More than 815,000 Canadians are expecting to receive a one-time tax-free housing benefit of $500, directly deposited into their bank accounts. This Canada Housing Benefit (CHB), administered by the Canada Revenue Agency (CRA), was introduced as part of a targeted response to rising rental costs and economic pressure caused by inflation in 2022.
Although new applications are now closed, many eligible individuals are still in line to receive their pending payments as part of the program’s final rollout.
What Is the Canada Housing Benefit (CHB)?
The Canada Housing Benefit is a one-time, non-taxable payment of $500, intended to support low-income renters struggling with high housing costs. Launched during a time of economic hardship, this benefit was designed to help Canadians who were paying rent throughout 2022 and met specific income and residency requirements.
The CRA launched the program to offer financial relief to Canadians facing increased rental burdens, ensuring tenants could maintain stable housing during periods of high inflation.
Why Was the Housing Benefit Introduced?
In 2022, inflation surged across Canada, making it increasingly difficult for low-income individuals and families to keep up with rent payments. Recognizing this growing challenge, the government introduced the CHB to offer targeted support to tenants paying market rent out of pocket.
The $500 benefit was not intended as a recurring payment but rather as a one-time relief package to help bridge the financial gap during a period of crisis.
Who Was Eligible for the $500 Payment?
Though applications are now closed, understanding the eligibility criteria is still important—especially if the program is reinstated in future years. To receive the $500 Canada Housing Benefit, applicants had to meet the following eligibility conditions:
- Must be a permanent resident of Canada and have lived in the country for at least 10 years
- Minimum age of applicant: 15 years or older
- Must have filed tax returns for 2024 and 2025
- Single applicants: Annual income must be less than $20,000
- Applicants with a common-law partner: Combined income must be less than $35,000
- Applicant must have paid rent to a landlord in the 2022 financial year
These conditions were set to ensure that the benefit reached those most in need, targeting tenants with the lowest household income and the highest rent burden.
When Was the Application Window?
The application form for the CHB was open around July 15, 2025, allowing eligible individuals across the country to submit their requests. By the end of the window, 815,190 Canadians had applied.
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However, as of now, the application window is closed, and no new applications are being accepted. This was strictly a one-time program, and unless reintroduced, no payments will be available for new applicants.
What If the Program Returns?
The Canada Housing Benefit was not designed to be ongoing, but government officials have left the door open for its possible return. If financial conditions worsen in 2025, there’s a chance the federal government may revive or expand the program.
If that happens, priority may be given to those who previously met the eligibility criteria, including low-income renters and those who have kept up with their tax obligations.
How Much Has Been Paid Out?
According to official CRA data, a total of $402,366,000 has been distributed under the Canada Housing Benefit program. This amount represents a massive federal investment into housing stability and a commitment to supporting vulnerable Canadians.
Each eligible beneficiary receives a flat payment of $500, with no deductions or taxes applied. This ensures that 100% of the benefit can be used directly to cover rent expenses or other housing-related needs.
What Makes This Benefit Unique?
Unlike other assistance programs, the CHB offers several distinct advantages:
- No Taxation: The $500 payment is completely tax-free
- No Deductions: The amount is not reduced by other benefits or income support
- Direct Deposit or Cheque: Funds are delivered either through direct deposit (if linked with CRA) or via cheque for other recipients
- Targeted Support: Specifically focused on low-income renters who faced economic stress during 2022
This combination of features makes the CHB a simple, transparent, and impactful support measure.
Are Any Live Applications Still Available?
As of now, there are no open application forms for the Canada Housing Benefit. The program was strictly a one-time payout, and the application deadline has passed. No new beneficiaries will be accepted for the 2025 fiscal year unless the program is renewed.
Canadians are encouraged to stay informed through official CRA channels in case of future announcements.
Affordable Housing Options Still in Focus
While the $500 benefit has ended, the Canadian government continues to explore long-term affordable housing solutions. Programs supporting low-income households, rent-geared-to-income (RGI) units, and provincial housing grants remain active in various provinces.
Canadians concerned about housing affordability can check local municipal housing resources, provincial support programs, and federal updates for additional help.
