Canada

Canada is replacing the GST/HST credit with a new benefit. What does that mean for you?

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A cart of groceries is shown in a store in Montreal, Saturday, December 14, 2024. A two-month break from the federal GST takes effect today. THE CANADIAN PRESS/Graham Hughes

Payments are soon coming for millions of Canadians, and changes are on the way to a key federal benefit program.

Here’s what you need to know about the new Canada Groceries and Essentials Benefit and the transition from the GST/HST credit.

What is the Canada Groceries and Essentials Benefit?

The Canada Groceries and Essentials Benefit (CGEB) will replace the GST/HST credit beginning in July 2026. While the program will operate under a new name, eligibility rules, payment calculations and the overall structure will remain the same.

The federal government says quarterly payment amounts will increase by 25 per cent for five years (2026 to 2031), providing additional support to Canadians with low and modest incomes.

When will you get it?

Before the new benefit begins, eligible Canadians will receive a one-time GST/HST credit top-up payment, starting June 5, 2026. The payment is intended to provide immediate financial support during the transition period.

Quarterly CGEB payments will then begin in July 2026 and will follow the same payment schedule currently used for the GST/HST credit.

A person shops at a grocery store in Neskantaga, Ont., on Oct. 26, 2025. (Christopher Katsarov / The Canadian Press)
Groceries inflation cost of living A person shops at a grocery store in Neskantaga, Ont., on Oct. 26, 2025. (Christopher Katsarov / The Canadian Press)

Who is eligible for the CGEB?

In most cases, Canadians do not need to apply for the benefit. Eligibility will be determined automatically by the Canada Revenue Agency, based on information from a taxpayer’s return.

The CGEB will use the same eligibility criteria as the GST/HST credit. New residents of Canada may need to apply separately using Form RC151.

See this guide if you’re not sure if you qualify.

How much will you get?

The amount you receive will depend on your family situation, your income as reported on your 2025 tax return and will use the same payment schedule as the GST/HST credit.

For the benefit period between July 2026 to June 2027, maximum annual amounts are:

  • Single individual: up to $679
  • Married or common-law couple: up to $890
  • Eligible child under 19: up to $234 per child

Actual payments will vary based on individual tax return information and eligibility.