The 10% Temporary Wage Subsidy (TWS) was one of the first COVID-19 relief programs announced to support businesses. For employers that have received the TWS or are planning on applying for the TWS, the Canada Revenue Agency (CRA) is encouraging them to submit the Temporary Wage Subsidy Self-Identification Form for Employers. As a reminder, the TWS is separate from the Canada Emergency Wage Subsidy (CEWS). The TWS is equal to 10% of remuneration paid from March 18, 2020, to June 19, 2020, to a maximum of $1,375 for each eligible employee. This subsidy is received by reducing source deduction remittances to the CRA and employers can receive a maximum subsidy of $25,000. If both the TWS and CEWS are claimed, the CEWS is reduced by the amount received through the TWS.
The Self-Identification Form is not a mandatory part of the process but the information submitted on the form will be used to reconcile the subsidy on the employer’s payroll program accounts, ensuring they will not receive a discrepancy notice. If you have any questions about the TWS, CEWS or any related forms, please reach out to your Bateman MacKay Account Manager.