The Canadian government is set to distribute the first GST/HST credit payments of the new year this Friday. These payments, which are tax-free and issued quarterly, aim to assist individuals and families with low and modest incomes in offsetting the cost of GST or HST on various products and services. This rollout marks the third payment of the base year 2023.
Additionally, Canadians will benefit from a two-month “tax holiday” during which GST/HST will not be levied on dozens of items, as announced by the federal government. The GST/HST credit varies depending on marital status, adjusted family net income, and the number of children under 19 registered for the Canada Child Benefit.
Specifically, a single Canadian without children could receive up to $519 in total for the year spanning July 2024 to June 2025. Married or common-law couples without children might receive up to $680 annually. Parents can claim up to $179 per child under 19 for the year in GST/HST credit.
Eligibility for these payments requires individuals to be at least 19 years old and have been residing in Canada as of December and early January. Those under 19 may also qualify if they have a spouse, common-law partner, or are parents living with their child. The family net income for eligibility should be no more than $70,000 for the 2023 base year.
The payments will be disbursed via direct deposit or cheque to those who have filed their 2023 tax returns, even if no income was reported. The next quarterly GST/HST credit will be distributed on April 4, 2025.
