Man pushes back on CRA claim he must repay COVID-19 benefits

Paul Hollingsworth says Brendan followed all rules, but CRA claims he was ineligible, leaving him stressed and frustrated

During the spring of 2020, amid COVID-19 restrictions, Brendan Whitney took a leave of absence from his job as a travel consultant to stay home with his 10-year-old son.

“His school was closed, and I had no other form of childcare,” said Whitney, who lives in Saint John, N.B. “The primary custody was with me.”

Whitney applied for the Canada Emergency Response Benefit (CERB) and the Canada Recovery Caregiving Benefit (CRCB). Between the two programs, he was paid thousands of dollars, including $2,000 a month in CERB payments.

Five years later, Whitney is receiving letters and collection calls from the Canada Revenue Agency. It’s part of an effort to reclaim more than $10 billion in COVID-19 benefits that the federal government says were paid to people who were ineligible during the pandemic.

“The federal government is now requesting that I (make an) immediate payment of $13,000,” said Whitney. “They claim I was not eligible for any of the benefits I received.”

Whitney has been told he was not employed the day before the benefit period started, meaning he was ineligible.

“That’s just not the case,” said Whitney. “I was employed for four consecutive years at the same job at the same title.”

Whitney has forwarded his government-issued employment records to clear up any confusion about his leave of absence. He has also tried unsuccessfully to arrange phone meetings with the CRA.

“Only one real CRA agent has had a look at my file,” said Whitney. “The rest of it has been automated.”

According to Halifax-based accountant Daryl Smith, Whitney should be braced for a long and thorough process.

“This man needs someone working with him, he should not be doing this by himself, and he needs a lawyer, an accountant or a tax accountant, anybody,” said Smith, who added the CRA could try to claw back what it believes is owed, along with interest. “What I have experienced in the past, in these situations is them implementing a penalty of up to 50 per cent of whatever the amount owing is.”

Whitney said the stress over this situation has been mounting daily.

“This doesn’t make you feel good about yourself, being treated as if you’re lying to them and that you did something wrong, when all you did was apply for a benefit that you checked all the boxes for,” said Whitney, who called the process unfair and said he is certain he has done nothing wrong.

CTV News reached out to the CRA multiple times, but the agency did not provide a response.