CRA Confirms $628 Payment for Families in August, Check Eligibility Rules and Payments Details

Across Canada, families continue to feel the squeeze of soaring grocery prices in 2025. For low- and middle-income households, food has become one of the largest and most stressful expenses. To provide immediate relief, the federal government has announced a \$628 Grocery Rebate set to be distributed in August 2025.

This one-time, tax-free payment will be delivered through the GST/HST credit system—ensuring that those already receiving targeted federal support get the rebate automatically, without filing additional applications.

But how much will you actually receive? Who qualifies? And how does this rebate compare to other government benefits like the Carbon Rebate or the regular GST/HST credit? Here’s a full breakdown of everything Canadians need to know before the August rollout.

What is the \$628 Grocery Rebate?

The Grocery Rebate is a temporary relief program created to offset the impact of rising food costs across Canada. Unlike ongoing benefits, this rebate is a one-time payment designed for families and individuals with lower incomes.

The maximum payment amount—\$628—is targeted at larger households, but the actual sum each recipient gets depends on family size and 2023 net income.

Maximum Grocery Rebate Payments for August 2025:

Household Type	Maximum Rebate
Single individual	\$234
Couple (no children)	\$306
Family with 2 children	\$387
Family with 3 children	\$467
Family with 4 children	\$628

These amounts are determined automatically by the Canada Revenue Agency (CRA) based on information from your 2023 tax return.

Eligibility Criteria for the August 2025 Grocery Rebate

To qualify for the payment, Canadians must meet a set of conditions. The goal is to ensure that low- and modest-income households receive the most support.

Key Requirements:

• Residency: Must be a Canadian resident.
• Age: At least 19 years old. Those under 19 may still qualify if they are parents or married/common-law.
• Tax Filing: Must have filed a 2023 tax return by April 30, 2024 (even if income was zero).
• GST/HST Credit: Must have been eligible for the GST/HST credit in 2023.
• Income Limits:
• Singles: under \$45,000 annual net income.
• Families: under \$60,000 annual net income.

Who Can Benefit?

• Seniors – Many retirees already receiving GST/HST credits will qualify.
• Low-Income Families – Particularly households with children.
• Newcomers to Canada – If they filed a 2023 return and meet income thresholds.
• Canadians with Disabilities – If they qualify for GST/HST credits, they will also receive the rebate.

Payment Date for the \$628 Grocery Rebate

The Canada Revenue Agency (CRA) has confirmed that payments will be issued on:

📅 August 19, 2025

• Direct deposit recipients: Payments should arrive on or near August 19.
• Cheque recipients: Delivery may take up to one additional week.
• Tax returns still in process: Payments may be delayed until filings are updated.

This timeline aligns with the quarterly GST/HST credit cycle, making it easier for CRA to administer.

How to Claim the Grocery Rebate

One of the most important features of the rebate is its automatic eligibility—there’s no separate application process.

Steps to Ensure You Get Paid:

1. File your 2023 tax return (deadline: April 30, 2024).
2. Update your direct deposit details through CRA’s My Account portal.
3. Watch for a CRA notice in June 2025 confirming eligibility.
4. Contact CRA at 1-800-959-8281 if you believe you’re eligible but don’t receive notification.

Those who did not file taxes will not receive the rebate, even if they would otherwise qualify.

Benefits of the \$628 Grocery Rebate

The rebate is a welcome relief measure for households struggling with food inflation.

Key Advantages:

• Tax-free – You don’t need to declare it as income.
• Automatic payment – No forms or separate applications required.
• Targeted support – Designed for lower- and middle-income Canadians.
• Larger families benefit more – Amount scales with household size.

Limitations of the Program

While helpful, the rebate also has important limitations:

• One-time payment – It does not provide recurring monthly support.
• Not for higher-income households – Those above income limits won’t qualify.
• Timing issues – Late tax filers or those waiting on assessments may experience delays.
• Limited relief – With grocery inflation rising by as much as 8–10% annually, some argue that \$628 is not enough for lasting impact.

How the Grocery Rebate Compares to Other Programs

The Grocery Rebate is part of Canada’s broader network of financial assistance. Here’s how it stacks up against other benefits:

GST/HST Credit

• Paid quarterly.
• Worth about \$496 annually for singles and more for families.
• Grocery rebate is larger but only a one-time payment.

Canada Carbon Rebate

• Aimed at offsetting fuel and energy costs, not groceries.
• Payments vary by province and household size, often reaching \$1,000 annually.
• Both benefits can be received by eligible households.

Provincial Supports

Some provinces have top-ups or separate benefits for low-income families. For example:

• British Columbia: BC Family Benefit.
• Quebec: Supplements through social assistance.
• Ontario: Targeted credits for housing and energy.

The Grocery Rebate, however, remains federal and uniform nationwide.

Why the Government Introduced This Rebate

The rebate reflects Ottawa’s recognition that grocery inflation has hit Canadians hard, particularly after years of rising costs for housing, fuel, and healthcare.

Government economists argue that without direct, targeted payments, many families would face food insecurity. By linking the rebate to the GST/HST credit system, the program is efficient—reaching those most in need without creating a new bureaucracy.

How Canadians Can Prepare

To ensure you don’t miss out:

• Confirm tax filings are complete.
• Set up direct deposit to avoid delays with cheques.
• Review CRA notifications sent in June 2025.
• Budget smartly—since it’s a one-time payment, consider applying it toward essential groceries, bills, or debt.

The Bigger Picture

While the \$628 Grocery Rebate will bring relief, it also highlights ongoing debates about the cost of living crisis in Canada. Many advocates argue that recurring grocery or food allowances may be necessary if inflation continues.

For now, however, Canadians can expect meaningful one-time support in August 2025, designed to cushion the blow of rising food costs at a time when every dollar matters.

5 FAQs

Q1: Do I need to apply for the Grocery Rebate?
No. If you qualified for the GST/HST credit in 2023 and filed your 2023 tax return, the payment will be automatic.

Q2: Who gets the full \$628 amount?
Families with four children and income within the eligibility limits will receive the maximum amount. Smaller households will get reduced payments.

Q3: Can seniors receive the Grocery Rebate?
Yes. Seniors who meet income and tax filing requirements will automatically receive it.

Q4: When will I receive the payment?
The CRA will issue payments on August 19, 2025. Direct deposits arrive that day; cheques may take longer.

Q5: What if I didn’t file taxes?
You must file a 2023 tax return to be eligible. Without filing, you will not receive the payment.