Canadians to receive new government grocery rebate soon

Eligible Canadians will soon see a new grocery rebate from the federal government.

In January, Prime Minister Mark Carney announced a top-up to the GST credit called the Canada Groceries and Essentials Benefit. The law received royal assent on Feb. 12 and is meant to help more than 12 million low- and modest-income Canadians deal with rising food prices.

The program will provide $11.7 billion in support over six years, according to the Department of Finance Canada.

The rebate includes two main measures. First, people who already receive the GST credit will get a one-time payment equal to a 50 per cent increase in the credit’s value for 2025–2026. Ottawa says this payment could arrive as early as this spring and no later than June 2026, providing about $3.1 billion in immediate help.

Second, the value of the Canada Groceries and Essentials Benefit will increase by 25 per cent for five years starting in July 2026. The government says this will add $8.6 billion in support and expand the benefit to about 500,000 more people and families.

Altogether, the government estimates the extra support could be up to $402 for a single person, $527 for a couple, and $805 for a couple with two children.

The benefit will be paid every three months and will be added to other programs like the Canada Child Benefit.

Eligible Canadians do not need to apply, but they must file their 2024 and 2025 tax returns to receive the payments.