New Canada Groceries and Essentials Benefit (CGEB) Payments Start July 3. Who Qualifies?

The CGEB replaces the GST/HST credit. Starting now, the CGEB will increase benefit amounts by 25 percent for five years, while keeping the same eligibility rules and quarterly payment schedule as the GST/HST credit. Most eligible Canadians do not need to apply. If you filed your 2025 income tax return, the Canada Revenue Agency (CRA) will automatically determine whether you qualify.

Here’s what you need to know about the new benefit, who’s eligible, and how much you could receive.

Key Takeaways:

• First payment date: July 3, 2026
• What changed: The CGEB replaces the GST/HST credit
• Payment increase: Amounts are 25 percent higher for five years
• Application required? No separate application is required if you filed your 2025 tax return
• Maximum annual amount: Up to $679 for a single adult, $890 for a couple, plus $234 per eligible child

What is the Canada Groceries and Essentials Benefit (CGEB)?

The Canada Groceries and Essentials Benefit (CGEB) is a new federal tax-free payment for people and families with low and modest incomes.

Although the name has changed, the benefit works almost exactly like the former GST/HST credit. Eligibility rules remain the same, but payment amounts have increased by 25 percent. The higher payment amounts are scheduled to remain in place until 2031.

The benefit is paid every three months, with payments generally issued in July, October, January, and April.

When Is the First CGEB Payment?

The first regular CGEB payment will be made on July 3, 2026. Your eligibility and payment amount are based on your 2025 adjusted family net income, which is reported on your 2025 income tax return.

If you receive your benefits by direct deposit, the payment should appear in your bank account on July 3. If you receive payments by cheque, you can expect a few days or weeks for the cheque to be delivered.

Earlier in June, CRA paid out a one-time CGEB top-up. This additional one-time top-up payment was generally 50 percent of a person’s total annual GST/HST credit amount for the period from July 2025 to June 2026.

Who Qualifies for the Canada Groceries and Essentials Benefit (CGEB)?

You do not need to submit a separate application for the CGEB. The CRA automatically determines whether you qualify when you file your income tax return.

The CGEB is available for individuals and families with low- and modest-income levels. Eligibility and amounts are determined based on your income level. If your income is below the maximum income threshold, you’ll receive the benefit. The exact amount will depend on the level of income reported on your 2025 tax return.

For example, a single individual with no children has a maximum income threshold of $60,012. This means that if a person makes more than that amount, they will not receive the CGEB.

In general, you may be eligible if you are at least 19 years old. You may also qualify if you are younger than 19 but have (or had) a spouse or common-law partner, or if you are (or were) a parent living with your child.

Many newcomers may qualify for the Canada Groceries and Essentials Benefit. In general, eligibility depends on whether you are considered a resident of Canada for income tax purposes and meet the CRA’s requirements for the benefit.

Even if you earned little or no income in 2025, it is still important to file a tax return. The CRA uses your tax return to determine your eligibility for the CGEB, as well as many other federal and provincial benefit programs.

How Much Could You Receive from the CGEB?

For the July 2026 to June 2027 benefit year, the maximum annual Canada Groceries and Essentials Benefit (CGEB) amounts are:

The amount you receive depends on your adjusted family net income. Higher-income households will receive a reduced payment or no payment at all. If you’re registered for an online CRA account, you can check how much you will receive in your account.

Do You Need to Apply for the CGEB?

No. If you are eligible and have filed your 2025 tax return, the CRA will automatically calculate your entitlement and issue any payment you qualify for.

If you are a newcomer who has recently arrived in Canada, you should make sure the CRA has your current address, marital status, and direct deposit information.

Why the New CGEB Matters for Newcomers

Many newcomers assume government benefits are only available after living in Canada for several years. In reality, many federal and provincial benefit programs become available much sooner, provided you meet the eligibility requirements and keep your tax information up to date.

For many households, filing an annual tax return is the most important step. It allows the CRA to assess your eligibility for the Canada Groceries and Essentials Benefit, the Canada Child Benefit, and several provincial income support programs without requiring separate applications.

If you’re unsure whether you qualify for the CGEB or other government benefits, filing your taxes each year is one of the easiest ways to make sure you don’t miss out on payments you may be entitled to.