Personal Taxation Q 'n A

Why, on my tax return, do I have to repay the Employment Insurance I received last year?

Employment insurance is subject to limitations depending on your income from all sources. Your tax return is the mechanism to process this limitation. While technically not a tax, any amount of repayment is calculated and added to your taxes. The clawback does not apply if you have not received benefits in the last ten years, are receiving maternity, parental or sickness benefits.