Ontario announces the Ontario Business Costs Rebate Program to Help Businesses

The province of Ontario has finally announced economic support for businesses impacted by COVID-19 restrictions. Here’s what you need to know about the new Ontario Business Costs Rebate Program.

While businesses are affected by public health restrictions, Ontario will cover up to 50 percent of eligible businesses’ property taxes and energy costs. 

Ontario Business Costs Rebate Program

The Ontario Business Costs Rebate Program will begin accepting applications in mid-January. However, rebates will be retroactive to December 19th, when the latest round of restrictions came into effect.

The province says to gain access to this rebate program, businesses must submit their property taxes and energy bills. A full list of eligible businesses will be available in the new year, but the government said restaurants, smaller retail stores and gyms will be supported.  

In addition, the province will provide a six-month “interest- and penalty-free period” to make payments for most provincially administered taxes. This period will begin January 1, 2022, and run through July 1.

Potential Delayed Taxes

The list of taxes that could be delayed by six months with the new program is as follows:

• Employer Health Tax
• Beer, Wine & Spirits Taxes
• Tobacco Tax
• Insurance Premium Tax
• Fuel Tax
• International Fuel Tax Agreement
• Gas Tax
• Retail Sales Tax on Insurance Contracts & Benefit Plans
• Mining Tax
• Race Tracks Tax

Learn more about the Ontario Business Costs Rebate Program here. In addition, questions about the Ontario Business Costs Rebate Program should be directed to 1-866-668-8297 (1-866-ONT-TAXS).

Indoor capacity reduced to 50%

This announcement comes on the heels of Ontario’s decision to reduce capacity limits for most indoor settings last week. 

More specifically, the 50 percent capacity limit applies to these indoor public settings:

• Shopping malls
• Restaurants, bars and other food or drink establishments
• Strip clubs
• Personal care services
• Indoor recreational amenities
• Personal physical fitness trainers
• Tour and guide services
• Photography studios and services
• Retailers (including grocery stores and pharmacies)
• Non-spectator areas of facilities used for sports and recreational fitness activities (e.g. gyms)
• Indoor clubhouses at outdoor recreational amenities
• Marinas and boating clubs

These limits do not apply to businesses used for weddings, funerals or religious services and ceremonies. 

Also, restrictions increased to only allow 10 guests indoors and 25 guests outdoors for at-home gatherings. 

In addition, Ontario has mandated that restaurants and bars have to close at 11 pm, with the exception of take-out and delivery services. As a result, last call for alcohol is now at 10 pm.

Finally, new modelling has shown that the Omicron variant will rapidly spread across the province. Thus, the Ford Government made these restrictions to help reduce the spread of the variant.

More information can be found here: https://www.ontario.ca/page/businesses-get-help-covid-19-costs