The Canada Revenue Agency (CRA) has announced its plans for recovering funds from individuals who received the Canada Emergency Response Benefit (CERB) but were not eligible for the financial aid.
According to the CRA, over 800,000 Canadians have been identified as potentially owing money for CERB payments they were not entitled to receive. This includes individuals who did not meet the eligibility criteria, such as those who continued to receive income while on CERB or who applied for the benefit multiple times.
To recoup these funds, the CRA will be implementing a variety of measures, including sending out letters to those who may owe money. The letters will outline the amount owed and provide instructions on how to repay the funds. The CRA has also set up a dedicated phone line for individuals to call if they have questions or concerns about their CERB payments.
In addition, the CRA will be conducting audits and reviews of CERB applications to ensure that the funds were used for their intended purpose and that the individuals met the eligibility requirements. Those found to have knowingly made false or misleading statements on their applications could face penalties, including fines and potential criminal charges.
The CRA has also stated that it will be working closely with financial institutions to identify individuals who may have received CERB payments through fraudulent means. These individuals could face serious consequences, including repayment of the funds, interest, and penalties, as well as potential criminal charges.
For those who are unable to repay the full amount owed, the CRA has stated that it will work with individuals to set up payment plans based on their financial situation.
The CERB was introduced in March 2020 to provide financial support to Canadians who were impacted by the COVID-19 pandemic. However, as the program was rolled out quickly, there were concerns about potential fraud and individuals receiving payments they were not entitled to. The CRA’s efforts to recover these funds aim to ensure that the CERB is used for its intended purpose and that those who truly needed the financial aid received it.
If you believe you may owe money for CERB payments, it is important to take action and follow the instructions provided by the CRA. Failure to do so could result in penalties and further consequences. For more information, individuals can visit the CRA’s website or call the dedicated phone line for assistance.
