news-ca

Alberta Couple Challenges CRA Over $33K COVID Benefits Repayment Demand

An Alberta couple is currently contesting a repayment demand from the Canada Revenue Agency (CRA) concerning over $33,000 in COVID-19 benefits. This situation has emerged after Skibington-Roffel, who has been a caregiver for her retired disabled husband, Ron Roffel, received numerous financial supports during the pandemic. These included the Canada Emergency Response Benefit (CERB) and the Canada Recovery Benefit.

Background Information

Skibington-Roffel noted that the financial assistance allowed them to manage their bills effectively for the first time, alleviating their struggles during a challenging period. However, in 2021, she discovered that she did not receive her usual tax return, which she relied upon for property tax payments.

Upon reaching out to the CRA for clarification, it was revealed that her previous benefits were under scrutiny. The agency claimed that her income was too high for CERB eligibility and indicated that she owed $14,000. After two years of appeals and discussions, she later learned that her total debt had escalated to approximately $50,000 after being informed of ineligibility for various COVID benefits.

Financial Implications and Ongoing Struggles

As the couple continues to navigate this situation, they reported that their outstanding debt has decreased by over $10,000 due to withheld tax refunds and rebates. Skibington-Roffel has filed two unsuccessful appeals against the CRA’s decision, claiming they were eligible for the benefits based on the application guidelines set forth by the agency.

  • Ron Roffel spoke out against the stringent low-income thresholds that he believes unfairly disqualify many families like theirs from needed support.
  • They indicated that the financial burden from the CRA’s demands has caused significant stress, leading them to consider debt solutions such as bankruptcy.
  • Skibington-Roffel earns slightly over $30,000 annually, a figure that illustrates their financial constraints.

The couple expressed frustration over the CRA’s handling of their case and called for a review of their situation. They argue that the agency’s clawbacks have resulted in deteriorating living conditions despite having relied on benefits they thought they qualified for.

CRA Response and Broader Context

According to CRA spokesperson Nina Ioussoupova, the agency has taken significant steps to ensure compliance among recipients of COVID benefits. Ioussoupova noted that as of November 30, nearly 1.4 million people had repaid around $3.3 billion associated with COVID-19 benefits, part of a larger total of $83.5 billion disbursed to Canadians, including $45.3 billion in CERB payments.

With the ongoing disputes and financial hardships, the couple’s case highlights the challenges faced by many Canadians in securing pandemic relief, raising questions about the eligibility criteria and support mechanisms of the CRA.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button