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Many Canadians set to get more money back this year thanks to this grocery tax rebate — here’s how much you could get

A federal benefit and boosted GST credits aim to ease rising grocery and living costs, with payments rolling out starting June 2026.

Woman shopping in a grocery store with Canadian currency, including bills and coins, highlighting savings and financial benefits from the grocery tax rebate.
Millions of Canadians will soon see some extra cash in their bank accounts thanks to a one-time grocery rebate top-up. (Courtesy: Canva)

What to know

  • The 2026 Canada Groceries and Essentials Benefit includes a one-time payment in June for over 12 million low- and modest-income Canadians.
  • GST/HST credits will increase by 25% starting July 2026, adding hundreds more annually for eligible households.
  • While some welcome the relief, others say the payments fall short of addressing Canada’s ongoing cost-of-living crisis.

Heads up, millions of Canadians will soon see some money deposited into their accounts thanks to the federal government.

Housing, transportation and food are all necessities, but they’re also big-ticket expenses for a lot of Canadians. To help people in the country combat the rising cost of living, the federal government has introduced legislation to put money back in people’s pockets.

The 2026 Canada Groceries and Essentials Benefit (CGEB), formerly known as the grocery rebate, will include a one-time top-up payment on June 5. The new top-up is set to give $3.1 billion to the 12 million low- and modest-income Canadians receiving the GST credit, while the increase in quarterly credits will see $8.6 billion given back to Canadians over the 2026-27 to 2030-31 period.

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When it comes to the top-up, single, eligible Canadians without children can get up to $267, while single parent families with one kid can get up to $441, those with two children can see up to $533, families with three children can receive as much as $625, while those with four or more dependents can get up to $717.

Meanwhile, families with two adults and no kids can look forward to getting as much as $349, those with one child can up to $441, parents with two children can get $533, while $625 is the maximum payment for those with three children, and $717 is the highest payment families with four or more kids can expect. 

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But that’s not all. In addition to the one-time top-up, the new legislation will also include a 25 per cent increase to the GST/HST credits Canadians receive over the next five years, starting in July 2026. 

Thanks to the benefit, a single senior citizen with a net income of $25,000 will get a one-time top-up of $267, plus an extra $136 for their quarterly HST/GST rebates, meaning they will receive around extra $950 for the 2026-27 benefit year.

Meanwhile, a couple with two children who earn $40,000 will get a one-time top-up of $533 in June, plus an increase of $272 for the 2026-27 benefit year. This means in total, they will receive $1,890.

Anyone who receives the GST tax rebate is eligible for the grocery benefit. The rebates are tied to your income, with 2024 tax returns used to determine eligibility for the top-up, while the increase to the quarterly payments is based on 2025 tax returns.

Canadians react to new rebate plan

The one-time top-up is set to roll out in June, with the increased GST rebates starting in July. But already, people are taking to social media to share their take on the benefit. 

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Some people are glad to be getting some money back from the feds. 

“[With] the GST rebate increased by 25%, for the poorest people, this will be quite helpful,” one X user commented. 

“Honestly, I’m glad people who need it can get it. I wish it were means-tested—shit sucks for large families just above the threshold,” one Redditor shared.

While the majority of people don’t feel that the new plans are enough to combat the seemingly never-ending cost of living crisis.

“I was planning on only buying groceries once this summer, so this is amazing!” one person joked on X.

“Bout to take that $200 and Klarna groceries so I can eat for two months since being in debt is the only way!” another shared.

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“If the goal was to help Canadian citizens they would significantly reduce our taxes.  This is not a government who is working for the people.”

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