The Canada Revenue Agency (CRA) is set to issue a one-time Grocery Rebate payment in July 2025, offering up to $978 in direct financial support to low- and modest-income Canadians struggling with high grocery prices and rising living costs.
This non-taxable payment, modeled on the GST/HST credit structure, is part of the federal government’s affordability efforts and will be automatically sent to eligible recipients starting July 5, 2025.
Here’s everything you need to know about the Grocery Rebate, including who qualifies, how much you could receive, and how to check your payment status.
What Is the Grocery Rebate in Canada?
The Grocery Rebate is a federal financial assistance program introduced in 2023 and renewed for 2025. It is designed to provide direct support to households most impacted by rising food prices.
This year, the rebate offers up to $978 per eligible household, depending on family size and 2023 income levels. The CRA will distribute the payment as a one-time lump sum, separate from other federal benefits.
Importantly, the rebate:
- Is non-taxable
- Does not require a separate application
- Does not affect eligibility for other benefits
Who Is Eligible for the July 2025 Grocery Rebate?
To qualify for the Grocery Rebate, individuals must meet the same eligibility requirements as those for the GST/HST credit in July 2025. The CRA determines eligibility using 2023 tax return data.
Key Eligibility Requirements:
- You must have filed a 2023 income tax return
- You are eligible for the GST/HST credit in July 2025
- Your adjusted family net income falls within specific thresholds
- You are 18 years or older
- You reside in Canada
No separate registration is necessary—CRA automatically calculates and issues the rebate to those who meet the criteria.
Grocery Rebate Amounts: How Much Will You Receive?
The amount you receive depends on your marital status and number of children. Here’s a breakdown of the maximum rebate amounts for July 2025:
Family Situation | Maximum Payment |
---|---|
Single adult with no children | $234 |
Married/common-law couple with no children | $306 |
Single parent with one child | $387 |
Couple with two children | $467 |
Couple with three children | $612 |
Couple with four children | $729 |
Couple with five or more children | $978 |
These figures are calculated based on the same formula used for GST/HST credits, considering family size and net income.
When Will the Grocery Rebate Be Paid?
The CRA will begin depositing Grocery Rebate payments on July 5, 2025. Most people eligible for the GST/HST credit will receive their rebate on the same day as their quarterly credit payment.
Payment Methods:
- Direct deposit (to the bank account on file with CRA)
- Mailed cheque (if direct deposit is not set up)
To avoid delays, ensure your CRA My Account has accurate banking or mailing information.
How to Check If You’re Getting the Grocery Rebate
To verify your eligibility or see your expected payment amount, use your CRA My Account:
- Visit: https://www.canada.ca/en/revenue-agency.html
- Click on CRA My Account
- Navigate to “Payments” and “Benefits and Credits”
- Check for a line indicating the Grocery Rebate, listed with your GST/HST credit
If eligible, your rebate amount will appear in your benefits summary and should match your family income and size.
Is the Grocery Rebate Taxable?
No. The Grocery Rebate is non-taxable and does not need to be declared as income on your 2025 tax return.
Additionally, it does not affect your eligibility for any other federal income-tested benefits, such as:
- Canada Workers Benefit (CWB)
- Canada Child Benefit (CCB)
- Old Age Security (OAS)
- Guaranteed Income Supplement (GIS)
Why Is the Grocery Rebate Being Offered Again in 2025?
Despite signs of economic stabilization in other sectors, grocery prices have remained significantly above pre-pandemic levels. This continued strain has disproportionately affected low-income seniors, single parents, and working families.
To address this challenge, the federal government has renewed the rebate in the 2025 federal budget as part of a broader cost-of-living relief package.
The Grocery Rebate is one of the most immediate and accessible forms of financial aid available this year.
What to Do If You Don’t Receive the Rebate
If you believe you’re eligible but don’t receive the payment by July 12, 2025, follow these steps:
- Log in to CRA My Account and confirm your eligibility
- Verify your banking or mailing information is current
- Contact the CRA at 1-800-387-1193 (for GST/HST credit inquiries)
Note: Delays can occur if you’ve recently:
- Changed marital status
- Had a child
- Moved without updating your address
CRA recommends waiting at least one week after July 5 before initiating an inquiry.
Additional Tips for Faster Access to Payments
- Double-check your 2023 tax return was filed correctly and assessed
- Enroll in direct deposit through CRA My Account to avoid mail delays
- Regularly review CRA notices for upcoming benefits in the 2025–26 fiscal year
Keeping your information up to date will not only ensure a smooth rebate process but also position you to receive future credits and benefits without disruption.
A Lifeline for Households Facing Grocery Inflation
With payments up to $978, the July 2025 Grocery Rebate provides crucial relief to millions of Canadians impacted by stubborn food inflation. For many, this support will help cover essentials that have become increasingly difficult to afford.
If you are eligible for the GST/HST credit, you don’t need to take any further action. The payment will arrive automatically.
Check your CRA account today to confirm your status and make sure your details are current.
Frequently Asked Questions
Q1. Do I need to apply for the Grocery Rebate?
No. The CRA will automatically issue the payment if you’re eligible for the GST/HST credit.
Q2. Are seniors eligible to receive the Grocery Rebate?
Yes. Low-income seniors, especially those receiving OAS or GIS, are eligible if they qualify under the GST/HST credit system.
Q3. Will the rebate impact other government benefits like the CCB or OAS?
No. The Grocery Rebate is non-taxable and will not reduce or affect any other federal or provincial benefits.