CERB Updates and Interest Relief Announced
On February 9, 2021, the Government of Canada announced further measures to assist individuals who received COVID-related income support benefits.
The first measure relates to self-employed individuals who received the Canada Emergency Response Benefit (CERB). Self-employed individuals that received CERB payments with net income of less than $5,000 will not be required to repay those amounts, provided their gross self-employment income was at least $5,000 and they met all other eligibility criteria. Additionally, for self-employed individuals that voluntarily repaid any amounts, CRA and Service Canada will return any repaid amounts.
The second measure announced is interest relief on personal income tax debt for the 2020 tax year until April 30, 2022. In order to qualify for the interest relief, the individual must have had total taxable income of $75,000 or less and have received income support through one or more of the following COVID-19 measures in 2020:
- Canada Emergency Response Benefit (CERB)
- Canada Emergency Student Benefit (CESB)
- Canada Recovery Benefit (CRB)
- Canada Recovery Caregiving Benefit (CRCB)
- Canada Recovery Sickness Benefit (CRSB)
- Employment Insurance benefits
- Similar provincial emergency benefits
If you have any questions or concerns, please do not hesitate to contact our team at (519) 673-3141 or through email at info@davismartindale.com. For more additional information: https://www.canada.ca/en/revenue-agency/news/2021/02/government-of-canada-announces-targeted-interest-relief-on-2020-income-tax-debt-for-low–and-middle-income-canadians.html