Canada Boosts GST/HST Credit for 2026: What to Expect

Canadians receiving federal benefit payments will see an increase in the Goods and Services Tax/Harmonized Sales Tax (GST/HST) credit in 2026. The Canada Revenue Agency (CRA) has announced that eligible individuals will benefit from slightly larger payments, aimed at easing the financial burden associated with everyday expenses.

Details of the Credit Increase

The GST/HST credit is designed to support low- and modest-income households by refunding a portion of the sales tax they pay throughout the year. The CRA confirms that the credit will be adjusted by 2% for the benefit year of 2026–2027. While this increase is lower than last year’s adjustment of 2.7%, it reflects an effort to help Canadians cope with rising living costs.

The new maximum amounts for the GST/HST credit will be as follows:
– $356 per eligible adult (up from $349 in 2025)
– $187 per child under 19 (up from $184)
– An additional $187 for single individuals qualifying for the supplement (up from $184)

For families, this means that a household of four could receive up to $1,086 annually, disbursed in quarterly payments of approximately $271.50. Single individuals who qualify for the supplement will see their maximum annual amount rise to $543 in 2026.

Eligibility and Income Considerations

To determine eligibility for the GST/HST credit, the CRA will assess net family income from the 2025 tax return and family status as of that date. Notably, income thresholds will increase, allowing those with modest raises in 2025 to maintain their eligibility. Starting in July 2026, payments will begin to phase out for families earning over $46,432, reducing the credit by 5% for each dollar earned above this threshold.

For example, a family of four will lose the GST/HST credit entirely once their household income reaches $68,152. Single individuals qualifying for the supplement will see a phase-in threshold set at $11,564. If their income falls between $20,914 and $46,432, they will receive the full annual credit of $543.

Payments are automatic, meaning eligible recipients do not need to apply each year. The scheduled payment dates for 2026 are:
– January 5
– April 2
– July 3
– October 5

These payments will typically be issued on the 5th of each month at the start of the quarter. If the date falls on a weekend or holiday, the CRA will process payments on the last business day prior.

The increase in the GST/HST credit, while modest, is intended to provide additional support to Canadians facing financial challenges. To ensure the maximum benefit is received, it is crucial for individuals to file their 2025 tax returns on time, regardless of their income level or employment status.