Canadian Revenue Agency Unjustly Demands $15,500 from Hairdresser
Two hairdressers, Mélanie Dauphinais and Charlotte Lefebvre, are facing demands from the Canada Revenue Agency (CRA) to repay a total of $15,500, despite being eligible for pandemic relief programs. Both relied on emergency financial assistance during the COVID-19 pandemic, but have since been accused of ineligibility by the CRA.
Financial Assistance During COVID-19
During the pandemic, many Canadians accessed federal assistance programs. Mélanie received funds from three different programs:
- Canada Emergency Benefit (CEB)
- Canada Emergency Recovery Benefit (CERB)
- Canadian Recovery Sick Benefit (CRSB)
In total, she received $15,500. According to Mélanie, all aid received was justified and compliant with eligibility criteria.
CRA’s Demand for Repayment
On February 11, 2025, Mélanie reported receiving a letter from the CRA demanding the full amount back. She expressed confusion, stating, “Everything was in order for receiving these benefits.” Before the repayment notice, she had already paid back advances issued by the agency.
Communication Challenges with CRA
In December, Mélanie received a call from the CRA expressing doubt about her bank statements. An employee stated that if she continued to contest the claim, they could label her as fraudulent. This left her feeling distressed and unsupported.
She provided additional documentation to clarify her case, including an explanatory letter and bank proofs. However, the CRA maintained that she was ineligible for the benefits due to her reported income exceeding the allowed threshold.
Another Case: Charlotte Lefebvre
Charlotte, a restaurant worker, also faced a similar situation. She had applied for and received $10,000 through the CEB and $500 from the CRSB. In April 2025, she discovered she owed the CRA money. Like Mélanie, she believed she was eligible and contested the demand.
Delayed Responses and Financial Strain
Charlotte described her efforts to follow up on her case as frustrating. She continually received responses indicating long wait times due to a backlog of cases. Meanwhile, her tax refunds were withheld because of the alleged debt.
She remarked, “It’s stressful to owe $10,500 to the government, even though we know we were within our rights.” This situation has created significant anxiety for both women as they grapple with the repayment demands from the CRA.
CRA’s Broader Implications
As of November 30, 2025, the CRA reported that over 55,000 individuals had faced repayment issues, totaling approximately $621 million. These cancelations arise for various reasons and are not solely the result of appeals or controversies. The specific reasons for the discrepancies affecting Mélanie and Charlotte remain unclear.
Both women are seeking clarity and re-evaluation of their cases. Their experiences highlight ongoing issues around pandemic relief and the challenges faced by self-employed individuals managing their finances while adhering to government demands.
