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The Canadian government has announced a 2.7% increase in the Goods and Services Tax (GST)/Harmonized Sales Tax (HST) credit, effective July 2025.
This adjustment aims to assist low- and modest-income Canadians in coping with rising living costs.
Overview of the GST/HST Credit Increase
The GST/HST credit is a tax-free quarterly payment designed to offset the GST or HST paid by eligible individuals and families.
The 2.7% increase, effective from July 4, 2025, adjusts the credit amounts to better align with current inflation rates.
Updated GST/HST Credit Amounts for 2025
| Category | Previous Annual Amount | New Annual Amount (2025) |
|---|---|---|
| Single individuals | $519 | $533 |
| Married or common-law couples | $680 | $698 |
| Per child under 19 | $179 | $184 |
Note: These amounts are based on the 2023 tax return and are subject to income thresholds.
Payment Schedule for 2025–2026
The GST/HST credit is distributed quarterly. The upcoming payment dates are:
- July 4, 2025
- October 3, 2025
- January 3, 2026
- April 3, 2026
Payments are typically made via direct deposit or mailed cheque.
Eligibility Criteria
To qualify for the GST/HST credit:
- Residency: Must be a Canadian resident for tax purposes.
- Age: At least 19 years old, or under 19 if you have (or had) a spouse/common-law partner or are (or were) a parent living with your child.
- Tax Filing: Must have filed a 2024 income tax return.
- Income: Adjusted family net income must be below specific thresholds, which vary based on family size and marital status.
How to Apply
Most eligible individuals are automatically considered for the GST/HST credit upon filing their annual tax return.
For Newcomers to Canada:
- Without children: Submit Form RC151.
- With children: Submit Form RC66 and RC66SCH.
These forms can be submitted online through the CRA’s My Account portal or mailed to the appropriate tax centre.
Tips to Ensure Timely Payments
- File your 2024 tax return promptly to avoid delays.
- Keep your personal information up to date, including marital status and number of children.
- Set up direct deposit through the CRA for faster payments.
The 2.7% increase in the GST/HST credit for 2025 reflects the Canadian government’s commitment to supporting low- and modest-income individuals and families amid rising living costs.
By understanding the eligibility criteria and ensuring your information is current with the CRA, you can take full advantage of this benefit.
FAQs
When will I receive the increased GST/HST credit?
The increased payment will be issued on July 4, 2025, with subsequent payments in October 2025, January 2026, and April 2026.
How do I know if I’m eligible for the credit?
Eligibility is based on your 2024 tax return, age, residency status, and adjusted family net income. If you meet the criteria, the CRA will automatically determine your eligibility.
What should I do if I don’t receive my payment?
If you haven’t received your payment within 10 business days after the scheduled date, contact the CRA at 1-800-387-1193 or check your CRA My Account for updates.