CPA Canada applauds federal government COVID-19 fiscal response

The federal government’s actions and fiscal support to address the widespread and devastating economic fallout of the COVID-19 pandemic are welcomed by Chartered Professional Accountants of Canada (CPA Canada).

TORONTO, March. 18, 2020 – The federal government’s actions and fiscal support to address the widespread and devastating economic fallout of the COVID-19 pandemic are welcomed by Chartered Professional Accountants of Canada (CPA Canada).

“Canadians and our business community have been knocked off balance by this virus and it is creating a ripple effect of negative impacts across businesses of all types and sizes,” says Joy Thomas, President and CEO of CPA Canada. “The government’s response is swift and decisive, providing significant measures to help alleviate the serious financial challenges faced by our business community and to support employees and families in these unprecedented times. The magnitude of the response, three per cent of GDP, is strong – stronger than many other nations.

The measures hit the critical economic stabilizers required to protect the long-term economic capacity of individual Canadians and businesses while, at the same time, provide the liquidity needed to protect the country’s financial infrastructure.

Thomas adds: “The COVID-19 crisis is creating stress and economic consequences requiring real-time business decisions. Many Canadian CPAs will be deeply involved managing relevant aspects of the emergency package and helping organizations ensure business continuity.”

Key measures taken by the federal government today include:

  • $27 billion in direct support to Canadian workers and businesses
  • $55 billion to meet liquidity needs via income tax deferrals
  • Tax deadlines – filing due date for individuals pushed back to June 1, with any resulting payment not required until September 2020. While this is positive news, the government did not provide a comprehensive update on all tax deadlines including some quickly approaching.

“The government’s latest package must be viewed in conjunction with other announcements over recent days,” explains Thomas. “The collective actions taken to address immediate needs will help Canada be well-positioned to recover once the health risk and corresponding financial crisis eases.”