Canada Goods and Services Tax / Harmonized Sales Tax (GST/HST) Credit Explained

The cost of everyday essentials, groceries, and household expenses can put pressure on many Canadian families. To help eligible individuals and families manage some of these costs, the Government of Canada provides financial assistance through federal benefit programs.

One of these programs was previously known as the Goods and Services Tax/Harmonized Sales Tax (GST/HST) Credit. In July 2026, it was renamed the Canada Groceries and Essentials Benefit (CGEB), with higher regular payment amounts.

If you previously received the GST/HST credit, you may continue receiving payments under the new benefit, provided you remain eligible.

In this guide, we’ll explain what the Canada Groceries and Essentials Benefit is, who qualifies, how much you can receive, when payments are made, and how to apply if you are new to Canada.

Update for 2027: Canada Groceries and Essentials Benefit (CGEB)

Starting in July 2026, the former GST/HST credit became the Canada Groceries and Essentials Benefit (CGEB).

The program continues to provide tax-free quarterly payments to eligible low- and modest-income Canadians. However, the regular benefit amounts increased by 25% for five years, from July 2026 through April 2031.

The benefit retains the same general eligibility rules, income-based calculation, and automatic assessment process as the previous GST/HST credit.

What’s New with the Canada Groceries and Essentials Benefit?

Here are the major changes and updates:

• New Benefit Name: The GST/HST credit is now called the Canada Groceries and Essentials Benefit.
• 25% Higher Regular Payments: The regular benefit increased by 25% starting in July 2026.
• Five-Year Increase: The higher regular payment amounts are scheduled to continue for five years, from 2026 to 2031.
• Same Eligibility Structure: The program continues to support eligible low- and modest-income individuals and families.
• Automatic Assessment: You generally do not need to submit a separate application if you already file an annual income tax return.
• One-Time 2027 Supplement Proposal: Budget 2026 announced an additional one-time payment proposed for early 2027.

2027 Canada Groceries and Essentials Benefit Supplement

Budget 2026 announced a proposed one-time supplement for eligible CGEB recipients in early 2027.

The proposed supplement is equivalent to 50% of the maximum regular CGEB amounts for the 2026–2027 benefit year.

The announced maximum supplement amounts are:

Under the announced proposal:

• A single individual without children could receive up to approximately $339.
• A couple with two eligible children could receive up to approximately $679.

These are additional amounts, separate from the regular quarterly CGEB payments.

Important: The 2027 supplement was announced in Budget 2026. It should be treated separately from the regular benefit and checked against the government’s final implementation details before relying on a specific payment date or individual entitlement.

What is GST/HST Credit?

The Goods and Services Tax/Harmonized Sales Tax (GST/HST) credit was a federal tax-free payment designed to help eligible individuals and families offset some of the GST or HST they pay on everyday purchases.

The Goods and Services Tax (GST) is a federal sales tax applied to most goods and services in Canada. The Harmonized Sales Tax (HST) combines the federal GST with the provincial sales tax in participating provinces.

Because sales taxes can represent a larger share of income for lower-income households, the federal government provides financial assistance through this benefit.

Although the program is now called the Canada Groceries and Essentials Benefit, many Canadians still recognize it by its former name, the GST/HST credit.

What is the Canada Groceries and Essentials Benefit?

The CGEB is the current name of the former GST/HST credit.

It provides quarterly financial assistance to eligible Canadians to help offset the cost of everyday essentials and the sales taxes they pay.

The benefit is:

• Tax-Free: You do not have to report the payments as taxable income.
• Income-Based: The amount depends on your adjusted family net income.
• Family-Based: Your marital status and eligible children affect your entitlement.
• Quarterly: Payments are generally issued four times per year.
• Automatically Assessed: The CRA normally determines eligibility when you file your income tax return.

The CRA administers the benefit and may include related provincial and territorial benefit programs in the payments.

Eligibility for the Canada Groceries and Essentials Benefit

To receive the CGEB, you must meet the CRA’s residency and eligibility requirements. Your adjusted family net income must also be below the applicable income threshold.

Who Qualifies for the CGEB?

