Millions of Canadians are set to receive extra financial support this summer as the federal government rolls out a one-time GST top-up in June, followed by a permanent increase in benefits starting in July under a newly named program.
The changes are part of the Liberal governmentâs affordability plan announced in January, which includes the introduction of the Canada Groceries and Essentials Benefit. The program builds on the existing GST rebate system and is designed to help low- and modest-income households cope with rising food and everyday costs.
The first payment Canadians will notice is a one-time GST top-up scheduled for June 5. This payment represents a 50 per cent boost on the total GST rebate received between July 2025 and June 2026, offering a short-term increase before the new long-term benefit structure begins.
June GST top-up and payment amounts
The one-time payment significantly increases what eligible Canadians will receive for the current benefit period. A family of four that received the maximum $1,100 over the past year will see that total rise to as much as $1,890 after the top-up is applied. For individuals, the maximum increases from $540 to about $950.
This payment will be deposited automatically by the Canada Revenue Agency (CRA), using the same system as the GST rebate. There is no separate application required for those who already qualify.
According to the government, the goal of this one-time boost is to provide immediate relief as households continue to deal with higher grocery prices and overall cost-of-living pressures. Officials have framed it as a targeted measure aimed at those who need support the most.
âWe are offering this one-time payment to help with affordability and relieve some of that pressure for those who need it most,â Wayne Long, secretary of state for the Canada Revenue Agency, said in a statement.
The June payment is based on income reported in the 2024 tax year, meaning eligibility and amounts depend on the most recent tax return filed with the CRA.
New grocery benefit begins in July
Beyond the one-time payment, the larger change comes in July 2026. At that point, the GST rebate will be permanently increased by 25 per cent and officially renamed the Canada Groceries and Essentials Benefit.
This increase will remain in place for five years, marking a longer-term shift in how the federal government delivers affordability support through the tax system.
Under the updated structure, a family of four will receive up to approximately $1,400 annually, while a single individual can receive around $700 per year. Payments will continue to be issued quarterly, as they are under the current GST rebate program.
The renaming of the benefit reflects a stronger focus on food affordability and essential household expenses. While the payment system itself does not change, the government is positioning the benefit more directly as support for grocery and daily living costs.
The policy was first announced by Prime Minister Mark Carney earlier this year as part of a broader effort to address affordability concerns across the country. Budget estimates suggest the grocery benefit program will cost billions over the coming years.
More details about how the GST credit system works can be found on the official CRA GST/HST credit page, including payment schedules and eligibility criteria.
Who is eligible for the GST rebate
Eligibility for both the one-time top-up and the ongoing benefit remains tied to the existing GST rebate criteria. Canadians must be residents for tax purposes and at least 19 years old to qualify.
The program is income-tested, with thresholds adjusted each year. For the 2024 tax year, a single individual with no children qualifies if their adjusted net income is $56,181 or less. A married or common-law couple with two children can qualify if their combined income is $66,841 or below.
The exact amount each household receives depends on income, marital status, and the number of children. Those with lower incomes typically receive higher payments, while benefits gradually decrease as income rises.
Government estimates suggest that around 12 million Canadians currently receive the GST rebate, making it one of the most widely distributed federal benefit programs.
Because the new grocery benefit is built on the same framework, most recipients will automatically transition into the updated system without needing to reapply. However, filing taxes on time remains essential to ensure eligibility and avoid delays in payments.
The back-to-back payments in June and July are expected to provide a noticeable boost for many households, particularly as grocery prices remain a key concern. While the one-time top-up offers immediate relief, the long-term increase in quarterly payments is intended to provide more consistent support over the next five years.
For Canadians already receiving the GST rebate, the main thing to watch is the June 5 deposit, followed by a higher quarterly payment in July under the newly named Canada Groceries and Essentials Benefit.
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