US EditionFederal government to introduce grocery rebate: Report
The Canada Groceries and Essentials Benefit boosts GST credit by 25% over five years and adds a one-time 50% top-up, aiding 12 million Canadians facing rising food costs.
- Prime Minister Mark Carney announced a 25 per cent GST credit boost and a one-time 50 per cent payment this year from an Ottawa grocery store on Monday, Jan. 26, 2026.
- Statistics Canada reported food inflation rose to 6.2 per cent in December, outpacing overall inflation at 2.4 per cent, with Prime Minister Mark Carney citing pandemic after-effects, U.S. President Donald Trump’s trade war shocks and a federal sales-tax holiday.
- The government estimates over 12 million Canadians will qualify, with up to $402 for a single individual, $527 for a couple, and $805 for a couple with two children, costing $11.7 billion over six years.
- Experts questioned how meaningful the savings will be, while Alexandre Boulerice called the proposal a good start, and Pierre Poilievre accused Prime Minister Mark Carney of driving food inflation, calling the boost a `Band-Aid solution`.
- The government is pairing the boost with unit-price labelling and competition measures, using 2025 tax filings to determine eligibility, with payments commencing this July and no additional form required.
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Who's eligible for Carney's new grocery rebate?
Prime Minister Mark Carney has pledged to put "more money back in Canadians pockets" with a new tax rebate he announced on Monday. What was the Goods and Services Tax (GST) credit is now known as the new Canada Groceries and Essentials Benefit. But what do you get, if you indeed get anything at all?
Carney Announces New Tax Benefit and Measures Aimed at Lowering Grocery Costs
Prime Minister Mark Carney has announced a 25 percent increase to the GST credit and a list of measures that he says will aid lower-income consumers in coping with the steep costs of groceries. The new credit, dubbed the Canada Groceries and Essentials Benefit, will be sent out to approximately 12 million eligible Canadians for the next five years beginning in July. The 25 percent GST credit boost comes with an additional one-time payment this y…
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