You may qualify if you meet the following conditions:

1. Canadian Tax Residency: You must be a resident of Canada for income tax purposes during the required periods surrounding the payment date.
2. Age Requirement: You must generally be at least 19 years old.
3. Marital or Parental Exception: If you are under 19, you may qualify if you have or previously had a spouse or common-law partner, or if you are or were a parent and live or lived with your child.
4. Income Requirement: Your adjusted family net income must be below the applicable threshold for your family situation.
5. Tax Filing: You must file your annual income tax return so the CRA can assess your eligibility.

You may qualify even if you had no income during the year. Filing a tax return is still important because the CRA uses your tax information to determine whether you are entitled to the benefit.

What is Adjusted Family Net Income?

Adjusted family net income is the income figure the CRA uses to determine your CGEB entitlement.

For individuals without a spouse or common-law partner, the calculation generally starts with your net income on your tax return.

For couples, the CRA generally combines both partners’ net incomes, with certain adjustments for specific amounts such as Universal Child Care Benefit and Registered Disability Savings Plan income or repayments.

The CRA uses this figure to calculate how much benefit you may receive.

What is the Maximum Income to Qualify for the CGEB?

There is no single income limit that applies to every Canadian household.

The maximum income threshold depends on your marital status and the number of eligible children in your family.

For the July 2026 to June 2027 benefit year, the CRA uses 2025 tax information to determine entitlement.

The following table shows the published adjusted family net income thresholds for this benefit period.

Maximum Income Thresholds: Single Individuals and Single-Parent Families

Maximum Income Thresholds: Married or Common-Law Couples

These figures represent the upper income thresholds for entitlement, not the income levels at which everyone receives the maximum benefit.

The amount gradually decreases as adjusted family net income rises. A household close to the maximum threshold may receive only a partial benefit.

Important: These are the published thresholds for the July 2026 to June 2027 payment period. The CRA will use updated income information and thresholds for later benefit years.

How to Apply for the Canada Groceries and Essentials Benefit

For most Canadians, there is no separate application process.

The CRA automatically assesses your eligibility when you file your annual income tax return.

Here is what you need to do:

1. File Your Income Tax Return: Submit your annual tax return, even if you had no income during the year.
2. Provide Accurate Personal Information: Make sure your marital status, address, and information about eligible children are correct.
3. Wait for CRA Assessment: The CRA will review your tax return and determine whether you qualify.
4. Check Your Benefit Notice: If you are eligible, the CRA will provide information about your entitlement and quarterly payment amounts.
5. Set Up Direct Deposit: Register for CRA direct deposit if you want eligible payments deposited directly into your bank account.

You do not need to apply separately every year if you are already receiving the benefit. However, you must continue filing your tax returns and keeping your personal information up to date.

What if You Have No Income?

You should still file your income tax return even if you earned no income during the year.

The CRA uses your return to determine your eligibility and calculate your benefit.

Not filing a tax return can interrupt your payments because the CRA may not have the updated information needed to assess your entitlement.

How to Apply if You Are a Newcomer to Canada

New residents may need to submit an application for the first year they become residents of Canada for income tax purposes, before filing their first Canadian tax return.

The application process depends on whether you have children.

New residents without children:

• Complete the CRA’s online RC151 application form.
• Provide the required residency and personal information.
• Submit the application electronically.

New residents with children under 19:

• Complete Form RC151 for the Canada Groceries and Essentials Benefit.
• If eligible, complete Form RC66 for the Canada Child Benefit and related programs.
• Include information about the children in your care.
• Provide the required proof of birth.
• Submit the completed documents according to CRA instructions.

Only one application per household is generally required.

Newcomers should review the CRA’s current application instructions to ensure they use the correct forms and provide all required documents.

Canada Groceries and Essentials Benefit Payment Dates

The Canada Groceries and Essentials Benefit is paid quarterly, generally in January, April, July, and October.

The payment period runs from July 1 to June 30 of the following year.

2026 CGEB Payment Dates

The 2026 calendar year included two payments under the former GST/HST credit and two payments under the new CGEB.

