Government announces details of Canada Recovery Benefit to support Employed and Self-Employed Individuals Impacted by COVID-19

The Government of Canada has announced details of the Canada Recovery Benefit (CRB), which provides income support to employed and self-employed individuals who are directly affected by COVID-19 and are not entitled to Employment Insurance (EI). The program is administered by the Canada Revenue Agency (CRA). 

Applications are now open at https://www.canada.ca/en/revenue-agency/services/benefits/recovery-benefit.html. Applicants may apply for a retroactive period dating back to September 27, 2020.

Eligible applicants can receive $1,000 ($900 after taxes withheld) for a 2-week period. If your situation continues past 2 weeks, you will need to apply again. Applicants may apply up to a total of 13 eligibility periods (26 weeks) between September 27, 2020 and September 25, 2021.

Who is eligible? 

Full eligibility criteria is available on the Government of Canada website.

To be eligible for the CRB, applicants must meet all the following conditions for the 2-week period they are applying for:

• During the period you’re applying for:
  • you were not working for reasons related to COVID-19

Or

• • you had a 50% reduction in your average weekly income compared to the previous year due to COVID-19
• You did not apply for or receive any of the following:
  • Canada Recovery Sickness Benefit (CRSB)
  • Canada Recovery Caregiving Benefit (CRCB)
  • short-term disability benefits
  • workers’ compensation benefits
  • Employment Insurance (EI) benefits
  • Québec Parental Insurance Plan (QPIP) benefits
• You reside in Canada
• You were present in Canada
• You are at least 15 years old
• You have a valid Social Insurance Number (SIN)
• You earned at least $5,000 (before deductions) in 2019, 2020, or in the 12 months before the date you apply from any of the following sources:
  • employment income
  • self-employment income
  • maternity and parental benefits from EI or similar QPIP benefits
• You have not quit your job or reduced your hours voluntarily on or after September 27, 2020
• You were seeking work during the period, either as an employee or in self-employment
• You have not turned down reasonable work during the 2-week period you’re applying for

What are the eligibility periods?

Each Canada Recovery Benefit (CRB) eligibility period is a specific 2-week period. The first period is September 27, 2020 to September 25, 2021.

The CRB does not renew automatically. You must apply for each period between September 27, 2020 and September 25, 2021 separately. You can apply for a maximum of 13 periods out of the total 26 periods available. The 13 periods do not have to be taken consecutively.

You may start applying on the Monday after the 2-week period has ended. If your situation continues, you must re-apply for another 2-week period. You may apply for benefits retroactively for any period up to 60 days after that period has ended.

How do I apply? 

Details about when and how to apply will be made available on October 12, 2020. The easiest way to apply will be online through CRA My Account. Applicants can prepare to apply by completing this questionnaire on the government website. 

I am receiving some income from royalties for my work; does this mean I am ineligible for the CRB?

You may earn employment or self-employment income while you receive the CRB. If you earn more than $38,000 in the calendar year, you will have to reimburse $0.50 of the CRB for every dollar of net income you earned above $38,000 on your income tax return. If your net income is $38,000 or less, you will not have to reimburse the CRB. 

Where can I find more information on the CRB?

For more information on the CRB, including how and when to apply, eligibility period dates, and tax information, visit the government website at https://www.canada.ca/en/revenue-agency/services/benefits/recovery-benefit.html. For questions, contact the CRA through your CRA My Account, or by phone at the numbers listed at https://www.canada.ca/en/revenue-agency/services/benefits/recovery-benefit/crb-contact.html.