As of July 2025, millions of Canadians will receive slightly increased Goods and Services Tax/Harmonized Sales Tax (GST/HST) credit payments. These increases, although modest, are part of the Canadian government’s annual adjustment to keep pace with inflation and cost-of-living changes.
The Canada Revenue Agency (CRA) has confirmed that the GST/HST credit will increase by 2.7% for the 2025–2026 benefit year. While this is smaller than the previous year’s 4.7% rise, it still plays a crucial role in helping low- and modest-income households offset part of the taxes they pay on goods and services.
This guide covers what the GST/HST credit is, the 2025 changes, how much you could receive, eligibility requirements, and how to ensure your payments are timely and accurate.
Summary Table
Feature |
Details |
|---|---|
Program Name |
GST/HST Credit |
2025 Increase |
2.7% |
Annual Payment (Single Adult) |
$349 |
Annual Payment (Per Child) |
$184 |
Quarterly Payment Dates |
July 5, October 5, January 5, April 5 |
Eligibility |
Canadian residents 19+, tax filers, low/modest-income earners |
Application Required? |
No (except newcomers must file RC151) |
CRA Contact Number |
1-800-387-1193 |
Official CRA Site |
Overview of the GST/HST Credit Program
The GST/HST credit is a non-taxable quarterly benefit provided by the CRA. It is designed to reduce the financial burden of federal sales taxes for lower-income Canadians. This includes families, single adults, and newcomers to Canada.
Each July, CRA recalculates the benefit amounts based on the most recent tax return. There’s no separate application required for most people; if you filed your income tax return, your eligibility and payment amount are assessed automatically.
What’s Changing in 2025?
Starting July 2025, the benefit amount will increase by 2.7%, a response to inflation pressures and rising living costs.
Revised Annual Payment Amounts
Recipient Type |
2024 Amount |
2025 Amount |
Increase |
|---|---|---|---|
Single Individual |
$340 |
$349 |
+$9 |
Per Eligible Child |
$179 |
$184 |
+$5 |
Couple (Combined) |
$680 |
$698 |
+$18 |
Single Supplement |
$179 |
$184 |
+$5 |
For example:
-
A family with two children may receive up to $1,066 annually ($266.50 quarterly).
-
A single parent with one child could receive up to $533 annually ($133.25 quarterly).
These quarterly payments are tax-free and delivered automatically to qualifying recipients.
Eligibility Requirements for the GST/HST Credit
To receive the GST/HST credit, you must meet the following criteria:
Basic Eligibility:
-
Be a resident of Canada for income tax purposes.
-
Be at least 19 years old at the start of the payment month.
-
If under 19, you must:
-
Have a spouse/common-law partner, or
-
Be a parent living with your child.
-
Additional Requirements:
-
File your income tax return, even if you have no income.
-
Newcomers to Canada must fill out Form RC151 to be considered in their first year.
Once CRA receives your tax return or RC151, you’ll be assessed automatically for eligibility.
2025 Income Thresholds: Who Qualifies?
Your Adjusted Family Net Income (AFNI) determines how much credit you receive. As your income increases, your credit amount decreases until it phases out completely.
Updated 2025 Thresholds
Income Category |
2024 Threshold |
2025 Threshold |
Change |
|---|---|---|---|
Single Supplement Phase-in |
$11,039 |
$11,337 |
+$298 |
Family Phase-out Start |
$44,324 |
$45,521 |
+$1,197 |
These thresholds help ensure the benefit targets Canadians who need it most—those with lower or modest incomes. If your income is above the phase-out level, your credit will gradually be reduced to zero.
When and How Payments Are Made
GST/HST credits are issued four times a year:
-
July 5
-
October 5
-
January 5
-
April 5
If the date falls on a weekend or holiday, CRA typically sends payments on the preceding business day.
Receiving Your Payment:
-
Direct deposit is recommended for speed and reliability.
-
Paper cheques may arrive by mail if no direct deposit is set up.
-
CRA “My Account” is useful to check status, amounts, and next payment date.
How to Prepare for Your 2025 GST/HST Payment
To ensure you receive the correct amount on time:
-
File your 2024 income tax return by the April 2025 deadline.
-
Update your banking and contact details in CRA’s “My Account.”
-
Inform CRA of any marital status or dependent changes.
-
New to Canada? Submit Form RC151 during your first year.
If you don’t receive your payment within 10 business days, contact CRA at 1-800-387-1193.
Why This Increase Matters
Although 2.7% may seem minor, for many Canadians, it represents much-needed support. The GST/HST credit:
-
Provides extra income for daily essentials such as groceries, school supplies, and public transportation.
-
Offers automatic, tax-free assistance with no need for complex applications.
-
Helps to cushion the impact of rising costs, especially for those on fixed incomes or earning below the national average.
Frequently Asked Questions (FAQs)
1. Do I need to apply for the GST/HST credit every year?
No. Once you file your annual income tax return, CRA automatically assesses your eligibility.
2. What if I did not receive my July 2025 payment?
Wait 10 business days, then contact CRA at 1-800-387-1193 if there are still issues.
3. Is the GST/HST credit taxable income?
No. It is a non-taxable benefit and does not count toward your income.
4. Can newcomers to Canada receive the GST/HST credit?
Yes, but they must submit Form RC151 during their first year to be assessed.
5. What happens if my income increases during the year?
The credit amount is based on your income from the previous year. A higher income may reduce your credit for the following benefit year.
If you’re eligible, don’t miss out. File your taxes on time and ensure your information with CRA is current to get the support you deserve.
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