuals

If you go to the government of Canada’s website, the deadline for individuals this year is April 30, 2021. Also, if you are going to owe any amount in taxes for the year 2020, the due date for payment is also April 30, 2021. If you do not pay any amounts owing by this date, you could incur a late filing fee and interest on the amount owing.

Deadline For Self Employed Individuals and their Cohabiting Spouse or Common Law Partner

The government of Canada website indicated that the deadline for self employed individuals, spouses, or common law partners is June 15, 2021. However, the deadline for any amount owing in taxes for these ones is April 30, 2021. If taxes owing are not paid by then, you could incur a late filing fee and interest on amount owing.

Deadline to File a Deceased Person’s Return

The government of Canada’s website says that if a person died between January 1, 2020 and October 31, 2020, the deadline to file the deceased person’s return is April 30, 2021. And the deadline to pay any tax owing on the deceased person’s return is also April 30, 2021.

If the person died after October 31, 2020 and before May 1, 2021, then the deadline to file the deceased person’s return is six months after date of individual’s death. The deadline for taxes owing on deceased person’s return is also six months after individual’s death. However, the surviving cohabitating spouse or common law would still have to pay any tax owing on their returns by April 30, 2021.

Deadline for Corporations

The deadline for for corporations is six months after the end of the corporation’s tax year.

When is the Deadline for Filing Taxes for 2020 Tax Year? Conclusion

Tax season is upon us but it looks like dates of filing are back to the status quo. However, it is good to know that because many might think differently due to the pandemic. But it is always good to check because no one wants to pay any extra interest or late filing fees. Stay safe out there.

CERS and CEWS Extended to June 2021

Picture of Canadian money to denote businesses receiving help due to CERS and CEWS being extended to June 2021.

On March 3, 2021, the government announced that the CERS and CEWS would be extended to June 5, 2021. They said both programs will be maintained at current levels. This is good news for businesses who are still struggling. Here’s what that means below.

CERS and CEWS Extended June 2021 Details

The Canada Emergency Rent Subsidy (CERS) will be extended to June 5, 2021. It will still cover up to 65% of eligible employers’ rent. Also, the additional 25% lockdown subsidy top-up for hard hit businesses restricted by more severe public health guidelines will be extended to June 5, 2021.

The Canada Emergency Wage Subsidy (CEWS) will also be extended to June 5, 2021. It will still cover up to 75% of employees’ wages for eligible employers.

The government also announced an extension for Furloughed workers to June 5, 2021. Here’s a quote from the government’s website regarding this:

“the government intends to continue to align the wage subsidy rate structure with the benefits provided through the Employment Insurance program from March 14 to June 5, 2021. This means employers who qualify for the wage subsidy would be able to continue to claim up to a maximum benefit of $595 per week per employee to support remuneration of their furloughed workers.”

Conclusion

The Prime Minister said, “This isn’t the time to pull back on support for workers or business owners, it’s the time to see people through what is hopefully the final stretch of this crisis and it’s time to get the whole economy ready to come roaring back,”

Hopefully he is correct and we are in the final stretch of this pandemic. But as already seen so far, the coronavirus is unpredictable and highly resilient. So only time will tell if we are nearing the finish line. Until then, please stay safe.

10 Ways to Save Money on Rent – Saving on Apartments and Condos

There is no greater cost for most of us than our housing costs – either our monthly rent, or mortgage. In some large cities – I’m looking at you Toronto and Vancouver – monthly rental costs can easily swallow up half of our paycheques! (Or, sadly sometimes way more!!) With rent prices skyrocketing, we thought it would be helpful to discuss some ways you can save money on renting an apartment, house or condo. If you can lower your rent costs, then you’ll be able to live within a budget. So, here are our 10 favorite tips!

1. Look for apartments in the ‘off season’

Sometimes you just can’t control when you need to rent a new place. For instance, if you’re a student – well, you need to rent an apartment to be ready for the new school year! But, if you are in a situation when you can be flexible about when you look for your new digs, choose winter time to search. Fewer other people will be searching then, and you might secure a lower lease because of it.

