*Updated March 28, 2022

With the end of the CEWS and CERS on October 23, 2021, the Government of Canada has announced the Tourism and Hospitality Recovery Program (THRP) to help support impacted businesses and organizations.

The THRP will provide rent and wage subsidies to organizations in selected sectors of the part of the tourism, hospitality, arts, entertainment, or recreation sectors that have been deeply affected since the outset of the pandemic.

What types of organizations can apply?

As a business, charity, or non-profit in Canada who has been affected by the COVID-19 pandemic, you may be eligible for a wage subsidy, a rent subsidy, or both through the THRP.

You may qualify if you are either:

  • part of the tourism, hospitality, arts, entertainment, or recreation sectors, or
  • are/were affected by a qualifying public health restriction

Examples of tourism, hospitality, arts, entertainment, and recreation sectors include:

  • airports
  • amusement and theme parks
  • amusement arcades
  • camping facilities
  • casinos
  • charter bus services
  • cinemas
  • cruise ship passenger terminals
  • cultural and artistic events
  • duty-free retail stores
  • hotels and short-term lodging
  • hunting and fishing camps
  • museums and cultural sites
  • eligible industry organizations or associations
  • overnight recreational camps
  • recreational facilities
  • restaurants and food services
  • sightseeing and scenic tours
  • travel agencies and tour operators
  • tourism promotion
  • trade shows, festivals, weddings (organizing, planning, hosting)

Who is eligible?

Eligible organizations are required to meet all three of the following two conditions to qualify:

1) More than 50% of your total eligible revenue for the prior reference periods for claim periods 1 to 13 (but excluding one of either claim period 10 or 11) comes from one or more of the tourism, hospitality, arts, entertainment, or recreation activities this program supports

2) You have a 12-month average revenue drop of at least 40% from March 2020 to February 2021

Calculate your 12-month average revenue drop HERE

  • The 12-month revenue decline would be calculated as, the average of all revenue decline percentages from March 2020 to February 2021 (claim periods 1-13, excluding claim period 10 or 11).
  • Any periods in which an entity was not carrying on its ordinary operations for reasons other than a public health restriction (ex. because it is a seasonal business) would be excluded from this calculation.
  • These rules would continue to apply for the purposes of calculating the current-month revenue decline.

3) A current-month revenue loss of at least 40%.

Calculate your claim period revenue drop HERE

OR

The second way to qualify for the THRP was introduced as the Local Lockdown Program, and is available to eligible organizations that are subject to a qualifying public health restriction or qualifying partial (capacity-limiting) public health restriction, regardless of sector.

View qualifying restrictions HERE

The conditions to qualify depend on which claim period you are applying for:

For claim periods 24 to 26 (December 19, 2021, to March 12, 2022), you must meet the following two conditions:

  • You were subject to either a qualifying public health restriction OR a qualifying partial (capacity-limiting) public health restriction
  • You have a claim period revenue drop of at least 25%

For claim periods 22, 23, 27 and 28, you must meet the following two conditions:

  • You were subject to a qualifying public health restriction
  • You have a claim period revenue drop of at least 40%

Calculate your claim period revenue drop HERE

You do not qualify for support if you are already restricted or closed because you failed to comply with a previous public health order, or decision.

*Even if you do not qualify for the THRP, there are other ways to qualify for wage or rent subsidies if you've been affected by the COVID-19 pandemic. If you're not sure which subsidy may fit your situation, you can determine your eligibility on the Government of Canada website.

Determine your eligibility HERE

How much is the subsidy?

The maximum subsidy rate for the wage and rent subsidies would be set at 75% from October 24, 2021 to March 12, 2022 (claim periods 22 to 26).

  • The wage and rent subsidy rates would continue to be calculated based on current-month revenue losses compared to those of a prior reference period
  • The subsidy rates would start at 40% for eligible organizations with a 40% current-month revenue decline
  • The subsidy then increases in proportion to current-month revenue loss up to a maximum rate of 75% (for those with a current-month revenue decline of 75% or higher).
  • The rent and subsidy rates are reduced by half from March 13, 2022 to May 7, 2022 (claim periods 27 and 28).
Current-month revenue decline Periods 22-26 (October 24, 2021 – March 12, 2022) Periods 27-28 (March 13 – May 7, 2022)
75% and over 75% 37.5%
40-74% Amount of revenue decline (ex. 60% Decline = 60% Subsidy) Amount of revenue decline ÷ 2 (ex. 60% Decline = 30% Subsidy)
0-39% 0% (not eligible) 0% (not eligible)

Details on which of your employees qualify can be found HERE

How long is the subsidy available for?

Currently, the THRP is officially available until May 7, 2022 (claim period 28), but the possibility does exist for further amendments through regulations to extend the program until July 2, 2022.

How do I apply?

To apply for the THRP, we highly recommend visiting the How To Apply section of the Government of Canada website.

Visit the How To Apply section HERE

For those interested in the particulars, you may apply using any of the following three options:

  • In My Business Account, find the wage subsidy applications under Payroll in the main menu.

    Sign in HERE

  • Business representatives may apply using Represent a Client.

    Sign in HERE

  • If neither is an option for you, you may use the Web Forms application using your web access code (WAC).

    Sign in HERE

Questions?

If you have any questions about the Tourism and Hospitality Recovery Program, please contact one of our experts or complete the contact form below.

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James Nakashima

James Nakashima

As a Chartered Business Valuator, Certified Divorce Financial Analyst, and Chartered Professional Accountant, James understands value. He works with a variety of business owners to increase the worth of their business.

Service Expertise: Audit , Litigation Support , Valuations
Industry Expertise: Agriculture , Small Business , Non-Profit

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