The Government of Alberta has introduced a number of measures aimed at helping businesses in the province weather the economic storm brought upon by COVID-19. Coupled with the ongoing oil price war between Saudi Arabia and Russia that’s sideswiped Alberta’s oil and gas industry, the economic outlook for our province has taken an abrupt, bleak turn. Given the cavalcade of announcements over the past week, we decided to round up the most important ones for you and your business so you can take advantage of everything being offered as of now. For info on how the province is helping individual Albertans and employees, be sure to visit our article on that.
Reversing Property Tax Increases and Deferring Their Collection
Arguably the biggest announcement as of yet, the province has reversed its decision to raise property taxes on businesses by 3.4% this upcoming year as outlined in their 2020 budget. Instead they will remain frozen at last year’s level. In addition to this move, the province is also deferring the collection of non-residential property tax for six months. Municipalities will still be responsible for setting the property tax rate as normal, but they’ve been instructed to defer the collection of these taxes. The deferred amount will then be collected from businesses in future tax years. If a business can currently pay its property taxes, they’re being encouraged to do so in order to help Alberta battle the COVID-19 pandemic. If you’re unsure about what these changes mean for your business or whether you should take advantage of the deferrals being offered, book a free consultation with Isaac Achal Professional Corporation today and let us help you make the best decision for your business.
Deferring Corporate Income Tax Payments
With the aim of keeping more cash and liquidity available to businesses right now, corporate income taxes and instalment payments are being deferred from March 19 until August 31, 2020. If you’ve been behind on completing your corporate taxes and are looking for expert help, now is the perfect time to give us a call at 403-605-6887 so we can help you get back on track.
Deferring WCB Premium Payments
All private sector employers can defer their WCB premium payments until 2021. Small and medium businesses will also have 50% of their 2020 premium covered by the provincial government when it becomes due in 2021, a move that’s expected to save these companies about $350 million. If those employers have already paid their 2020 premium then they’re eligible for a rebate or credit.
Deferring ATB Financial Loans and Credit Lines
If you’re a small business owner who banks with ATB Financial then you can apply for an up to six month payment deferral on your loans or lines of credit. The provincial government says you will also be able to access additional working capital through them.
After reading through the measures the Government of Alberta has instituted in light of the COVID-19 pandemic, it’s easy to see just how serious they’re taking the matter. These unprecedented moves speak to the magnitude of the economic fallout COVID-19 is predicted to cause in Alberta, and business owners should be taking advantage of every single option available to them in these uncertain times. If you’d like to figure out what tax strategies or payment deferrals make the most sense for your business so it can survive this pandemic, book a free consultation with us today.