2. Add up all the costs – rent plus utilities

Sure, that gorgeous little downtown condo sounds like an impressive bargain! But, make sure you include all costs in your total rent payment. If the rent is $1500, but then parking is $150 and utilities are $200 your total rent payment is actually $1850! If there’s another condo located in the same building for $1750, with all costs included then you’re better off choosing Condo B. Do your research to discover what your full monthly housing costs will be.

3. Negotiate a lower rent

If you’re a brand new tenant, you may be able to negotiate rent by being knowledgeable about the area and what typical rental costs are. You can even print out similar properties with the rent that is currently being charged. If the landlord is reasonable, they may be willing to lower the rent. Or, if you’re a long-term tenant, use your record of excellent payment and tenancy to negotiate to either stay at the same rent or even lower it. Or, sometimes landlords are willing to negotiate for other freebies such as free additional storage space, or free parking. (I’ve recently done exactly that – received free parking that would’ve otherwise cost $65/month, because we are long-term, excellent tenants.)

4. Offer to do repairs, maintenance or lawn work

Your landlord may really appreciate it if you’re willing to do some of their hard work for them! It never hurts to ask if you could do some repairs around the place for a lowered rent. Or, you could do regular maintenance or yard work – such as raking up leaves, mowing the lawn, or shoveling snow. Ask them if you could negotiate your rent based on offering these maintenance services. Then, if they agree – get your agreement in writing.

5. Manage an apartment building

Some people get free rent by managing an apartment building! Others will receive reduced rent for doing this job. But, make sure you know what you’re signing up for. Other tenants will come to you with complaints, and worries and even possibly to drop off rent cheques. Make sure you want to take on this responsibility before signing up to be a resident manager. If this kind of job sounds ideal, then you may snag some very cheap rent!

Home sweet home

6. Get a Roommate

Sure, getting a roommate may be an obvious choice to reducing your overall rental costs, but make sure to do your research. As in: know the person you’re going to share your home with! Ask around your friends to see if anyone needs a good roommate, or even at your workplace. Set up careful rules about how rent will be paid, how utilities will be divided, and even how food will be shared.

7. Sign a longer lease

Have you found your dream place? Are you worried that rent prices are just going to continue going up, up, UP? Well, then sign a longer lease. Ask your landlord or the management company of your building if a longer lease is an option. This could be 1 year, or even 2 years or longer. Then, you’ll have locked in your housing costs for that period of time and won’t have to worry about that dreaded letter being slipped under your door telling you about rent increases.

8. Rental Incentives

Especially in areas where there are a lot of rentals available, and too few qualified renters – there will be rental incentives. Take note of signs in the areas you’re looking to live in of these special offers. $500 off, Free Parking, 1 month free rent, and other offers may be used to entice new tenants to sign a lease at that apartment or condo complex. And, if there are incentives, you know too that the landlord may be willing to negotiate a bit more in other areas – such as free cable or internet. It’s always worth asking! (Just be polite about it, and don’t seem as if you’re trying to take advantage.)

9. Refer a Friend

Often, larger condos or apartment buildings may have a referral system in place to reward you if a friend moves in. At one point, where we live, both we and our friend received $150 off rent, and all because we referred her! It’s worth checking it out, and seeing if there are any perks for referring people to live in the same complex you do. And hey, then you’ll know the neighbors, too!

10. Rent an unfurnished apartment

If this is the first time out on your own, you may be very tempted by gorgeous, glossy looking, fully furnished apartments or condos. But, the price for these can be outrageously high! Instead, choose a small first apartment and then furnish it very cheaply. You can do so by letting your family and friends know (it seems like everyone’s Auntie or Grandma has some extra, old furniture lying around unused in the attic) or also by finding freebies or very inexpensive furniture on Craigslist or Kijiji. It’ll take a little time to furnish your place, but this way you’ll also make it more your own, unique space.

