Applications for Canada Recovery Sickness Benefit and Canada Recovery Caregiving Benefit launched

THE federal government has introduced three new benefits, delivered by the Canada Revenue Agency (CRA): the Canada Recovery Benefit (CRB), the Canada Recovery Sickness Benefit (CRSB), and the Canada Recovery Caregiving Benefit (CRCB).  

On Monday, Diane Lebouthillier, federal Minister of National Revenue, on Monday opened the application process for the CRSB and the CRCB.  Applications for the CRB will be accepted as of October 12.  

The CRA is providing a simple and efficient application process similar to the one that millions of Canadians relied on to access Canada Emergency Response Benefit (CERB). Eligible people can apply for these benefits online through the CRA’s My Account portal or by phone through our automated toll-free phone line.

To ensure that the recovery benefits provide more targeted support for those people who continue to need it, the application process includes new elements, such as:

  • shorter eligibility periods of one week for the CRSB and CRCB and two weeks for the CRB;
  • retroactive periods, meaning that people will be required to apply after the period has ended; 
  • a 10% tax withholding at source; and
  • a three-to-five day window to receive payments for applications made by direct deposit, and a 10-12 day window by cheque by mail.

The government said it is committed to having safeguards in place to protect Canadians from fraud and non-compliance.  To this end, the CRA is taking steps to implement additional verification and security measures upfront, to help ensure that it delivers benefit payments only to people who are entitled to receive them.  

In some cases, the CRA will ask people to provide it with additional information so that it can verify their eligibility before it processes their application.  For example, if CRA records do not show that an applicant has earned the minimum amount of $5,000 as required to be eligible, it may ask the applicant to provide documentation to support their claim.  As with the CERB, people who have received benefit payments but are later found to be ineligible will be required to repay the amounts.   

To apply for these benefits, the CRA said it encourages Canadians to sign up for CRA’s My Account, ensure that personal information with the CRA is up-to-date, and register for direct deposit.  People should also file a 2019 tax return, if they haven’t done so yet, as this will reduce the likelihood that the CRA will need to request additional information before it can process their application.

For information about these benefits including eligibility requirements, how to apply, and eligibility period dates, the CRA encourages Canadians to visit the CRA’s webpages.

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