The Canadian government has once again announced a one-time GST credit payment of $250 to be released in June 2025 to provide relief to citizens struggling financially. This announcement is a big relief for millions of families and individuals who are struggling with rising inflation and cost of living.
This article is specifically about this $250 relief amount, including who will get it, when it will be available, how to get it and what is the entire eligibility process. If you live in Canada and are eligible for GST/HST credit through CRA (Canada Revenue Agency), then this article is extremely useful for you.
What is GST Relief Payment?
GST (Goods and services Tax) is a federal tax imposed on consumer goods, as well as services in Canada. Nevertheless, the Government of Canada offers GST/HST credit periodically in order to alleviate its pressure on low-income families and individuals.
This credit is a tax-free payment, which is given in four quarterly installments. But the $250 payment to be given in June 2025 is a special relief, which will be given at one time to reduce the impact of inflation and financially help the low-income group.
What is the purpose of this $250 amount?
Inflation rate has increased rapidly in Canada in the last few years. The prices of rent, food items, gas, transit and utility services are increasing. This rising cost affects most of the people whose income is limited – such as senior citizens, students, low-paid workers and unemployed people.
The purpose of this one-time assistance of $250 is:
- To reduce the burden of inflation to some extent.
- To maintain consumer spending.
- To balance economic inequality a little.
When will you get GST credit of $250?
- According to the Canada Revenue Agency (CRA), this one-time $250 relief payment will be released in mid-June 2025, most likely on June 14, 2025.
- This amount will be transferred directly to the beneficiaries’ bank accounts registered with the CRA. The individuals without the direct setup with their banks may be presented the sum in the form of the cheque.
- Notice: You should not bother applying again to receive this payment especially where you have already ascertained that you are qualified to receive the GST/HST credit.
Which citizens qualify under the GST to receive a relief payment of 250?
The relief amount will be waved on the individuals and families who meet the eligibility criteria which include the following:
Income criteria:
- An individual who is single: Annual income must not exceed above $49,166.
- For families with married/common-law partners: combined income should not exceed above $58,500.
Age and tax status:
- The person needs to be 19 years or older.
- I must reside in Canada.
- Have submitted a 2024 income tax return with the CRA.
Additional benefits for families with children:
If you receive the Canada Child Benefit you will have additional benefits to offer, you will also be given this $250 amount.
How to apply?
You do not need to apply separately for this $250 payment. If you have filed your 2024 tax return with the CRA and you are already eligible for the GST/HST credit or CCB, your eligibility will be determined automatically.
Still if you are not sure, you can check with the steps below:
- Visit the official website of CRA https://www.canada.ca.
- Login to your CRA My Account.
- Go to the “Benefits and credits” section to see if you are eligible for GST credits.
- If you haven’t filed your tax return, do so immediately to remain eligible.
How will you receive the payment?
You can receive this payment in the following ways:
- Direct Deposit: The CRA will transfer $250 directly to your bank account. Your bank account must be registered with the CRA for this.
- Paper check: If you don’t have direct deposit, the amount will be sent to your mailing address via check.
- Tip: Make sure to activate direct deposit by visiting the CRA portal for faster and secure payments.
Will this amount be taxable?
No. This $250 amount is a tax-free payment. This means that you will not have to pay any income tax on this amount nor will it be added to your annual income.
Other related benefits – Can you get more help?
If you are eligible for this GST relief payment, you may also be eligible for the following benefits:
- CWB- Enhancing Canada Workers Benefit
- Canada Child Benefit (CCB)
- Old Age Security (OAS) and Guarantee Income Supplement (GIS) (to aging persons)
- To be in a position not to lose something, log in and update your information on a regular basis as per CRA My Account.
Is $250 enough?
This is a natural question. In this era of inflation, $250 is not a huge amount, but it can provide a little relief – especially for those with limited sources of income. The government is providing this amount as a “top-up GST credit” so that people who are already receiving GST/HST credits can get a little extra support.
How to contact CRA?
You may contact CRA by giving a call to them or asking them to call you back, making an online chat or use one of the following ways:
- CRA toll free call: 1-800-387-1193
- CRA web site: www.canada.ca
- CRA My Account: Check status and update details online
Conclusion:
This $250 GST relief payment is a positive initiative for Canadians struggling with inflation. It not only reflects the government’s commitment but also shows that Canada stands with the economically weaker sections. Provided you qualify, you will get this money in June 2025. You should also be encouraged to file in your taxes early and ensure that your banking details are current with the CRA.
FAQs
Q1. What is the $250 GST Relief Payment?
A. The $250 GST Relief Payment is a one-time, tax-free financial support from the Canadian government to help eligible low- and middle-income individuals and families cope with rising living costs and inflation.
Q2. When will the $250 GST Payment be issued?
A. The payment is scheduled to be deposited in June 2025, most likely around June 14, 2025, directly into recipients’ registered bank accounts.
Q3. Is this $250 payment part of the regular GST/HST credit?
A. No. This is a top-up or additional one-time payment separate from the regular quarterly GST/HST credit payments, issued as an inflation relief measure.
Q4. Do I need to apply separately for this $250 GST payment?
A. No, there is no need to apply separately. If you have filed your 2024 tax return and meet the eligibility criteria, you will automatically receive the payment.
Q5. What if I haven’t filed my taxes yet?
A. You must file your 2024 tax return to be considered for the payment. File as soon as possible to avoid missing the payment.
