What is Canada's Groceries and Essentials Benefit and where did the GST/HST credit go?

Starting in July, Canadians who have been receiving a quarterly GST/HST benefit cheque from the federal government will start getting the Canada Groceries and Essentials Benefit instead. Here’s what to know.

On Jan. 26, the government announced it would increase benefits under the Goods and Services Tax (GST) credit and also rename the program the Canada Groceries and Essentials Benefit (CGEB). Bill C-19 was tabled in the House of Commons two days later, and included a one‑time payment to individuals equal to 50 per cent of the GST credit’s annual 2025-26 value, and an increase of the annual credit by 25 per cent for five years starting in July 2026.

Despite its new name, the eligibility, payment calculation and structure of the benefit will be the same as the previous GST/HST credit.

Residents of Canada who are 19 years or older and who live here in the month before the government makes a payment, and at the start of the month when a payment is made, are eligible for the CGEB within certain income thresholds.

Payment varies based on income and family size, but the maximum amount for a single individual is $679 per year, and the maximum for a single individual with four or more children is $1,826. For married or common-law couples, the maximum is $890, and the maximum for couples with four or more children is the same as for singles, $1,826.

The government has an online calculator that can help estimate payments under the CGEB and other benefits.

The first payment under the CGEB is July 3. Previous payments this year on Jan. 5 and April 2 were classified as GST/HST credit payments. A fourth quarterly payment of the CGEB will be made on Oct. 5 this year.

A one-time top-up payment was sent to individuals who received the GST credit for the July 2025 to June 2026 benefit period. The payment was valued at 50 per cent of the annual amount. The Parliamentary Budget Office estimated there would be 12.1 million recipients with an average one-time payment of $252.

Going forward from July, there will be a 25 per cent increase to the benefit amount.

Payments that are less than $50 per quarter are delivered as a single payment in July. If you do not receive your benefit payment on the expected payment date, the Canadian Revenue Agency recommends checking the status of the payment in your CRA account and then contacting them if necessary.

On Feb. 2, the Parliamentary Budget Office estimated that the new program would cost almost $12.4 billion from 2025-26 to 2030-31, the length of the benefit program.

This included $3.1 billion for the initial top-up payment, and almost $1.8 billion in the first year of the program, rising to $1.92 billion annually in 2030.

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