Canada Groceries Benefit replaces GST credit with 25% higher quarterly payments

Canada has permanently replaced the GST/HST credit with a new quarterly benefit that pays substantially more.

The Canada Groceries and Essentials Benefit (CGEB) is tax-free, automatic once you file your taxes, and pays 25 per cent more than the old credit—a boost locked in through 2031. The first payment arrived July 3. The second payment is scheduled for October 5, 2026, with quarterly payments continuing each July through June annually.

Maximum amounts for the current benefit year (July 2026 through June 2027) are $679 for single individuals, $890 for married or common-law couples, and $234 per eligible child under 19. The actual amount depends on adjusted family net income, marital status, and number of eligible children.

Eligibility requires being at least 19 years old, a Canadian resident for tax purposes, and within CRA income thresholds. Those under 19 can qualify if they have or had a spouse or common-law partner, or are a parent living with a child. In shared custody arrangements, each parent can claim half the benefit for a child.

The CRA automatically factors in the Canada Child Benefit when calculating your CGEB total. No separate application is required—eligibility is determined once you file your 2025 tax return. If your quarterly amount is less than $50, the full annual total is paid as a single lump sum in July.

If you filed your taxes late, your payments are delayed until your return is assessed, but missed amounts are paid retroactively at the next scheduled deposit. The benefit does not count as income and is not reportable on your tax return. Eligible individuals can check their expected amount and payment schedule in their CRA account under Benefits and Credits.