Canada Groceries and Essentials Benefit: What You Need to Know Before the July Payment
The cost of filling a grocery cart has quietly become one of the biggest strains on household budgets, and the federal government has taken notice. As a result, starting this summer, a brand-new benefit is replacing your quarterly GST/HST credit in addition to a meaningful raise. This new program is called the Canada Groceries and Essentials Benefit, or CGEB, and your tax return is essential for eligibility.
What is the CGEB?
The Canada Groceries and Essentials Benefit will officially replace the GST/HST credit by July 2026. The government introduced the CGEB in January 2026 under Bill C-19, which received Royal Assent on February 12, 2026. The goal is to put more money directly into the pockets of Canadians with low to modest incomes to help cover groceries, utilities, and the other essentials that have become harder to afford as a result of inflation.
Here’s How Much You Could Receive?
Starting July 2026, your quarterly payments are increasing by 25% and for the next five years (July 2026 to June 2031). The benefit is also indexed to inflation, so it will continue to adjust over time.
From July 2026 to June 2027 here’s the maximum amount;
A single individuals could receive up to $679 per year which translates to additional $146 per year ($679-$533)
Couples could receive up to $890 per year which translates to additional $192 per year ($890-$698)
Eligible child under 19 could receive up to $234 per year/child which translates to additional $50 per year ($234-$184)
The maximum amount payable to you will depend on your adjusted family net income. Alongside this payment, the CRA will also issue a one-time top-up payment on June 5, 2026, equal to 50% of your total 2025/2026 annual GST/HST credit for the 2025/2026 prior the CGEB start date. Qualification for this top up is based on your 2024 tax return.
Who Qualifies?
The eligibility rules is still similar to old GST/HST credit rules. Qualification depends on if you are:
A Canadian resident for tax purposes
19 years of age or older (or under 19 but married, in a common-law relationship, or a parent)
Filied a tax return with an adjusted family net income below the CRA's threshold . See the government income phase-out schedule
You do not need to apply separately for the CGEB except you are a new resident of Canada. The CRA automatically determines your eligibility when you file your income tax return. If you already received the GST/HST credit, you are automatically enrolled in the CGEB.
The One Thing That Can Cost You This Benefit: Not Filing
Filling your tax return is the easiest way to determine your eligiblity for this benefit. . Your 2025 tax return determines your CGEB payments from July 2026 through June 2027. Even if you had little or no income, you need to file your returns to qualify.
What You Should Do Right Now
Confirm your 2024 and 2025 tax returns have been filed.
Set up direct deposit through CRA My Account so your payments are deposited directly into your bank account
Update your address and marital status with the CRA if anything has changed these can affect your payment amounts.
Reach out to our office today if you haven’t filled your tax returns.