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The Canada Revenue Agency (CRA) has announced an increase in the GST/HST credit effective October 2025, aiming to provide additional financial relief to low- and moderate-income Canadians amidst rising living costs.
This adjustment reflects the annual inflation indexing and policy changes to enhance affordability.
Understanding the GST/HST Credit
The GST/HST credit is a tax-free quarterly payment designed to offset the Goods and Services Tax (GST) or Harmonized Sales Tax (HST) paid by eligible individuals and families.
Eligibility and payment amounts are determined based on the previous year’s tax return, considering factors such as adjusted family net income, marital status, and the number of children under 19 years of age.
What’s New in October 2025?
Starting October 3, 2025, the GST/HST credit amounts will see a 2.7% increase compared to the previous year, aligning with the latest inflation rates.
This adjustment ensures that the credit continues to provide meaningful support to eligible Canadians.
Updated GST/HST Credit Amounts
The table below outlines the previous and new annual amounts, along with the estimated quarterly payments:
| Household Type | Previous Annual Amount | New Annual Amount (Oct 2025) | Quarterly Payment (Est.) |
|---|---|---|---|
| Single Individual | $519 | $533 | $133.25 |
| Married/Common-law Couple | $680 | $698 | $174.50 |
| Per Child (under 19) | $179 | $184 | $46.00 |
Note: These amounts are based on the 2023 tax return and are subject to change based on individual circumstances.
Eligibility Criteria
To qualify for the GST/HST credit, you must:
- Be a resident of Canada for income tax purposes.
- Be at least 19 years old, or have (or had) a spouse or common-law partner, or be (or have been) a parent and live (or have lived) with your child.
- File an annual tax return, even if you have no income to report.
Eligibility is automatically assessed when you file your tax return.
Payment Dates
The GST/HST credit is distributed quarterly. For the 2025-2026 payment period, the scheduled dates are:
- July 4, 2025
- October 3, 2025
- January 3, 2026
- April 3, 2026
Ensure your direct deposit information and mailing address are up to date with the CRA to receive payments promptly.
Provincial and Territorial Credits
In addition to the federal GST/HST credit, some provinces and territories offer supplementary credits:
| Province/Territory | Credit Name | Maximum Annual Amount |
|---|---|---|
| British Columbia | Climate Action Tax Credit | Up to $504 per individual |
| Ontario | Ontario Sales Tax Credit | Up to $360 per adult/child |
| Nova Scotia | Affordable Living Tax Credit | $255 per household |
| Newfoundland & Labrador | Income Supplement | Up to $520 per individual |
| Yukon | Carbon Price Rebate | $310 per individual |
These credits are typically combined with the GST/HST credit payments.
How to Apply
There’s no separate application for the GST/HST credit. Simply file your annual tax return, and the CRA will automatically determine your eligibility and calculate the amount you’re entitled to receive.
The upcoming increase in the GST/HST credit for October 2025 reflects the Canadian government’s commitment to supporting low- and moderate-income individuals and families.
By understanding your eligibility and ensuring your information is current with the CRA, you can maximize the benefits available to you.
FAQs
How is the GST/HST credit amount determined?
The credit amount is based on your adjusted family net income, marital status, and the number of children under 19. The CRA uses information from your previous year’s tax return to calculate the payment.
What should I do if my personal circumstances change?
If you experience changes such as marital status, number of children, or income, inform the CRA promptly to ensure your credit amount is adjusted accordingly.
Can newcomers to Canada receive the GST/HST credit?
Yes, newcomers may be eligible. They need to complete Form RC151 (without children) or Form RC66 (with children) and submit it to the CRA to apply for the credit.