2026-01-26: The federal government announced rebranding for the GST rebate program today, with changes it says will help lower-income families with their grocery bills.
The new “Canada Groceries and Essentials Benefit” will replace the existing GST rebate program, and promises to return more tax dollars to individuals and families struggling with the rising costs of groceries. A lump sum payout this spring will be the first change taxpayers see — up to $267 for a single senior and up to $533 for a couple with two children, according to a government news release.
Those numbers are based on an income of $25,000 for the senior and $40,000 for the couple. Full eligibility details for the benefit have not yet been published, but if they follow the same criteria as the GST rebate, the income threshold for the 2024 tax year was $56,181 for an individual to qualify and $74,201 for a single parent with four children.
Quarterly rebate payments will also be increased under the revised program, the government says, if Parliament approves the proposed changes this summer.
The federal government says people will not have to apply for the new credit; their eligibility will be determined automatically by the Canada Revenue Agency.
Supporters of the new program include anti-poverty activists, who say it will provide some relief to low-income Canadians struggling with inflation and surging grocery prices. Critics, including the editorial board of the Toronto Sun, say the $12 billion plan is a blatant attempt to buy votes ahead of a potential federal election.






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