What Is GST/HST Credit and Who Is Eligible in 2026? Complete Canada Guide

If you’re wondering what the GST/HST credit is and who is eligible in 2026, the answer is simple: it is a quarterly, tax‑free payment provided by the Canada Revenue Agency (CRA) to help low‑ and modest‑income Canadians offset the GST or HST they pay on goods and services. Eligibility depends on being a Canadian resident for tax purposes, meeting age or family conditions, and having an adjusted family net income below certain thresholds. 

In July 2026, this program will be renamed the Canada Groceries and Essentials Benefit (CGEB) and payment amounts will increase by 25 % for the next five years, but the eligibility rules remain the same.

This guide synthesises information from the CRA and other official sources to provide a complete picture of the GST/HST credit for 2026.

What Is the GST/HST Credit?

The GST/HST credit is a federal benefit designed to soften the impact of Goods and Services Tax (GST) or Harmonized Sales Tax (HST) on households with low and modest incomes. Key facts include:

• Tax‑Free Payment: The credit is a tax‑free amount paid quarterly; you do not need to include it as income on your tax return.
• Automatic Eligibility Review: You don’t have to apply every year. When you file your tax return, the CRA automatically reviews your information to determine if you qualify.
• Offset for Sales Tax: It is intended to help offset some of the GST/HST paid on purchases, but you can use the money for any expense rent, transit, healthcare, or groceries.
• Quarterly Schedule: Payments are issued four times a year. In 2026 the payment dates are January 5, April 2, July 3 and October 5.

Why the Name Is Changing in 2026

On April 17 2026, the CRA announced that the GST/HST credit will be replaced by the Canada Groceries and Essentials Benefit (CGEB) starting July 2026. This change brings a 25 % increase in quarterly payments for five years. An additional one‑time top‑up payment equal to 50 % of your annual credit for July 2025, June 2026 will be issued starting June 5 2026, to smooth the transition to the new benefit.

Pro Tip: Don’t be alarmed if your July or October payment is labelled “Canada Groceries and Essentials Benefit” rather than GST/HST credit, this is simply the new program name.

Who Is Eligible for the GST/HST Credit in 2026?

To qualify for the 2026 GST/HST credit (or the CGEB after July), you must meet three main conditions:

1. Canadian Resident for Tax Purposes: You must be a resident of Canada in the month before the CRA makes a payment and at the start of the month when the payment is made. Residency is based on significant residential ties such as having a home, spouse or common‑law partner, or dependants in Canada.
2. Age or Family Requirements: You must be at least 19 years old or, if under 19, you must have (or have had) a spouse/common‑law partner or be a parent living with your child.
3. Low or Modest Income: Eligibility is tied to your adjusted family net income (AFNI). There are maximum income thresholds for single individuals and families; for example, in the 2024 base year, single individuals with no children needed AFNI below $56,181 and married couples with no children needed below $59,481. These thresholds rise each year.

If you meet all three conditions and file a tax return, the CRA automatically determines your eligibility for 2026. New residents may need to submit Form RC151 or Form RC66 with proof of birth for children, but this is a one‑time process.

Income Thresholds

The credit is income‑tested, meaning it declines as your AFNI increases. Maximum income levels differ by family size. Here are sample thresholds (2024 base year values used for 2025–2026 payment period):

Note: Income thresholds will likely be indexed for inflation by 2026. Always refer to the CRA’s “income thresholds” section for the most up‑to‑date figures.

Who Isn’t Eligible?

You cannot receive the GST/HST credit if any of the following apply:

• You’re not a resident of Canada for tax purposes.
• You’re exempt from paying tax (such as certain diplomats).
• You’re incarcerated for 90 consecutive days or more.
• The recipient is deceased.

How Much You Can Receive in 2026

Standard GST/HST Credit Amounts (Before July 2026)

The maximum GST/HST credit amounts for the benefit period July 2025 – June 2026 (based on your 2024 tax return) are:

• $533 for a single individual.
• $698 for those married or with a common‑law partner.
• $184 for each child under 19.

Changes Under the Canada Groceries & Essentials Benefit (CGEB)

From July 2026, the CGEB will replace the GST/HST credit. According to the CRA, quarterly payments will increase by 25 % for five years. The maximum amounts for July 2026 – June 2027 will be:

• $679 for a single individual.
• $890 for couples.
• $234 per eligible child.

One‑Time Top‑Up in June 2026

To ease the transition to the CGEB, a one‑time GST/HST credit top‑up payment equal to 50 % of your annual credit for July 2025 – June 2026 will be issued starting June 5 2026. For example, if your annual credit for that period was $400, the top‑up will add $200.