2027 CGEB Payment Schedule

The regular payment schedule continues quarterly.

The exact 2027 calendar dates should be checked against the CRA’s official payment calendar once published.

Which Tax Year Determines Your CGEB Payments?

Your CGEB payment amount is recalculated every July using information from your previous year’s income tax return.

This means changes in your income, marital status, or family situation can affect your benefit amount during the year.

What Happens if You File Your Taxes Late?

If you file your tax return after the annual deadline, your CGEB payments may be delayed or temporarily stopped.

The CRA must assess your return before determining your updated entitlement.

If you qualify for payments that were missed while your return was being processed, the CRA may issue the eligible amounts retroactively in a later scheduled payment.

To avoid interruptions, file your tax return on time and keep your information current.

Calculating the Canada Groceries and Essentials Benefit Amount

The CRA calculates your benefit based on several factors.

These include:

1. Adjusted Family Net Income: Your income and, if applicable, your spouse’s or common-law partner’s income.
2. Marital Status: Whether you are single, married, or living in a common-law relationship.
3. Number of Eligible Children: The number of eligible children under 19.
4. Family Circumstances: Certain situations, including shared custody, can affect the payment calculation.

The benefit is recalculated every July using information from your previous year’s income tax return.

How is the CGEB Amount Calculated?

The regular benefit includes an amount for eligible adults and children, with an additional supplement for qualifying single individuals.

The amount is gradually reduced as adjusted family net income rises above the applicable income threshold.

For single individuals without children, an additional amount is phased in based on income above a specified threshold.

For the July 2026 to June 2027 benefit year:

• The phase-in threshold for the additional single-person amount is $11,564.
• The phase-out threshold is $46,432.
• The regular benefit is subject to a five-per-cent phase-out rate based on income above the phase-out threshold.
• The additional single-person amount is subject to a two-per-cent phase-in rate for eligible single individuals without children.

The calculation is more complicated for families with different income levels, marital circumstances, and children. The CRA’s official calculator can help estimate your entitlement.

How Much Canada Groceries and Essentials Benefit Can You Receive?

The regular maximum CGEB amounts increased by 25% beginning in July 2026.

For the 2026–2027 benefit year (July 2026 to June 2027), the maximum amounts are:

The additional single-person supplement is subject to income-based rules.

Maximum Annual CGEB Payments

Based on the CRA’s published maximum amounts, eligible households may receive:

These are maximum annual regular-benefit examples before any applicable income reduction. Actual entitlement depends on the CRA’s calculation and your family circumstances.

How Much is the CGEB Per Quarter?

The regular benefit is generally divided into four quarterly payments.

For example, if you qualify for the maximum annual amount:

These are approximate quarterly amounts based on dividing the maximum annual entitlement by four. Your actual payment may differ because of income reductions, family circumstances, or adjustments.

If your quarterly entitlement is less than $50, the CRA generally issues the full amount as a single payment in July instead of making four smaller payments.

Is the Canada Groceries and Essentials Benefit Taxable?

No. The CGEB is a tax-free benefit.

You do not have to report the payments as taxable income on your annual income tax return.

Impact of Income Changes on Your CGEB Payments

Your benefit amount can change when your family income or personal circumstances change.

The CRA uses your adjusted family net income and family information to determine how much you receive.

Here are some situations that can affect your payments.

Changes in Family Income

An increase in adjusted family net income may reduce your benefit.

If your family income decreases, you may become eligible for a higher payment, depending on the applicable income thresholds and benefit rules.

Changes in Marital Status

Getting married, entering a common-law relationship, separating, or divorcing can affect your entitlement.

Make sure you update your marital status with the CRA so that your payments are calculated using the correct family information.

Changes in the Number of Children

Having a child or having a child turn 19 can change your benefit amount.

The CRA uses information about eligible children when calculating your payments.

Shared Custody Arrangements

Parents who share custody of an eligible child may receive a portion of the benefit associated with that child.

The CRA generally considers the shared-custody arrangements used for related child benefits when determining the applicable amount.

How to Update Your Information

You can update your personal information through your CRA My Account or by contacting the CRA.

