The Canada Recovery Benefit (CRB) was introduced as one of three measures to help those who don’t qualify for Employment Insurance (EI) and still need assistance, now that CERB has ended.
The CRB is available for claims made between September 27, 2020 and September 25, 2021. This benefit will provide $500 per week, for each two-week period, for up to 38 weeks (i.e. 19 two-week periods). The benefit paid out for each two-week period will be $900, which is $1,000 less withholding tax of $100.
Who is eligible for CRB?
To be eligible for the CRB, applicants must:
- Be resident and present in Canada during the two-week period,
- Be at least 15 years old on the first day of the two-week period,
- Have a valid SIN,
- have stopped working due to the pandemic and are available and looking for work, or
- continue to be working and have had a reduction in their employment/self-employment income of at least 50 percent in the two-week period as compared to an average two-week period in the previous year,
- Have employment and/or self-employment income of at least $5,000 in 2019 or in 2020,
- Not have received EI, the CRSB or the CRCB
- Have looked for work during the two-week period being applied for and have not put undue restrictions on their ability to work during that period,
- Not have quit their job voluntarily on or after September 27, 2020, unless reasonable to do so,
- Not have failed to return to work when recalled and it was reasonable to do so or declined a reasonable offer to work, during the two-week period or the four two-week periods immediately prior (back to September 27, 2020).
The CRB will include a claw back that requires individuals to repay a portion of the benefit, once annual net income exceeds a limit of $38,000 at a rate of 50 cents for every $1 over the limit.
How do I apply for CRB?
Individuals must apply for the CRB on CRA’s website for each two-week period. This would include an attestation that they continue to meet the requirements.
Individuals can apply for a maximum of 13 two-week periods; however, they do not need to be taken consecutively. The application must be completed no later than 60 days after the end of the two-week period they are applying for.
To expedite the receipt of payment, individuals should register for direct deposit as payment will likely be received in half the time. Furthermore, applicants should have filed their 2019 tax return, otherwise, it may cause delays with their application. Applications can be made through CRA’s My Account or by phone.
The government will be providing more details on when individuals can apply on October 12.
Learn about the other measures introduced by the government for those who require assistance and don’t qualify for EI now that CERB has ended.
If you have questions about any of these programs, reach out to your local Grant Thornton advisor.