Return or repay a payment Emergency Response Benefit (CERB)

Why you would send the CERB back

The CRA has provided convenient ways for you to get the CERB as quickly as possible. Most people are able to complete the application in under 2 minutes, and receive payments through direct deposit within 2 business days.

The CRA also needs to ensure that the CERB is paid to and kept only by those individuals who are eligible.

You must repay the CERB if you no longer meet the eligibility requirements for the 4-week period in question. This could happen if:

  • you earned employment or self-employment income earlier than expected
  • you applied for the CERB but later realize you’re not eligible
  • you receive a CERB payment from both Service Canada and the CRA for the same period
  • If you applied for the CERB twice in one period -  If you applied for the CERB or EI with Service Canada, and then later applied for the CERB with the CRA for the same eligibility period, you applied twice. If this happens, you will have to return or repay the overpayment
  •  Do I have to repay my CERB if I get rehired or find a new job? - You are required to repay the CERB if you no longer meet the eligibility requirements for the 4-week period in question. For example, you applied for the 4-week period of April 12 to May 9. At the time you applied, you expected to have little or no work or income for that 4-week period. But you have just found out your employer has rehired you and will give you back-pay for that same 4-week period. In this situation, you will need to repay the CERB for that 4-week period of April 12 to May 9.

Repayment conditions

The conditions around paying back the CERB are different if you’re paying back your first eligibility period, or a subsequent period

  • For your first eligibility period - You will need to repay the $2,000 for this period if you earned or will earn more than $1,000 (before taxes) from employment or self-employment income 14 days in a row during this 4-week period.
  • For subsequent eligibility periods - You will need to repay the $2,000 for a eligibility period if you earned or will earn more than $1,000 (before taxes) from employment or self-employment income during that period.

Impact on tax slips

  • The CERB is taxable. You will receive a T4A tax slip on the amount of CERB you receive.
  • If you repay the CERB, the CRA won’t issue a T4A for that payment. To ensure that we don’t issue slips improperly, you need to repay your CERB before December 31, 2020.

How to return or repay the CERB

  • You have the option to return or repay your CERB payment online or by mail.

Originally Posted on https://www.canada.ca/en/revenue-agency/services/benefits/apply-for-cerb-with-cra/return-payment.html

 

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