Key Highlights
- The federal government has announced a one-time grocery rebate for low and middle-income Canadians, aiming to help them cope with the rising cost of food.
- The grocery rebate will be worth up to $467 per household and will be paid out in the fall of 2023.
As per the federal budget 2023 announcement, the grocery rebate benefit will be implemented through the existing GST/HST rebate system once the corresponding bill passes in the House of Commons. This measure essentially enhances and rebrands the recent GST rebate boost.
Eligibility and Payment Details
While the specific dates for the GR payments have not been disclosed, it is worth noting that the upcoming GST/HST credit payment dates for 2023 are scheduled for April 5, July 5, and October 5. Eligible Canadians will automatically receive the grocery rebate as part of their GST/HST credit without needing to take any additional steps apart from filing their tax returns.
The federal budget also includes many other measures to help Canadians with the cost of living, such as an increase to the Canada Child Benefit and a new tax credit for low-income workers.
Who is Eligible for a Grocery Rebate in Canada?
The GR in Canada is intended for approximately 11 million low- to modest-income individuals and families.
- Couples with two children can receive up to $467
- Single individuals without children can receive up to $234
- Seniors can receive an average of $225
While the budget does not specify income-based eligibility brackets for the GR, it provides hypothetical examples where individuals earning $32,000 and couples earning $38,000 per annum receive the maximum rebate.
Considering that the Grocery Rebate will be integrated into the GST/HST credit, the eligibility criteria for that credit can offer insights into who may qualify for the maximum rebate amounts.
The GST benefit gradually decreases as income rises and is phased out entirely for single individuals without children earning $50,000 or more, couples without children earning $55,000 or more, and couples with four children earning $65,000 or more.
The government needs to do more to address the underlying causes of rising food prices, such as the concentration of power in the food industry and the lack of competition. Only then will Canadians be able to afford to put food on the table.
FAQs
- What is the grocery rebate?
The grocery rebate is a one-time payment of up to $467 for low- and middle-income Canadians. It is designed to help Canadians with the rising cost of food. The rebate will be paid out in the fall of 2023.
- Who is eligible for the grocery rebate?
The grocery rebate is intended for approximately 11 million low- to modest-income individuals and families. Couples with two children can receive up to $467, single individuals without children can receive up to $234, and seniors can receive an average of $225.
- When will eligible Canadians receive?
While specific payment dates are not yet disclosed, the upcoming GST/HST credit payment dates for 2023 are April 5, July 5, and October 5.
