The provincial government has announced a tax break for hotels and lodging providers amid the ongoing COVID-19 crisis.
In hopes of helping hotels in Alberta retain staff and maintain operations, the province will allow them to delay paying the tourism levy. Any amounts owing to the government on or after March 27 can be delayed until August 31, without penalties or interest.
The province says this will free up more than $5 million in additional cash flow for employers.
As stated in a government press release, hotels, and other lodging providers must still file returns and continue to collect the tourism levy from guests during the deferral period.
“We know Alberta’s tourism industry has been hit particularly hard by the COVID-19 pandemic," says Minister of Finance Travis Toews. "This is a necessary addition to other recently announced measures. We will continue to support Albertans and Alberta businesses during this tumultuous time, and will continue to evaluate and expand our efforts where possible.”
Additional previously announced measures to assist Alberta businesses to include the following:
- The collection of corporate income tax balances and installment payments is deferred until Aug. 31. This gives Alberta businesses access to about $1.5 billion in funds to help them cope with the COVID-19 crisis.
- Education property tax amounts are frozen at 2019 levels, saving Alberta households and businesses about $87 million in 2020-21.
- Education property tax payments by businesses are deferred for six months, leaving $458 million with job creators to help them pay employees and continue operations.
- Private-sector employers can defer paying Workers’ Compensation Board premiums until 2021, with a rebate eligible for those who have already paid their 2020 WCB premiums. The government will pay 50 per cent of 2020 WCB premiums for small and medium businesses.
- Utility payments for residential, farm and small commercial customers can be deferred for the next 90 days to ensure no one is cut off from electricity and natural gas services during this time of crisis.
More details can be found Here