Key Takeaway Box:
- The grocery rebate payments are a one-time financial support for low- and moderate-income Canadians who are eligible for the GST/HST credit in January 2024.
- The payments will be issued on July 5, 2024, along with the quarterly GST/HST credit payment, and will be equivalent to double the amount of the GST/HST credit received in January 2024.
- The maximum payment amount will vary depending on the family size and income, ranging from $234 for single individuals to $628 for families with four children.
- To receive the payments, you need to file your 2022 tax return and meet the income and residency criteria for the GST/HST credit.
- The payments are part of the federal government’s efforts to help Canadians cope with the rising cost of living and inflation.
If you are a low- or moderate-income Canadian who is struggling with the high cost of groceries, you might be eligible for a one-time grocery rebate payment from the federal government in January 2024. This payment is designed to help you afford the essentials and ease the pressure on your budget.
In this article, we will explain what the grocery rebate payments are, how they work, who can get them, and how to get them. We will also answer some frequently asked questions about the payments and provide some tips on how to manage your money wisely.
By the end of this article, you will have all the information you need to get the grocery rebate payments in Canada in January 2024 and make the most of them. Let’s dive in!
What are the grocery rebate payments?
The grocery rebate payments are a one-time financial support for low- and moderate-income Canadians who are eligible for the GST/HST credit in January 2024. The GST/HST credit is a tax-free quarterly payment that helps individuals and families with low and modest incomes offset all or part of the GST or HST that they pay.
The grocery rebate payments will be issued on July 5, 2024, along with the quarterly GST/HST credit payment, and will be equivalent to double the amount of the GST/HST credit received in January 2024. For example, if you received $100 as your GST/HST credit in January 2024, you will receive an additional $200 as your grocery rebate payment in July 2024.
The grocery rebate payments are part of the federal government’s Budget 2023, which introduced several measures to help Canadians cope with the rising cost of living and inflation. The government estimates that about 11 million Canadians will benefit from the grocery rebate payments, which will cost about $2.6 billion.
How much will you receive as your grocery rebate payment?
The amount of your grocery rebate payment will depend on your family size and income, as well as the GST/HST rate in your province or territory. The payment will be calculated based on your 2022 tax return and your family situation in January 2024.
The maximum payment amount will vary depending on the number of children in your family, ranging from $234 for single individuals to $628 for families with four children. The table below shows the maximum payment amounts for different family sizes and GST/HST rates:
| Family size | 5% GST rate | 13% HST rate | 15% HST rate |
| Single | $234 | $234 | $234 |
| Couple | $306 | $306 | $306 |
| 1 child | $387 | $387 | $387 |
| 2 children | $467 | $467 | $467 |
| 3 children | $548 | $548 | $548 |
| 4 children | $628 | $628 | $628 |
However, not everyone will receive the maximum payment amount, as the payment will be reduced by 5% of the amount by which your adjusted family net income (AFNI) exceeds the income threshold for your family size. The income threshold is the maximum income you can have and still receive the full GST/HST credit. The table below shows the income thresholds for different family sizes for the 2022 tax year:
| Family size | Income threshold |
| Single | $49,166 |
| Couple | $57,166 |
| 1 child | $64,946 |
| 2 children | $72,726 |
| 3 children | $80,506 |
| 4 children | $88,286 |
For example, if you are a single individual with an AFNI of $50,000 and a 5% GST rate, your grocery rebate payment will be:
$234 – 5% x ($50,000 – $49,166) = $233.83
You can use the GST/HST credit calculator to estimate your grocery rebate payment amount based on your income and family situation.
Who can get the grocery rebate payments?
You can get the grocery rebate payments if you meet the following criteria:
- You are eligible for the GST/HST credit in January 2024. This means that you are a Canadian resident for tax purposes, you are 19 years of age or older, or you have a spouse or common-law partner, or you are a parent and live with your child.
- You have filed your 2022 tax return by the deadline, which is April 30, 2024, or June 15, 2024, if you or your spouse or common-law partner are self-employed.
- You have a valid social insurance number (SIN) or individual tax number (ITN).
- You have provided your direct deposit information to the Canada Revenue Agency (CRA) or have a valid mailing address.
If you meet these criteria, you will automatically receive the grocery rebate payments in July 2024. You do not need to apply for them separately.
How to get the grocery rebate payments?
To get the grocery rebate payments, you need to follow these steps:
- File your 2022 tax return by the deadline, which is April 30, 2024, or June 15, 2024, if you or your spouse or common-law partner are self-employed. Make sure you report your income and deductions accurately and claim any credits and benefits you are entitled to.
- Provide your direct deposit information to the CRA or update your mailing address if it has changed. You can do this online through My Account, by phone at 1-800-959-8281, or by mail using the Direct Deposit Enrolment Form.
- Wait for the grocery rebate payments to be issued on July 5, 2024. You will receive the payments by direct deposit or by cheque, depending on the method you have chosen. You will also receive a notice of determination that explains how your payments were calculated and when you can expect to receive them.
- Use the grocery rebate payments wisely and responsibly. You can spend them on groceries or other essentials, save them for future needs, or pay off your debts. The choice is yours, but remember to budget your money and plan ahead.