Keeping your information current helps avoid incorrect payments, delays, and possible repayment requirements.

Canada Groceries and Essentials Benefit for Newcomers to Canada

Newcomers to Canada may qualify for the CGEB if they meet the CRA’s residency, age, and income requirements.

The benefit can be helpful for new residents who are adjusting to Canadian living expenses and the cost of everyday essentials.

Eligibility for Newcomers

Newcomers generally need to:

• Be a resident of Canada for income tax purposes.
• Meet the applicable age, marital, or parental requirements.
• Have adjusted family net income below the relevant threshold.
• Submit the required application for their first year of Canadian tax residency, if applicable.

How Newcomers Can Apply

New residents without children may use the online RC151 application.

New residents with eligible children may need to complete RC151 and, where applicable, RC66 for the Canada Child Benefit.

Once the CRA has the required information, it can determine eligibility and calculate the benefit.

Newcomers should not assume that filing their first Canadian tax return is always the only step required. Review the CRA’s newcomer application instructions for the first year of residency.

How to Check Your Canada Groceries and Essentials Benefit Payment

You can check your upcoming payment amount, payment history, and benefit status through your CRA My Account.

Check Your Payment Through CRA My Account

1. Visit the official CRA website.
2. Sign in to your CRA My Account.
3. Select your Individual account.
4. Look for the Benefits and credits section.
5. Select Canada Groceries and Essentials Benefit (formerly GST/HST credit).
6. Review your next payment date, payment amount, and benefit statement.

Your CRA account can also show your payment history and details about your entitlement.

Sign Up for Payment Reminders

The CRA provides email reminders for upcoming benefit and credit payments.

These reminders are generally sent about one week before a payment is issued.

You can sign up through the CRA’s benefit and credit payment reminder service.

What if You Did Not Receive Your Payment?

If you expected a payment but did not receive it, consider the following steps:

1. Check your CRA My Account for the payment status.
2. Confirm that your direct deposit or mailing address information is correct.
3. Check whether your latest tax return has been assessed.
4. Review your benefit notice for changes to your entitlement.
5. Check whether your payment amount is below the quarterly payment minimum.
6. If the issue remains unresolved, contact the CRA.

The CRA recommends waiting 10 business days after the expected payment date before contacting it about a missing payment.

Read More Helpful Resources on All Review

Looking for more Canadian resources? Browse our collection of in-depth guides covering government benefits, housing, education, and much more—all designed to help you navigate life in Canada with confidence.

Federal & Provincial Benefits

• Canada Groceries & Essentials Benefit (CGEB)
• Canada Child Benefit (CCB)
• Employment Insurance (EI)
• Disability Tax Credit (DTC)
• Canada Pension Plan (CPP)
• Old Age Security (OAS)
• Ontario Trillium Benefit (OTB)
• Canada Workers Benefit CWB and ACWB
• Canada Training Credit

Government, Education & Living in Canada

• CRA My Account Registration Guide
• Social Insurance Number (SIN) Application Guide
• My Service Canada Account (MSCA) Guide
• Minimum Wage by Province
• Best Universities in Canada
• Best Cities to Live in Canada
• Buying a House in Canada Guide

More GST/HST Credit and CGEB FAQs

Here are answers to some frequently asked questions about the former GST/HST credit and the current Canada Groceries and Essentials Benefit.

Conclusion

The Canada Groceries and Essentials Benefit is an important federal support program for eligible low- and modest-income Canadians.

Although it was previously known as the GST/HST credit, the program was renamed in July 2026 and its regular payment amounts increased by 25% for five years.

For the July 2026 to June 2027 benefit year, eligible individuals can receive up to $679, couples up to $890, and families an additional $234 for each eligible child, subject to the CRA’s income and family-based calculations.

The best way to ensure you receive the benefit is to file your income tax return every year, even if you have no income to report, and keep your personal information up to date with the CRA.

If you are new to Canada, check whether you need to submit the required newcomer application.

For the latest payment dates, eligibility requirements, and benefit amounts, always refer to the official Canada Revenue Agency website.