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Legal action coming to recover COVID benefit overpayments

Legal action coming to recover COVID benefit overpayments

CTV
Thursday, June 27, 2024 05:19:39 PM UTC

The Canada Revenue Agency says it is ramping up efforts to recover overpayments of pandemic-related benefits.

The Canada Revenue Agency is ramping up efforts to recover overpayments of pandemic-related benefits.

Starting in July, the agency said Thursday it will begin issuing legal warnings and could start to take steps to recover overpayments of all COVID-19 programs such as the Canada Emergency Response Benefit (CERB), the Canada Recovery Benefit (CRB) and the Canada Worker Lockdown Benefit.

Actions may include taking payments from wages or bank accounts.

The agency said it will only be taking legal action against those who have not responded or co-operated and who have been determined to have the financial capacity to pay.

"Our primary goal is to encourage individuals to contact us so we can work together to find the best way to resolve their debt, ensuring a fair and manageable process for everyone," spokeswoman Sylvie Branch said in an email. 

The agency said it remains committed to supporting Canadians who are not able to repay their debt and encouraged those individuals to contact them to figure out a plan.

The rollout of the pandemic relief payments saw more than $200 billion doled out to individuals and businesses on a pay-now-ask-questions-later basis.

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