Question Period Note: Support for Fish Harvesters in Canada

Support for Fish Harvesters in Canada

The Fish Harvester Benefit and Grant Program, to support self-employed fish harvesters and crew affected by COVID-19, launched its second phase in August and it was open until October 31, 2021.

In the first round of the program, just over 18,100 applicants received close to $130 million in payments through the two streams of the program, the Fish Harvester Benefit and the Fish Harvester Grant.

With grant payments complete, the second phase of the benefit stream is underway.

Wait times and/or processing delays
We recognize the delays and wait times experienced in the early days of phase two of the program and we responded quickly by adding additional call centre agents. As a result,wait times have been dramatically reduced.

DFO has worked closely with CRA and ESDC to develop a process to enable applicants to amend incorrect tax data while permitting DFO to process their appeals.

As well, to ensure applicants have the time they need, we extended the application deadline for round two from October 1, to October 31, and overpayment letter appeals deadline from September 1, to October 15.

• On May 14, 2020, the Prime Minister announced the creation of measures to support Canada’s fish harvesters who are feeling the economic impacts of the COVID-19 pandemic. These measures are the Fish Harvester Benefit and Fish Harvester Grant. The Grant Program to Support Self-employed Fish Harvesters in Canada Affected by COVID-19 had a successful launch in late August 2020 and it was open for eight weeks, until October 19.
• DFO is working in close collaboration with Employment and Social Development Canada (ESDC) via Service Canada, and with the Canada Revenue Agency (CRA) to deliver the benefit and/or grant to eligible fish harvesters.
• The Fish Harvester Benefit offers income support to self-employed fish harvesters and sharepersons. The benefit covers up to 75 per cent of income losses beyond a 25 per cent threshold for the 2020 tax year when compared to 2018 or 2019. The maximum benefit is $10,164.
• The Benefit is being paid in two payments, one in 2020 based on attested information, and a second in the summer and fall 2021 based on Canada Revenue Agency tax information.
• Payments from the Fish Harvester Benefit and Grant Program are taxable and must be declared on harvesters’ income tax returns.
• Applicants who received the first payment of the Fish Harvester Benefit are required to make a second application in round two, which opened in the summer of 2021 and will close on October 31, 2021. Failure to submit the second application during this period will result in the harvester being deemed ineligible to have received their first payment. This 1st payment would then be considered an overpayment that will have to be paid back to the Government of Canada.
• In the opening weeks of round two, applicants experienced lengthy telephone wait times in trying to connect with a Service Canada call centre agent. Service Canada responded quickly to provide additional call centre support, and wait times have been dramatically reduced since then.
• The first installment of the Fish Harvester Benefit payment was promptly issued to applicants based on their attestations to the program respecting their status, income, and expected COVID-related losses. However, unlike the first benefit payment, the second installment is based on Canada Revenue Agency (CRA) tax filing data, information that is used to validate applications.
• A substantial number of recipients of the first benefit payment had indicated that they were self-employed sharepersons. However, subsequent CRA tax filing data indicated that some of those recipients were wage-earning employees, and therefore not eligible for the program. Individuals in this situation were issued overpayment letters. In this situation, individuals must either repay the benefit or correct their tax information if it is incorrect and appeal the program’s decision.
• DFO has worked closely with CRA and ESDC to develop a process to enable appellants to correct their tax information while allowing DFO to process their appeals quickly.
• As well, the program extended the round two application deadline from October 1, to October 31, and the overpayment letter appeal deadline from September 1, to October 15.

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