Canada Mortgage Rates as of January 11, 2021

A picture of a toy house with keys to denote Canadians wanting to know Canada mortgage rates.

What are the Canada mortgage rates currently? Many want to know because many people find themselves reevaluating their living arrangements due to COVID-19. As a result, more and more Canadians are looking to purchase a house where they can have more space and more land so they can feel safer. It is a new right now. So what are the Canada mortgage rates right now?

Canada Mortgage Rates Currently at 3 of the Big Banks

Scotiabank

Variable Rate Mortgages

Posted Rate
Scotia Ultimate Variable Rate Mortgage-Closed 3 Year Term3.350%1
Scotia Flex Value Mortgage-Closed 5 Year Term2.650%2
Scotia Flex Value Mortgage-Open 5 Year Term5.750%3

Closed Term Fixed Rate Mortgages

TermRate
1 year3.090%
2 years3.190%
3 years3.790%
4 years4.090%
5 years4.790%
7 years5.390%
10 years5.890%

Short Term Fixed Rate Mortgages

TermRate
Open Mortgage – 6 month5.750%
Open Mortgage – 1 year5.750%
Flexible/Closed Mortgage – 6 month4.250%

Royal Bank

Popular Rates

TermSpecial OffersAPR
2 Year Fixed2.090%2.150%
5 Year Fixed2.170%2.200%
5 Year VariableRBC Prime Rate – 0.550% (1.900%)1.930%

TD Bank

TD Special Mortgage Rates

TermSpecial Rate3APR    4,   5
3 Year Fixed Closed72.14%2.18%
5 Year Fixed Closed71.94%1.96%
5 Year Fixed Closed
High-Ratio9
1.84%1.86%
5 Year Variable Closed61.70%1.72%

TD Mortgage Prime Rate is 2.60%

Conclusion

The rates above are just a sample of the rates currently available today. However, rates can change, so it is good to either look at a bank’s website or contact them directly for latest rates.

Home ownership in Canada is high when compared with other countries and this trend will continue. (Approximately 66% of Canadians own a property.) And despite (or perhaps even because of) Coronavirus, Canadians are still looking for homes. As a result, mortgage rate shopping has become more important. Please stay safe.

Government of Canada’s Fall Economic Statement and Budget – Highlights

A picture of someone holding Canadian money to denote how the Government of Canada's fall economic statement will affects many Canadian's pocket books.

On Monday November 30, 2020, I got up and watched the Government of Canada’s fall economic statement. I wanted to see what further relief plans they had for Canadians who are struggling due to the ongoing COVID-19 pandemic. The finance minister, Chyrstia Freeland, mentioned a myriad of things they were planning to do with some ideas being more concrete than others. Here are some of the highlights below.

Government of Canada’s Fall Economic Statement- Increasing the Canada Emergency Wage Subsidy (CEWS) Rate

To continue to help businesses, the government is increasing the maximum rate of the Canada Emergency Wage Subsidy to 75 per cent for the period beginning December 20, 2020 and extending this rate until March 13, 2021. This means the government will cover up to 75% of employees’ wages during this time period. Originally, this had decreased, but this amount has now been restored to cover up to 75% of wages again.

Extension of The Canada Emergency Rent Subsidy (CERS) Rate and Lockdown Support

The current maximum rate of the Canada Emergency Rent Subsidy is 65 percent and businesses severely affected by a lockdown good get could get up to additional 25 percent of eligible expenses. This rate was to last until December 19, 2020 but now has been extended until March 13, 2021.

Potential Support for Airlines, Tourism, Hotels, Arts – Highly Affected Sectors Credit

The Finance Minister also mentioned setting up low interest loans in these industries of up to a million dollars. Those industries, as noted in the heading, are airlines, tourism, hotels and the arts. The terms of these loans would be extended over a period of up to 10 years. This will be called the Highly Affected Sectors Credit Availability Program.

