It will be a January 2025 GST/HST Credit payment when the new year begins, thus giving eligible Canadian citizens a form of relief during the period.
This is a quarterly, tax-free benefit which has been created to help individuals and families with low incomes, thus reducing their burden in the form of Goods and Services Tax (GST) and Harmonized Sales Tax (HST) paid on goods and services.
Let’s get into the details about this year’s payment, including eligibility criteria, payment amounts, and key dates.
What is the GST/HST Credit?
The GST/HST Credit is a federal program that aims to reduce the financial burden of taxes on low-income individuals and families.
- Quarterly payments: Four times a year.
- Tax-free benefit: Offsets taxes paid during the year.
- Additional provincial benefits: Some provinces have extra credits linked to this program.
The CRA has enhanced this program for 2025, taking into account inflation, which means this benefit will be effective for Canadians as their costs are rising.
Eligibility for GST/HST Credit
| Eligibility Requirement | Details |
|---|---|
| Residency | Must be a Canadian resident for tax purposes. |
| Age | At least 19 years old or meeting specific conditions (married, parent). |
| Income Thresholds | Single individuals earning over $54,704 annually are not eligible. |
| Family Income for Maximum Benefit | Up to $72,244 for singles or couples with four or more children. |
You have to meet certain requirements to get the GST/HST Credit:
- Reside in Canada. For income tax purposes
- Age requirement. Generally you have to be at least 19 years old.
If you are under 19 years old, but are married, or in a common-law relationship or live with your child, then you may also be eligible.
How to apply for the GST/HST Credit?
The good news is that most Canadians do not need to apply. Filing your annual income tax return automatically determines your eligibility. However, new Canadians and certain special cases require additional processing:
- Fill out Form RC151: Eligibility for GST/HST and Canada Carbon Rebate.
- Include birth certificates for children, if applicable.
- Mail the completed form to your local tax centre.
How much payment can you get?
| Category | Maximum Amount (Quarterly) |
|---|---|
| Individual | Up to $129.75 |
| Spouse/Common-Law Partner | Up to $40.25 |
| Each Child | Up to $44.75 |
| First Child (Single Parent) | Up to $129.75 |
The GST/HST credit amount is based on your family size and income. The maximum quarterly payments for 2025 are as follows:
- Individually: $129.75.
- Married or common-law partner: $170.
- Per child: $44.75 (under age 19).
Additional provincial credits can increase your total payment. For example, in British Columbia, the BC Climate Action Tax Credit provides additional benefits:
- For individuals: $126.
- For spouses: $63.
- Per child: $31.50.
2025 GST/HST credit payment dates
The first payment for 2025 will be made on Friday, January 3, 2025. Other due dates are as follows:
- April 4, 2025.
- July 4, 2025.
- October 3, 2025.
Payments will be made by direct deposit or cheque depending on the option chosen.
Significance of GST/HST Credit
The January 2025 GST/HST Credit payment serves to help relieve inflation and other costs for the people of Canada at the right time.
With this tax-free credit, allowing an amount up to $129.75 for a person, the financial burden is well catered to, at least as far as the monetary needs are concerned, on the part of low-income families and individuals.
FAQs
Do I have to report the GST/HST Credit on my taxes?
No, the GST/HST Credit is not taxable and does not need to be included in your income tax return.
What if my income changes?
The CRA recalculates your eligibility each year based on your latest income tax return, so any income changes will be reflected in the next benefit period.
Can new Canadian citizens apply for the GST/HST credit?
Yes, new citizens can apply by filling out Form RC151 and submitting it to their tax centre.