Managing finances, particularly during tax season, can often feel overwhelming. Fortunately, the Canada Revenue Agency (CRA) offers the Goods and Services Tax/Harmonized Sales Tax (GST/HST) Credit, a valuable, tax-free quarterly payment designed to assist individuals and families with low to moderate incomes.
In 2025, eligible couples could receive up to $680 annually from the CRA, providing a much-needed boost to household budgets. Let’s dive into how this credit works, the eligibility requirements, and how you can take advantage of it.
What Is the GST/HST Credit?
The GST/HST Credit is a financial aid program aimed at easing the financial strain on Canadians with modest incomes.
This credit helps to offset the Goods and Services Tax (GST) or Harmonized Sales Tax (HST) that individuals and families pay on goods and services throughout the year.
The credit is issued quarterly, tax-free, based on your family’s net income and the number of children under your care.
Eligibility for GST/HST Credit
You may be eligible for the GST/HST Credit if:
- You are 19 years or older (or under 19, but have a spouse, common-law partner, or child).
- You are a Canadian resident for tax purposes.
- You meet the income requirements (low or modest income).
- Even if you have no income, filing your annual tax return is necessary for consideration.
Payment Details for 2025
The GST/HST Credit offers varying amounts depending on the individual’s or couple’s situation. For 2025, the maximum payment amounts based on the 2023 tax year (which will determine payments from July 2024 to June 2025) are as follows:
| Category | Maximum Annual Credit |
|---|---|
| Single individual | $519 |
| Married/common-law couples | $680 |
| Children (under 19 years) | $179 per child |
Example:
A married couple with two children under the age of 19 could receive:
- Base amount: $680
- Children: $179 × 2 = $358
- Total annual credit: $1,038, divided into four quarterly payments.
How to Apply for the GST/HST Credit
There is no separate application process for the GST/HST Credit. The CRA automatically assesses your eligibility when you file your annual tax return. To ensure that you are considered for the credit:
- File your tax return annually, even if you have no income.
- Update your marital status and dependent information with the CRA.
- Enroll in direct deposit for quicker payments.
Payment Schedule
The GST/HST Credit is issued four times per year on the following dates in 2025:
| Payment Date |
|---|
| January 3, 2025 |
| April 4, 2025 |
| July 4, 2025 |
| October 3, 2025 |
If a payment date falls on a holiday or weekend, the payment will be made on the nearest business day.
Factors That Impact Your GST/HST Credit
Several factors can influence the amount of GST/HST Credit you receive:
- Adjusted family net income – The higher your income, the lower the credit amount.
- Marital status – Changes in marital status can affect the total credit.
- Dependents under 19 – Each child increases the total credit you’re eligible for.
- Residency status – Moving in or out of Canada will impact eligibility.
Provincial and Territorial Programs
In addition to the GST/HST Credit, several provinces and territories offer additional credits, which can be combined with the federal credit:
- Ontario Sales Tax Credit
- BC Climate Action Tax Credit
- Nova Scotia Affordable Living Tax Credit
These provincial programs can further reduce your financial burden, depending on where you live.
The GST/HST Credit is a helpful tool for Canadians with modest incomes, offering a way to reduce the impact of sales taxes on household finances. By filing your annual tax return and keeping your information up to date, you can automatically access quarterly payments to support your budget.
With the potential to receive up to $680 annually (or more with children), this credit can make a significant difference in managing day-to-day expenses. Be sure to check your eligibility and take full advantage of the benefits available to you.
FAQs
How do I know if I’m eligible for the GST/HST Credit?
You can check your eligibility by filing your annual tax return and ensuring that your income and family details are up-to-date with the CRA. Eligibility depends on your age, residency, and income level.
Can I apply for the GST/HST Credit separately from my tax return?
No, the credit is automatically calculated when you file your tax return. You do not need to apply separately.
How often do I receive the GST/HST Credit?
The credit is issued quarterly: January, April, July, and October.
Does the GST/HST Credit depend on where I live in Canada?
Yes, in addition to the federal GST/HST Credit, some provinces and territories offer additional credits that can be combined with the federal credit.