The CEBA was created to assist small businesses, not for profits and charities through the current economic environment and to help them rebuild sooner. The CEBA was created to help pay for non-deferrable expenditures and restricts spending to things like payroll, rent, utilities, insurance, property tax, or regular debt payments. It cannot be used for certain capital transactions or increasing remuneration – it is best to think of the CEBA as an emergency response tool.

With these restrictions, there is need for diligent record keeping. Be sure to retain books and records that can substantiate your spending. These records should be well organized and stored together, either physically or electronically.  While there appears to be no current provision for audit, it is reasonable to assume that the CRA can send inquiries at their discretion.