Frequently asked questions about the grocery rebate payments
Here are some common questions and answers about the grocery rebate payments that you might find helpful:
Q: Can I get the grocery rebate payments if I did not receive the GST/HST credit in January 2024?
A: No, you can only get the grocery rebate payments if you were eligible for the GST/HST credit in January 2024. The grocery rebate payments are based on the amount of the GST/HST credit you received in January 2024. If you did not receive the GST/HST credit in January 2024, you will not receive the grocery rebate payments in July 2024.
Q: Can I get the grocery rebate payments if I receive other benefits or credits from the federal government?
A: Yes, you can get the grocery rebate payments if you receive other benefits or credits from the federal government, such as the Canada child benefit, the Canada workers benefit, the old age security pension, or the guaranteed income supplement. However, the grocery rebate payments will not affect the amount or eligibility of these other benefits or credits.
Q: Will the grocery rebate payments affect my taxes or benefits for the next year?
A: No, the grocery rebate payments will not affect your taxes or benefits for the next year. The grocery rebate payments are tax-free and non-taxable, which means that you do not have to report them as income on your tax return or pay taxes on them. The grocery rebate payments will also not reduce or cancel any other benefits or credits you may receive from the federal, provincial, or municipal governments.
Q: What if I do not receive the grocery rebate payments on the expected date?
A: If you do not receive the grocery rebate payments on the expected date, which is July 5, 2024, please wait at least 10 business days before you contact the CRA. If 10 business days have passed, you can go to the contact page of the CRA, select Telephone numbers for personal taxes, benefits and trusts, and go to the Get help with your CRA benefits and credits section for help. You can also check the status of your payments online through My Account or by using the [MyBenefits CRA mobile app].
Q: What if I receive the wrong amount of grocery rebate payment?
A: If you receive the wrong amount of grocery rebate payment, you should contact the CRA as soon as possible to report the error and request a correction. You can do this online through [My Account], by phone at 1-800-959-8281, or by mail using the [GST/HST credit enquiry form].
You may receive the wrong amount of grocery rebate payment if:
1. Your income or family situation changed in 2022 and you did not report it to the CRA
2. You made a mistake or omission on your 2022 tax return and you did not correct it
3. The CRA made a mistake or omission in processing your 2022 tax return or your GST/HST credit application
You received a duplicate or missing payment due to a technical or administrative error
If you receive more than you should, you will have to repay the excess amount to the CRA. If you receive less than you should, you will receive the difference in a subsequent payment.
Tips on how to use the grocery rebate payments wisely
The grocery rebate payments are one-time financial support that can help you afford the essentials and ease the pressure on your budget. However, they are not a long-term solution to your financial problems. Therefore, you should use them wisely and responsibly, and plan for your future needs.
Here are some tips on how to use the grocery rebate payments wisely:
- Spend them on groceries or other essentials that you need and value. You can use the [Canada Food Guide] to plan your healthy and balanced meals and snacks, and the [Consumer Price Index] to compare the prices of different goods and services in your area.
- Save them for future needs or emergencies. You can use the [Financial Goal Calculator] to set your savings goals and track your progress, and the [Emergency Fund Calculator] to determine how much money you need to have in case of unexpected expenses or income loss.
- Pay off your debts or reduce your interest costs. You can use the [Debt Reduction Calculator] to create a debt repayment plan and see how much you can save in interest, and the [Credit Card Payment Calculator] to find out how long it will take you to pay off your credit card balance and how much interest you will pay.
- Invest them for your long-term goals or retirement. You can use the [Investment Calculator] to estimate how much your investment will grow over time and the [Retirement Income Calculator] to estimate how much income you will have in retirement and how long it will last.
Conclusion
The grocery rebate payments are a one-time financial support for low- and moderate-income Canadians who are eligible for the GST/HST credit in January 2024. The payments will be issued on July 5, 2024, and will be equivalent to double the amount of the GST/HST credit received in January 2024.
The amount of the payments will vary depending on the family size and income, ranging from $234 for single individuals to $628 for families with four children. To receive the payments, you need to file your 2022 tax return and meet the income and residency criteria for the GST/HST credit.
The payments are part of the federal government’s efforts to help Canadians cope with the rising cost of living and inflation. The payments are tax-free and non-taxable, and will not affect the amount or eligibility of any other benefits or credits you may receive.
If you are interested in getting the grocery rebate payments, we encourage you to file your 2022 tax return by the deadline and provide your direct deposit information to the CRA. You can also visit the [official website] of the CRA for more information and resources on the payments.
We hope this article has been helpful and informative for you. If you are looking for more tips and resources on how to manage your money and your lifestyle, check out our blog at HustleHub, where we share the latest news and trends for hustlers like you. Thanks for reading and happy hustling! 🙌
Source: (1) New Grocery Rebate – Canada.ca. https://www.canada.ca/en/revenue-agency/services/child-family-benefits/goods-services-tax-harmonized-sales-tax-gst-hst-credit/grocery-rebate.html. (2) New Grocery Rebate – Canada.ca. https://www.canada.ca/en/revenue-agency/services/child-family-benefits/goods-services-tax-harmonized-sales-tax-gst-hst-credit/grocery-rebate.html.