Rising grocery prices have hit Canadian families hard, but relief is on the way. The Canada Revenue Agency (CRA) has confirmed a one-time $628 Grocery Rebate for August 2025, designed to ease the financial strain on low- and middle-income households. This tax-free support payment is meant to help Canadians keep up with the increasing cost of essential items such as milk, bread, fruits, vegetables, and other staples.
This article explains everything you need to know about the Grocery Rebate—including who qualifies, how much you’ll receive, and when you can expect the payment.
What Is the Grocery Rebate?
The $628 Grocery Rebate is a one-time, non-taxable payment issued by the Canadian government through the CRA. It targets those impacted by inflation and high grocery costs, offering short-term financial relief.
Unlike monthly supports such as the Canada Child Benefit, this rebate does not require a separate application. If you’re eligible for the GST/HST credit, you’re most likely also eligible for the Grocery Rebate. It’s an automatic payment intended to support Canadians as food prices remain elevated across the country.
Who Is Eligible for the August 2025 Grocery Rebate?
The CRA will determine eligibility based on your 2023 income tax return. If you haven’t filed your taxes yet, it’s essential to do so immediately to avoid missing out. Here are the main eligibility criteria:
- You must have filed your 2023 tax return.
- You must be a Canadian resident for tax purposes in August 2025.
- You must be at least 19 years old by July 2025.
- Your adjusted family net income should be below approximately $45,000 for individuals or $65,000 for families.
- You must qualify for the GST/HST credit.
Even newcomers to Canada can receive the payment if they meet these conditions and submit their tax returns on time.
How Much Will You Get?
The rebate amount is calculated based on household type and family size. Below is a breakdown of the estimated payments:
| Household Type | Estimated Payment (CAD) |
|---|---|
| Single person | $234 |
| Couple with no children | $306 |
| Family with 1 child | $387 |
| Family with 2 children | $467 |
| Family with 3 or more children | Up to $628 |
These payments are automatically calculated by the CRA, based on your income and number of dependents listed on your tax return.
When Will the Grocery Rebate Be Paid?
The CRA has scheduled the Grocery Rebate to be issued on August 5, 2025, alongside the regular GST/HST credit payment. Here’s how you’ll receive it:
- Direct Deposit: If you’ve registered for direct deposit through CRA My Account, the payment will go straight into your bank account on August 5.
- Paper Cheque: If not enrolled in direct deposit, expect a cheque by mail within 3–5 business days, depending on your location.
To prevent delays, ensure your banking details and mailing address are updated in your CRA My Account. If the payment doesn’t arrive by mid-August, wait at least 10 business days before contacting the CRA at 1-888-863-8662.
Why the Rebate Is Important for Canadian Families
With grocery costs surging and inflation stretching household budgets, this $628 rebate offers timely support. For example, a single parent with two children could use the $467 rebate to stock up on fresh food, without sacrificing other essentials.
Seniors on fixed incomes, low-income workers, and young families are among the groups most likely to benefit. Though not a permanent fix, the rebate can ease short-term financial pressure, especially for those living paycheck to paycheck.
According to CRA estimates, over 12 million Canadians are expected to receive this one-time payment, reinforcing its national impact.
Beware of Scams: Stay Safe and Informed
Whenever the CRA issues payments, scammers often follow. Be wary of text messages, emails, or phone calls claiming to offer “bonus rebates” or asking for your personal or banking information.
The CRA does not request sensitive details by email or text. If you receive such a message, do not click any links. Visit the official CRA website or call them directly to verify your account status.
Regularly checking and updating your CRA My Account is the safest way to stay informed and avoid falling for fraud.
Additional Ways to Save and Get Support
While the Grocery Rebate is helpful, it’s just one of several support programs available for Canadians. Consider exploring the following:
- Canada Workers Benefit (CWB) – For low-income workers and families.
- Climate Action Incentive Payment (CAIP) – Provides carbon tax rebates in eligible provinces.
- Ontario Trillium Benefit (OTB) – Helps with rent and energy costs (Ontario residents).
- GST/HST Credit – Issued quarterly to help cover sales tax expenses.
In addition to government support, you can stretch your grocery dollars further with smart strategies like:
- Meal planning
- Buying in bulk
- Using cashback or coupon apps
- Shopping store-brand items
Staying informed and filing taxes on time is the best way to ensure you receive every dollar you’re entitled to.
FAQs
Q1. Do I need to apply for the $628 Grocery Rebate?
A. No, it is automatic if you’re eligible based on your 2023 tax return and GST/HST credit status.
Q2. When will I receive the rebate?
A. The CRA will issue payments on August 5, 2025 via direct deposit or cheque.
Q3. How do I know if I’m eligible?
A. You must meet income and age requirements, be a Canadian resident, and have filed your 2023 taxes.
Q4. What if I didn’t receive my payment?
A. First, check your CRA My Account. Then, wait 10 business days before contacting CRA at 1-888-863-8662.
Q5. Will this affect my other benefits?
A. No. The Grocery Rebate is tax-free and will not reduce other benefits like the GST/HST credit or Canada Child Benefit.