The federal government had previously announced that if the CEBA loan were fully repaid by December 31, 2023, a forgiveness portion equal to one-third of the loan’s value (up to $20,000) would be provided. However, the government has extended this deadline, though not to the extent businesses had hoped for.

The government has now extended the CEBA loan forgiveness deadline to January 18, 2024, considering the busy holiday season for small businesses in December and providing them with a few extra days to repay the loan.

It’s crucial to note that if the CEBA loan is not fully repaid by January 18, 2024, the loan forgiveness portion will be forfeited, and the entire CEBA loan will become payable, incurring an annual interest rate of 5%.

The final CEBA loan repayment due date was originally December 31, 2025. However, the government has extended this final deadline to December 31, 2026. It’s important to note that this extension applies exclusively to the loan repayment deadline (i.e., not to the loan forgiveness deadline)

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