The Canadian federal government has announced that the GST/HST Credit will see an increase in 2026. This yearly adjustment is part of a broader effort to ensure federal support keeps pace with inflation and helps Canadians manage the rising cost of living. While the boost is modest, it remains an important source of relief for millions of low- and modest-income Canadians.
This comprehensive guide explains the new 2026 GST/HST Credit amounts, eligibility requirements, payment schedule, and how the increase can impact household finances. By the end, you will have a clear understanding of what to expect in the upcoming benefit year.
Canada Reinforces Open Work Permit Regulations for 2025 — Updated Rules & Eligibility Criteria
GST/HST Credit Explained: How the Program Supports Low- and Moderate-Income Canadians
The GST/HST Credit is a tax-free payment that the federal government sends out four times a year to help Canadians cover the costs of the Goods & Services Tax and the Harmonized Sales Tax. Who Benefits from the GST/HST Credit? This program helps Canadians who have low or modest incomes. The credit gives financial support to make daily expenses like groceries and transportation and household items easier to afford. Key points about the GST/HST Credit: The credit is fully refundable so you can receive it even if you don’t owe any taxes. You don’t need to fill out a separate application because the Canada Revenue Agency uses information from your tax return to decide if you qualify. Your eligibility depends on things like your adjusted family net income and your marital status and how many dependent children under 19 you have. The benefit year goes from July to June and payments arrive four times per year in July & October & January and April. The credit is tax-free so you get the full amount without any deductions.
Expected GST/HST Credit Increase in 2026: What the New Amounts Could Look Like
For the 2026-27 benefit year, the CRA has applied a 2.0 percent indexation increase. This modest adjustment helps maintain the purchasing power of the credit as living costs rise.
Updated Maximum Credit Amounts
Here’s a breakdown of the maximum amounts Canadians can expect in 2026 compared to 2025:
Updated Income Thresholds for 2026: Who Remains Eligible Under the Revised Rules
The eligibility rules stay mostly the same for 2026. Canadians who want the credit starting in July 2026 need to file their 2025 tax return because the CRA uses this information to figure out benefit amounts. Main Eligibility Criteria Canadian residency: You must be a resident for tax purposes when each payment month starts. Tax filing requirement: You have to file a 2025 tax return even if you had no income. Adjusted family net income: Your income must be below the annual CRA phase-out limits that change based on household size. Dependent children: Families with children under 19 might get higher credit amounts. The phase-out system makes sure the GST/HST Credit goes to Canadians who need financial help the most. When family income goes up the credit amount slowly goes down.
Complete 2026 GST/HST Credit Payment Calendar: Month-by-Month Breakdown
The GST/HST Credit is paid quarterly and the 2026 schedule is as follows:
January 2026: January 5
Singapore Housing Grants 2026: Policy Shifts That Reshape Support for Homebuyers and Families
April 2026: April 2
July 2026: July 3
October 2026: October 5
Recipients do not need to take any additional action to receive the updated amounts. As long as tax returns are filed and personal information is up to date with the CRA, payments are issued automatically. Setting up direct deposit is recommended for faster and more secure payments.
Important GST/HST Credit Changes for 2026: What Recipients Should Prepare For
Although a 2 percent increase may seem small it can make a real difference for families living on tight budgets. With the rising cost of essentials like groceries and utilities and transportation even a minor quarterly boost provides practical relief. Benefits for Low- and Modest-Income Families The increase helps offset inflation and rising everyday expenses. Families with multiple children will see a larger total increase across the year. The quarterly structure ensures consistent cash flow which is especially helpful for those relying on fixed incomes. It provides financial stability for households where every dollar counts. Regular adjustments like the 2026 increase protect the credit’s value over time and ensure Canadians continue to receive meaningful support.