Government of Canada’s Fall Economic Statement – More Support for Families

To help families with young children through the pandemic, the government will provide temporary support of up to $1,200 in 2021 for each child under the age of six for families entitled to the Canada Child Benefit.

Conclusion

The Government of Canada’s Fall Economic statement contained a lot of details on programs and ideas to help Canadians navigate through this pandemic and beyond. The above were just some of the main highlights gleaned from it. If you want a more detailed listing, please visit the government’s website. The cost of these programs will be enormous but the government feels it is necessary for the situation we are in. Will it help? Only time will tell but for many who are suffering due to covid-19, any help at all is good help. Stay safe.

The New Canada Emergency Rent Subsidy (CERS) – Starts Today

A businesses space with a for rent sign to denote need for struggling businesses to apply for the new Canada Emergency Rent Subsidy program.

The New Canada Emergency Rent Subsidy (CERS) program begins to take applications today. Businesses that are struggling due to COVID-19 can now apply for this subsidy. To apply, you can go to the government of Canada’s website.

What is the New Canada Emergency Rent Subsidy (CERS)?

The new CERS program (Canada Emergency Rent subsidy) is a rent or mortgage subsidy for Canadian businessesnon profit organizations, or charities who have seen a drop in revenue due to the COVID-19 pandemic. The time period that the subsidy will cover is September 27, 2020 to June 2021.

The government’s website indicates that the subsidy will cover up to 65% of qualifying expenses. There is also an additional 25% of rent support for businesses, not profit organizations or charities that have been especially hard hit by mandatory public health orders. As a result, the hardest hit businesses can potentially receive a total rent subsidy of up to 90 %. These subsidy rates are in effect until December 19, 2020.

The new subsidy program payments will be made directly to qualifying renters or property owners without needing the participation of landlords. This is a change from the previous program where the landlords had to apply for the program and as a result the expected participation for the previous program was low.

Conclusion

The new Canada Emergency Rent Subsidy will be a welcome sight for many Canadian businesses. With the second wave of COVID-19 spiking all over the country, more restrictions and potential lockdowns seem inevitable. As a result, many struggling businesses are going to continue to struggle to keep afloat. Hopefully, this new program can help take some of the sting of the financial losses that will come with those further lockdowns. Unlike the last wage subsidy program, the government’s hope is that many more businesses will apply. Will this help? As the old saying goes, any help is good help but only time will tell. Please stay safe.

When Will Canada Child Benefits (CCB) be Paid in 2020? CCB Payment Dates

Picture of children by the lake to denote when will Canada Child Benefits (CCB) will be paid in 2020.

When will Canada Child Benefits be paid out for the rest of 2020? It is an important question for people with children because for many expenses are up. There are a few reasons for this such as children returning to school and uncertainty of job stability due to COVID-19 cases rising everywhere. Also, for many there is the holiday season and the costs associated with that. So it is important for families to know when they will see their CCB benefits so they can plan accordingly.

When Will Canada Child Benefits (CCB) be Paid in 2020?

Here are the dates each month that CCB payments will be made to families from the Government of Canada’s website below for the rest of 2020:

-September 18, 2020

-October 20, 2020

-November 20, 2020

-December 11, 2020

As noted from above, December’s payment will come a bit earlier. And a couple of additional notes from the government’s website. First, you will not receive a monthly payment if your total benefit amount for the year is less than $240. Instead you will receive one lump sum payment with your July payment. Second, if you don’t receive your CCB payment on the expected payment date, please wait 5 working days before you contact us.

Conclusion

It is more important than ever in these unstable times to know what you have for money coming in for your family. Knowing when CCB payments will be issued can help you to plan better. Also, it helps you to know when to contact the Government of Canada if there has been any delay. As the old saying goes, knowledge is power. However, in these unstable times it is probably better to say that knowledge is survival. So take care of yourselves and stay safe.

