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Canada Grocery Rebate in 2025, Should you look forward to the another payment?

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The Canadian government introduced a one-time Grocery Rebate in 2023 to alleviate the financial burden of inflation on essential food items for low—and modest-income families. This initiative was part of a broader effort to support Canadians facing rising living costs. As the date approaches for the potential disbursement of similar benefits in 2025, many are questioning whether they should expect a payment, as was the case last year.

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Canada Revenue Agency (CRA) said on X (formerly Twitter) that they have been getting a lot of queries regarding a Grocery Rebate possibility in June 2025. They further said that the Grocery Rebate was a one-time benefit released last year. A similar rebate won’t be issued in June or any upcoming months in 2025.

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Will there be another Grocery Rebate this year in Canada?

The Grocery Rebate was a one-time financial assistance program implemented by the Government of Canada in 2023. The rebate was designed to double the amount of the January 2023 GST/HST credit recipients received, providing substantial aid to those struggling with the high cost of groceries caused by inflation. Payments were distributed on July 5, 2023, alongside the quarterly GST/HST credit.

Grocery Rebate Eligibility

Understanding the eligibility criteria is crucial for those who anticipate or seek to benefit from similar programs in the future. Here’s a detailed breakdown of the eligibility requirements for the CRA Grocery Rebate:

Age Requirement

Individuals must have been at least 19 years old to be eligible for the Grocery Rebate.

GST/HST Credit Eligibility

Eligibility for the Grocery Rebate was closely linked to the GST/HST credit eligibility. Only those entitled to receive the GST/HST credit for January 2023 were eligible for the Grocery Rebate.

Income Thresholds

The income limit for individual claimants was set at $45,000, and the combined income threshold for couples was established at $65,000.

Tax Filing

Eligibility also requires that individuals must have filed a tax return for the year 2021, even if they had no income to report. This filing was necessary to establish entitlement to the GST/HST credit and, consequently, the Grocery Rebate.

Family Composition

The amount of the Grocery Rebate depended on the individual’s or family’s adjusted net income and their family situation as of January 2023. The presence of children or dependents significantly impacted the rebate amount, with higher amounts disbursed to families with more dependents.

CRA Grocery Rebate Amount

The Grocery Rebate was calculated to be twice the amount of the GST/HST credit payment that eligible individuals received in January 2023. This approach was intended to significantly amplify the financial support provided, acknowledging the heightened economic strain on food costs.

The rebate amount varied based on an individual’s or family’s income and family composition during the January 2023 GST/HST credit calculation. Here are the details of the rebate amounts based on different family scenarios:

Here’s a table detailing the rebate amounts for the Canada Grocery Rebate based on family composition:

Single Individual
No children $234
1 child $387
2 children $467
3 children $548
4 children $628
Married or Common-Law Partner
No children $306
1 child $387
2 children $467
3 children $548
4 children $628

What is the status of the Canada Grocery Rebate in 2025?

The Canada Revenue Agency (CRA) has not announced a Grocery Rebate for 2025. Nonetheless, given the continued economic strain on low-income families, evidenced by a projected annual increase of $702 in food expenses for a typical family of four, there is a strong case for the government to consider a similar or enhanced rebate in the near future.

The food price increases are particularly steep in categories such as bakery products, vegetables, and meats, underscoring the need for continued financial support. If the government follows last year’s framework, eligible Canadians might again receive their payments in future, but it is not happening in June 2025 for sure.

CRA has confirmed that there won’t be a Grocery Rebate for 2025. However, the ongoing economic challenges make a compelling argument for its continuation. For those who benefited from last year’s rebate, monitoring announcements from the CRA and preparing any necessary documentation to ensure eligibility for any potential rebates is advisable.

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