COVID-19 Financial Benefit Programs
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Details are now available for the Federal Government's recently announced benefit programs.
The Canada Recovery Caregiver Benefit (CRCB), Canada Recovery Sickness Benefit (CRSB), and the Canada Recovery Benefit (CRB) will help those financially impacted by the COVID-19 pandemic.
Canada Recovery Caregiver Benefit (CRCB)
The Canada Recovery Caregiver Benefit provides $500 ($450 after source taxes withheld) for each 1-week period for eligible individuals.
Only one person per household is eligible for this benefit in any given week. You are eligible for this benefit if you must care for a child under 12 years old or a family member who needs supervised care as a result of COVID-19. This applies if their school, regular program or facility is closed or unavailable to them due to COVID-19, or because they're sick, self-isolating, or at risk of serious health complications due to COVID-19 as defined by a medical professional.
You are not eligible for this benefit if you are receiving the Canada Recovery Benefit (CRB), Canada Recovery Sickness Benefit (CRSB), short-term disability benefits, workers' compensation benefits, or Employment Insurance (EI) benefits during the same time period.
You can apply through your CRA account or by calling toll free 1-800-959-2019 or 1-800-959-2041.
Visit the Goverment of Canada website for full details.
Canada Recovery Sickness Benefit
The Canada Recovery Sickness Benefit (CRSB) gives income support to employed and self-employed individuals who are unable to work because they're sick or need to self-isolate due to COVID-19, or have an underlying health condition that puts them at greater risk of getting COVID-19.
This benefit provides $500 ($450 after source taxes withheld) for a 1-week period. If your situation continues past 1 week, you will need to apply again. You may apply up to a total of 2 weeks.
Visit the Goverment of Canada website for full details.
The Canada Recovery Benefit (CRB) provides support to individuals who do not qualify for Employment Insurance whose income has been impacted by the COVID-19 pandemic.
If you are eligible for the CRB, you can receive $1,000 ($900 after source taxes withheld) for a 2-week period. If your situation continues past 2 weeks, you will need to apply again. You may apply up to a total of 13 eligibility periods (26 weeks) between September 27, 2020 and September 25, 2021.
You are eligible for the CRB if you are not working as a result of COVID-19 or have a 50% reduction in your average weekly income compared to the previous year due to COVID-19.
Applications for the CRB will be opened starting on October 12, 2020.
Visit the Goverment of Canada website for full details.
FREQUENTLY ASKED QUESTIONS
Are the CRCB, CRB and CRSB taxable?
Yes. CRCB, CRB and CRSB are taxable benefits. 10% income tax is deducted at the source (withheld at the time of payment). Depending on your total income for the year you may or may not need to pay additional income tax on these benefits on your next applicable tax return.
MTAM recommends that you discuss this with your accounting & tax professional to determine how much you may need to set aside so that you are prepared.
I received a benefit payment in this period but have since become ineligible during that period. Do I have to pay the benefit back?
If you were eligible for a benefit when you applied but became ineligible during the same period and have already received the benefit for that period you should contact CRA by calling toll free 1-800-959-2019 or 1-800-959-2041. They will help you determine if the benefit is to be paid back and how to go about returning it.
Someone from Canada Revenue Agency called asking me to repay a benefit payment. Could that be a scam?
Yes - This could be a scam. Beware of fraudulent emails, texts or calls from people claiming to be from the CRA and asking you to repay federal benefit money or requesting personal information.
A scam may include insisting that your personal information is needed in order for you to receive a refund or a benefit payment. Cases of fraudulent communication could also involve the use of threatening or coercive language to scare individuals into paying fictitious debt to the CRA. Other communications urge individuals to visit a fake CRA website where they are then asked to verify their identity by entering personal information. These are scams and individuals should never respond to these fraudulent communications or click on any of the links provided.
For more on what to expect when CRA contacts you, and what information they ask for, go to Protect yourself against fraud.
I was sick or self-isolating for only 3 days out of a one-week period. Can I only receive a portion of the CRSB for that week and save the rest of the benefit in case I have to self-isolate again at another time?
No - The CRSB is assigned on a weekly basis.
You must have missed more than 50% of that work week in order to receive the benefit and cannot save unused days for future use.
What other financial supports or relief available to me?
Other federal and provincial efforts to support individuals and businesses continue to be announced as the situation evolves. Here are some of the supports and relief currently available:
Canadian Emergency Wage Subsidy (CEWS)
Canada Emergency Business Account (CEBA)
Women Entrepreneurship Strategy
Relief measures for Indigenous businesses
Canada Emergency Commercial Rent Assistance (CECRA)
Manitoba Gap Protection Plan
Seniors Economic Recovery Credit
Manitoba Tax and Fee Deferrals
Disability Economic Support Program
Business Credit Availability Program
I still have questions about federal financial relief programs and some of the other financial supports or relief available to me. Where can I find more information?
Here are several links that may be helpful:
Canada’s COVID-19 Economic Response Plan
GST Tax Deferral FAQ
Business Development Bank of Canada (BDC): Support for entrepreneurs impacted by coronavirus
Manitoba Chambers of Commerce
MNP Accountants COVID-19 Business Advice Centre
Canadian Federation of Independent Business