You Might Also Like: When Will New COVID-19 Recovery Benefits Start?

New Canada Emergency Rent Subsidy – What is it? (CERS details)

A for rent sign to denote the new Canada Emergency Rent Subsidy program for businesses and organizations.

A few days ago the federal government announced the new Canada Emergency Rent Subsidy to help businesses cover their rent due to the continued financial crisis caused by the COVID-19 pandemic. This was good news to the many businesses struggling to stay afloat. What is this new program?

New Canada Emergency Rent Subsidy (CERS) Replaces CERCA Program

The New Canada Emergency Program (CERS) will replace the old Canada Emergency Commercial Rent Assistance Program (CECRA) which ended on September 26, 2020. The biggest change between the two programs was that under the old CECRA program the commercial landlords had to apply for the program for businesses that needed rent relief. And they were under no obligation to apply, often leaving tenants in a very difficult situation.

However, under the New Canada Emergency Rent Subsidy Program, the government will now directly help the businesses and organizations who need relief. This means that businesses can apply to the program themselves and no longer need their landlords to apply. So what are the details of the program?

Details of Canada Emergency Rent Subsidy Program (CERS)

The program so far is thin on details and even on the government’s website it says that more information will be coming soon. But from the government’s news release on October 9, 2020 and other reports, here’s what has been shared so far.  The new rent subsidy will support businesses, charities and non-profits that have suffered revenue drops by subsidizing a percentage of their expenses on a sliding scale, up to a maximum of 65 per cent of eligible expenses. This will last until December 19, 2020.

In addition to the rent subsidy, there will be a top-up of 25 percent available for organizations that have been temporarily shut down by a mandatory public health order.

When Will it Start? Conclusion – CERS for Business owners

There was no indication of when businesses and organizations can apply for this new program. However, when it does finally start, applicants can apply for their subsidy to start retroactively as of September 27, 2020. Once the government announces when people can apply, we will provide an update.

The new wage subsidy program is a potential relief for businesses and organizations that are struggling to survive during these unprecedented times. Hopefully, more details will become available shortly as the situation is dire for many businesses. And with COVID-19 cases on the rise again, the financial future seems more uncertain than ever. Stay safe.

CERB Replaced by New EI, CRB, CRSB, and CRCB programs – latest details (Canada Covid Relief)

A person on a calculator to denote someone calculating their budgeting based on CERB ends and being replaced by new EI, CRB, CRSB and CRCB programs.

CERB will be replaced by a new EI program and three transitional programs CRB, CRSB, and CRCB. I wrote a previous article regarding these programs, which I’ve linked to at the bottom of the page. However, there are some slight changes to the programs since the government’s throne speech on September 23, 2020. Let’s highlight some of these details below.

CERB Replaced by New Employment Insurance Program

If you were on the Canada Emergency Response Program (CERB) when it ended September 26, 2020, you will either be transitioned to or have to apply for EI benefits if you qualify for it. For example, if you applied for CERB through Service Canada, you will automatically be set up for EI benefits if you qualify. If you applied for CERB through CRA (Canada Revenue Agency), then you will have to apply for EI benefits after September 26, 2020.

The main criteria for EI is that someone has worked at least 120 insurable hours of employment in last 52 weeks. This criteria is for both regular EI benefits and Special benefits. The rate one will receive has been increased to at least $500 per week and $300 per week for extended parental benefits for at least 26 weeks. But what options does someone have if they do not qualify for EI benefits?

CERB Replaced by New Transitional Benefits – CRB, CRSB, CRCB

Last Thursday the government tabled these three new recovery benefits in Parliament which will be debated today for ones who do not qualify for EI. These benefits are temporary as you can only apply for them up to September 25, 2021. Here’s a brief description of each below.