Maximum top‑up amounts depend on family size: single individuals without children can receive up to $267, while married couples with four children may receive up to $717.

How the Credit Is Calculated

Your GST/HST credit or CGEB amount is calculated annually using the previous year’s adjusted family net income. Key factors include:

• Family net income and marital status: Low‑income singles may receive the full amount, while couples and families must combine incomes. Payments decrease as income rises.
• Number of children under 19: Each eligible child adds an additional amount.
• Province or territory of residence: Some provinces and territories offer additional tax credits that are automatically included in your quarterly payment. The only separate program is the Ontario Sales Tax Credit.

The CRA recalculates your credit each July based on your newly assessed tax return. Situations such as changes in family income, marriage or separation, a child turning 19, or a recipient’s death can trigger recalculations.

How to Get the GST/HST Credit (and CGEB)

Filing Your Tax Return

In most cases, you do not need to apply for the GST/HST credit. Simply file your tax return on time (before April 30) every year. If you file late, your payments may stop temporarily; once the CRA assesses your return, any missed amounts will be issued retroactively.

New Residents of Canada

If you became a resident of Canada for tax purposes within the last year, you must apply for the credit for your first year:

• Without children: Use the online RC151 form to apply.
• With children under 19: Download Form RC151 and Form RC66 (Canada Child Benefit application), attach proof of birth for each child, and mail them to your tax centre.

After the first year, you’ll be assessed automatically when you file your tax return.

Turning 19 During the Year

If you turn 19 in 2026, file your 2025 return to ensure you receive your credit soon after your birthday. Newcomers turning 19 must also submit the relevant forms.

When Will You Get Paid in 2026?

The GST/HST credit is issued quarterly. Payment dates for 2026 are:

Reasons Your Payments Could Stop or Change

Your GST/HST credit or CGEB payments could be reduced, stopped or delayed if:

• You haven’t filed your tax return for the previous year.
• You no longer meet residency, age or family requirements.
• Your family net income increases beyond the threshold, causing the credit to phase out.
• Your marital status changes, you start or stop sharing custody of a child, or a recipient dies.
• The CRA needs to recalculate your credit due to reassessed tax returns.

If you expect a payment but haven’t received it, check your CRA My Account to verify the status and make sure your personal information is up to date. If the quarterly credit amount is less than $50, it will be issued as a single lump sum in July.

GST/HST Credit Taxability: Do You Have to Pay Tax on It?

No. The GST/HST credit (and the CGEB) is not considered taxable income. You do not have to report it on your tax return. This means the payments won’t affect your eligibility for other government benefits such as the Canada Child Benefit or Old Age Security. The one‑time top‑up and the increased CGEB payments remain tax‑free.

Additional Provincial and Territorial Credits

In addition to the federal GST/HST credit or CGEB, many provinces and territories offer supplementary credits that are automatically included in your quarterly payment. For example:

• BC Climate Action Tax Credit: Up to $504 for individuals, $252 for a spouse, and $126 per child (ended in April 2025).
• New Brunswick Harmonized Sales Tax Credit: Up to $300 per adult.
• Ontario Sales Tax Credit: This program is paid separately and is not combined with the federal credit.

Eligibility for these provincial/territorial programs generally follows the same criteria as the federal credit and is assessed automatically when you file your tax return.

Tips to Ensure You Receive Your GST/HST Credit

To avoid missing out on your quarterly payments, follow these best practices:

• File your tax return every year, even if you have no income. The CRA cannot assess your eligibility without a return.
• Update your CRA account and contact information. Notify the CRA promptly if your address, direct‑deposit details or marital status changes.
• Report changes in your family situation immediately. Birth of a child, separation or death can affect credit amounts.
• Sign up for direct deposit to receive funds faster and more securely.
• Use CRA’s “Benefit & Credit Payment Reminders.” These email reminders alert you about upcoming payment dates.

Conclusion 

The GST/HST credit, soon to be the Canada Groceries and Essentials Benefit, remains a vital support for millions of Canadians. By understanding how it works, ensuring you file your tax return on time, and keeping your information up to date, you can maximise your payments and plan your finances with confidence.

At Bestax, we specialise in Canadian tax compliance and benefits planning. If you need help filing your 2025 or 2026 tax return, determining your eligibility for the CGEB, or planning for other credits like the Canada Child Benefit or Ontario Trillium Benefit, contact our experts today. We’ll make sure you never miss a payment and help you optimise your refund.

Frequently Asked Questions (FAQs)

Disclaimer: The information provided in this blog is for general informational purposes only. For professional assistance and advice, please contact experts.