The government of Canada provided $149 billion to 900,000 small businesses and NFPs from
April 9, 2020, to June 30, 2021.
The repayment deadline for CEBA loans to qualify for partial loan forgiveness of up to 33 per
cent which is $20,000 has been extended from December 31, 2023, to January 18, 2024.
However, for CEBA loan holders who have already made and will make a refinancing
application with their financial institution that provided their CEBA loan by January 18, 2024, the
repayment deadline to qualify for partial loan forgiveness now includes a refinancing extension
until March 28, 2024.
As of January 19, 2024, outstanding loans, including those that are captured by the refinancing
extension, will convert to three-year term loans, subject to interest of 5% p.a, with the term loan
repayment date extended by an additional year from December 31, 2025, to December 31,
2026
Repayment on or before the new deadline of January 18, 2024 (or March 28, 2024 if a
refinancing application is submitted prior to January 18, 2024 at the financial institution that
provided their CEBA loan), will result in loan forgiveness of $10,000 for a $40,000 loan and
$20,000 for a $60,000 loan.
Re-written & Summarized by:
Mustafa Alam, CPA, CGA,MBA
Alam Accounting & Tax PC
647 853 9650
www.alamtax.ca