CRA Confirms That Some Canadians Have Received Incorrect Tax Slips This Year

The Canada Revenue Agency (CRA) has confirmed that some Canadians who claimed COVID-19 benefits have received incorrect tax slips this year.

The error affects some taxpayers who claimed the Canada Emergency Response Benefit (CERB) but paid back the benefit before December 31, 2020, after realizing they were ineligible or had received too much money.

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The incorrect tax slips wrongly list that the claimant still owes tax on the benefit, even if it was paid back before 2021 (as requested by the CRA.)

While all of Canada’s COVID-19 benefits are taxable, the payments should not be declared as taxable income for those who have already repaid it.

On the false forms, the CERB repayments are credited to an individual’s T1 installment account rather than their emergency benefits account.

The CRA says they’re aware of the error on some tax slips, according to the Canadian Press, via CTV News.

However, the CRA says the issue can be fixed “properly and easily” if those affected contact the agency by phone.

They also confirmed that officers are proactively looking into the problem and are issuing amended tax slips to those thought to be impacted.