There are many Canadians who still feel the impact of the recent coronavirus pandemic. They are in constant need of temporary income support. The Canadian Government has introduced three new benefits.
These benefits will ensure that the needy get what they require. These benefits are Canada Recovery Sickness Benefit (CRSB), Canada Recovery Caregiving Benefit (CRCB), and Canada Recovery Benefit (CRB). The Canada Revenue Agency (CRA) will deliver these benefits.
The Minister of National Revenue, Honorable Diane Lebouthillier, started the application process today for the CRB. On October 5, 2020, the applications for the CRCB and the CRSB opened for the public.
The CRB will provide $500 every week for a maximum of 26 weeks. All those workers whose self-employment/employment income is reduced by a minimum of 50% due to the pandemic will be eligible for this amount. Workers who have stopped working or do not qualify for EI will also receive this benefit.
The CRA is issuing an efficient and straightforward CRB application process. This process will be similar to the one that most of the Canadians counted upon to access the Canada Emergency Response Benefit.
All those eligible may apply for the benefits online. You may also make the application through the CRA’s “My Account” portal. It is also possible by phone using the automated toll-free numbers 1-800-959-2019 or 1-800-959-2041.
New elements have been introduced in the CRB application process to provide targeted support to those in need of the recovery benefits. These include:
- Two-week long-short eligibility periods.
- Retroactive periods. It refers to people required to apply after the end of the period of two-weeks.
- The Government will retain a 10% tax. This step means people will get a total of $900 for the two-week eligibility period.
- A window of three to five days to receive direct payments for applications and a window of ten to twelve days for payments made by check.
The Government has committed to protecting Canadians from non-compliance and fraud. Due to this, the CRA has started additional security and verification measures. These measures will ensure that only those who need the benefit payments will receive them.
To apply for these benefits, Canadians have to sign up for CRA’s My Account. This step is to ensure that the personal data of individuals remain updated while registering for direct deposit. It is also advisable to file a 2019 tax return.
This filing of tax return is applicable just for those who have not done so yet. Successful filing of the tax return will reduce CRA’s possibility of requesting any additional data before processing your application.
For further information on the above-mentioned benefits, Canadians are requested to visit the CRA’s webpages. It will also speak about eligibility needs, eligibility period dates, and ways to apply.
- The CRSB provides $500 per week for a maximum of two weeks. It is for workers who are either sick or are under self-isolation due to Covid-19. Workers with underlying conditions making them more vulnerable to the virus are also included.
- The CRCB will provide $500 each week for 26 weeks per household. It is for those who are unable to work due to their need to take care of a child below the age of 12 other family members who need supervised care due to Covid-19.
- Canadians may earn a maximum of $38,000 per annum while receiving the Canada Recovery Benefit. They also have to reimburse $0.50 of the benefit amount for every dollar of net income earned beyond $38,000. This is subject to a maximum benefit that they receive. This amount will be calculated and repaid as a part of their income tax return filing.
- People have to earn a minimum of $5000 in 2019, 2020, or in the 12 months before applying. This factor is to be eligible for any part of the recovery benefits. The amount is before any deductions.
- People should be available and in search of proper work to be eligible for the CRB. They should also accept work at the right time.
- Sometimes, the Government will ask individuals to provide additional information. This will be to verify their eligibility before processing the application. For instance, as per the record, it is not sure that a person has earned a minimum of $5000 to be eligible. In such a case, the person will be asked to provide proper documents to support their claim. According to the CERB, if an unqualified person receives benefit payments, he will have to repay the amount.
- It is not possible for people to apply or receive more than one Employment Insurance benefits, Recovery Benefit, Quebec Parental Insurance Plan benefits, and workers’ compensation benefits for the same period.
Contact us today to find out more about how you can get the monetary benefits announced by the government.