Canada Recovery Benefit (CRB) – The program is designed for those who are self employed and are not eligible for EI and still need support. The rate is $500 per week for 26 weeks. It is provided to workers who have not returned to work due to COVID-19 or seen their income drop by at least 50 percent. Those who apply for this program must be looking for work and accept work when it is reasonable to do so.

Canada Recovery Sickness Benefit (CRSB) – The program provides $500 per week for up to two weeks for workers who are sick or who must self-isolate due to COVID-19. The government has indicated that the goal of this program is to provide paid sick leave to all Canadians. Details such as eligibility requirements have not been given as of yet.

Canada Recovery Caregiver Benefit (CRCB) – The program provides $500 per week for up to 26 weeks for those who are unable to work because they need to care for a child under the age of 12 or family member because schools and daycares are closed. The benefit is also available for those caring for a child or family member who is sick and/or required to quarantine.

CERB Replaced by New Benefits, When Do They Start? Conclusion

Regarding the new EI program, it starts this week as some people are already transitioned into it while others can apply right now for EI benefits. However, regarding the three new temporary recovery programs, as mentioned above – the bill (C-2) for these programs will be debated today (September 28, 2020) in Parliament. Once the debates have ended, there will be a vote and if it passes, then it will be implemented. How fast it can happen is anyone’s guess but could happen fairly rapidly. So it would be good to check for updates daily. Also, because it is being debated there could possibly be some more adjustments, so look out for that also. Hopefully, things will move fast and these programs can be accessed because many still need help during these unstable times. Stay safe everyone.

You Might Also Like: When Will CERB Finally End? New End Date and Programs

Current Canadian Mortgage Rates as of September 14, 2020

A graph to denote fluctuating current Canadian mortgage rates.

What are current Canadian mortgage rates in right now? It is an interesting question which will take much research as each bank has their own rates. This can be a long and arduous process. However, I thought I would post some currents rates of some of Canada’s big banks to help make things a bit easier for you guys. So without further ado, here are the current mortgage rates in Canada below:

Current Canadian Mortgage Rates

Royal Bank of Canada

TermSpecial OffersAPR
2 Year Fixed2.090%2.150%
5 Year Fixed2.290%2.320%
5 Year VariableRBC Prime Rate – 0.350% (2.100%)2.130%

TD Bank

TD Special Mortgage Rates

TermSpecial Rate3APR    4,   5
3 Year Fixed Closed72.19%2.23%
5 Year Fixed Closed72.24%2.26%
5 Year Fixed Closed
High-Ratio9
2.07%2.09%
5 Year Variable Closed62.05%2.07%
TD Mortgage Prime Rate is 2.60%

Scotiabank

Variable Rate Mortgages

Effective September 14, 2020

Posted Rate
Scotia Ultimate Variable Rate Mortgage – 3 Year Closed Term3.350%1
Scotia Flex Value Mortgage-Closed 5 Year Term2.650%2
Scotia Flex Value Mortgage-Open 5 Year Term5.750%3

Closed Term Fixed Rate Mortgages

TermRate
1 year3.090%
2 years3.190%
3 years3.790%
4 years4.090%
5 years4.790%
7 years5.390%
10 years5.890%

Short Term Fixed Rate Mortgages

TermRate
Open Mortgage – 6 month5.750%
Open Mortgage – 1 year5.750%
Flexible/Closed Mortgage – 6 month4.250%
Special Offer Information
1
APR 3.87%
2
APR 2.70%
3
APR 5.75%

Conclusion

Buying a house is one of the most important purchases you can make. And for most, obtaining a mortgage is necessary to make that home purchase happen. So finding the right mortgage rate for your circumstances is imperative because choosing the wrong rate could cost you thousands of dollars. So do your research; ask lots of questions; read the fine print and take an honest appraisal of what you can afford. Compare mortgage rates AND ask at the bank if they’ll match the better rates at other financial institutions. Doing so will give you the information you need to make the right decision. And, potentially save thousands upon thousands of dollars over the course of the mortgage. Happy house hunting!