This is a brief summary of the key items from yesterday’s Fall Economic Statement (or PDF) relevant to individuals mainly, and a bit for small businesses. Specifically, this stays away from spending summaries, economic data, broad program promises and the politics. (See CBC CTV Huffpost.)
Hyperlinks below are to the main page for the respective program for background, as most (if not all) of the new spending still has to be passed by Parliament.
Canada Child Benefit (CCB) and Child Disability Benefit (CDB)
- Temporary support in 2021 for families entitled to the Canada Child Benefit, through four tax-free payments for each child under the age of six. To be paid when enabling legislation is passed, then April, July, and October 2021.
- $300 quarterly payment per child, for families with net income at or below $120,000
- $150 quarterly payment per child, for families with net income at or below $120,000
- $300 quarterly payment per child, in respect of whom a Children’s Special Allowance is paid (via federal, provincial, territorial and First Nation child protection agencies that care for vulnerable children)
Creating Opportunities for Youth
- Increase support from 80,000 job placements in 2020-21, to 120,000 in 2021-22
- Allow hiring of youth outside summer months, and easier part-time support qualification
- Maximum wage support to employers up to 100% of minimum wage per employee
Youth Employment and Skills Strategy
- $575M investment over next two years to provide 43,500 job placements
Canada Student Loans and Canada Apprentice Loans
- Eliminate the interest on repayment of the federal portion for 2021-22
Personal protective equipment and GST/HST
- Remove the Goods and Services Tax/Harmonized Sales Tax (GST/HST) from the purchases of face masks and face shields, effective December 7, 2020
Simplifying the Home Office Expense Deduction for 2020
- Allow employees working from home in 2020 due to COVID-19 with modest expenses to claim up to $400, based on the amount of time working from home
- Not required to track detailed expenses, and will generally not require a signed form from employers – “Further detail will be communicated by the CRA in the coming weeks.”
Home energy retrofits
- Up to 700,000 grants of up to $5,000 to help homeowners make energy-efficient improvements to their homes over the next 7 years, retroactive to December 1, 2020
- Up to one million free EnerGuide energy assessments
First-Time Home Buyer Incentive (FTHBI)
- Enhance eligibility in the higher priced markets of Toronto, Vancouver and Victoria
- Raising the multiple from 4 to 4.5 times household income
- Eligible income threshold raised from $120,000 to $150,000
- To be effective
Canada Emergency Wage Subsidy (CEWS)
- Increasing the maximum rate to 75% for the period beginning December 20, 2020 and extending this rate until March 13, 2021
Canada Emergency Rent Subsidy (CERS) and Lockdown Support (LS)
- Extending the current rates until March 13, 2021
- Both programs to continue to June 2021