Canadian households hit hard by rising grocery prices are set to receive a welcome boost this summer. The federal government has confirmed that the \$1,000 Grocery Rebate will be distributed by the Canada Revenue Agency (CRA) starting July 15, 2025.
This one-time, tax-free payment is designed to help low- and modest-income individuals and families cope with the ongoing surge in food costs. The rebate is closely tied to eligibility for the GST/HST credit, meaning that many who already qualify for that benefit will automatically receive this additional support.
Why the Grocery Rebate Matters in 2025
Over the past year, inflation has hit Canadian grocery aisles particularly hard, with sharp increases in the cost of staples such as bread, dairy, vegetables, and meat. For families living on tight budgets, these price hikes have strained household finances to the breaking point.
The \$1,000 Grocery Rebate is the government’s targeted response — a way to deliver direct relief quickly to those who need it most, without reducing or affecting other benefits like the Canada Child Benefit or the Climate Action Incentive.
Who Qualifies for the \$1,000 Grocery Rebate?
To receive the payment in July 2025, you must meet the CRA’s eligibility criteria:
- GST/HST Credit Eligibility – You must have been eligible for the GST/HST credit for the 2024 tax year.
- Income Thresholds – Your household income must be within the CRA’s approved limits for GST/HST credit eligibility.
- Tax Filing Requirement – You must have filed your 2024 tax return on time.
- Updated Personal Information – Your marital status and dependent information must be correct in your CRA profile as of June 2025.
- Canadian Residency – You must be a Canadian resident for tax purposes at the time of payment.
If you don’t meet all of these requirements, the rebate will not be issued — even if you received it in a previous year.
How Much Will You Get?
The rebate amount depends on your family size, marital status, and number of eligible dependents under age 19.
Household Type | Rebate Amount |
---|---|
Single Individual | Up to \$234 |
Married/Common-Law | Up to \$306 |
Each Eligible Child | Up to \$72 |
Maximum Benefit | Up to \$1,000 |
Example: A family with two adults and three eligible children could receive the full \$1,000 rebate.
CRA Payment Schedule for July 2025
The CRA will begin sending out the Grocery Rebate on Tuesday, July 15, 2025.
How You’ll Receive It:
- Direct Deposit – Funds will arrive in your bank account on the payment date if you’re enrolled in direct deposit via CRA My Account.
- Cheque – If you’re not set up for direct deposit, a cheque will be mailed to the address on your CRA file.
Tip: Update your banking and mailing information well before July to avoid delays.
Grocery Rebate vs. GST/HST Credit – The Key Difference
Many Canadians confuse the Grocery Rebate with the regular GST/HST credit. Here’s how they differ:
Program | Purpose | Payment Frequency |
---|---|---|
GST/HST Credit | Helps offset sales taxes | Quarterly |
\$1,000 Grocery Rebate | Extra relief for rising food prices | One-time (July) |
Receiving the Grocery Rebate will not reduce your GST/HST credit or other federal benefits.
How to Ensure You Receive Your Rebate
While no formal application is required, there are key steps you must take to secure your payment:
- File Your 2024 Taxes – Even if your income is low or you owe no taxes, filing ensures you remain eligible.
- Update CRA My Account – Make sure your marital status, dependents, and contact details are current.
- Set Up Direct Deposit – This ensures you get your payment faster and more securely.
- Report Changes Promptly – Notify the CRA if your income, address, or family situation changes before June 2025.
Why Timely Filing Is Essential
Your eligibility for the Grocery Rebate is based entirely on your 2024 tax return. Missing the tax deadline or filing incomplete information could mean missing out on hundreds of dollars in assistance.
Even if your financial circumstances changed in 2025 — such as losing a job or adding a dependent — the CRA will base your payment on 2024 tax data, so ensuring accuracy is crucial.
The Bigger Picture – Inflation and Targeted Relief
This year’s rebate is part of a broader government strategy to support Canadians facing cost-of-living pressures. While one-time payments cannot replace long-term affordability measures, they offer an immediate lifeline for households struggling to pay for essentials.
For families living paycheque to paycheque, the extra funds can help cover grocery bills, utilities, or other urgent expenses without creating additional debt.
5 SEO-Friendly FAQs
Q1. When will the \$1,000 Grocery Rebate be paid?
The CRA will begin issuing payments on July 15, 2025.
Q2. Do I have to apply for the Grocery Rebate?
No. If you filed your 2024 taxes and are eligible for the GST/HST credit, you will automatically be considered.
Q3. How much is the rebate per child?
Each eligible child under 19 adds up to \$72 to your rebate.
Q4. Will the Grocery Rebate affect my other benefits?
No. It does not reduce your GST/HST credit, Canada Child Benefit, or Climate Action Incentive.
Q5. What if my address or bank info is wrong?
Update your CRA My Account before July to avoid payment delays.