The New HST/GST payment of up to $650 was issued today to eligible Canadian taxpayers from the Canada Revenue Agency (CRA).
If you qualify, you could receive up to $496 if you’re single, $650 if you’re a couple, and families with kids might get an extra $171, all based on your yearly income.
If you’re living in Canada for tax purposes, including international students and work permit holders, you’ll automatically get these payments based on your taxes from last year. However, newcomers to Canada need to apply for the GST payment, depending on whether they have children or not.
Four times a year, people with low or modest incomes receive the HST/GST payment. This money from the government helps with the goods and services tax and harmonized sales tax (GST/HST) they pay.
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What Is the GST/HST Credit?
The GST/HST credit is a tax-free quarterly payment that helps individuals and families with low or moderate incomes to recover some of the goods and services tax or harmonized sales tax that they pay.
It’s part of the Canada Revenue Agency’s (CRA) efforts to alleviate the financial burden on eligible taxpayers.
One big deal about GST is the “input tax credit” system. This lets businesses reclaim some of the GST they paid when buying stuff or covering expenses for their business. It’s like a discount that helps businesses lower the total tax they owe.
This is good for businesses because they can offset the GST they paid with the GST they collected from selling things. So, they end up paying less tax, which is a win for them.
Even regular folks in Canada can get a bit of GST refunded. When you buy something from a business, you can get some of the GST refunded every few months. It’s a way to ensure that the tax system is fair for everyone.
Are You Eligible For HST/GST Payment?
Determining your eligibility is the first step to claiming the HST/GST Payment. Here’s a quick checklist:
- Residency: You must be a Canadian resident for tax purposes at the beginning of the month before the CRA issues a payment.
- Age: Be at least 19 years old before the month of the CRA’s quarterly payment.
- Family Status: If under 19, you’re eligible if you have (or had) a spouse or common-law partner, or if you’re a parent living (or lived) with your child.
How to Apply for the HST/GST Payment
The good news? Most Canadian taxpayers don’t need to lift a finger to receive this credit, as it’s automatically applied for when you file your tax return. However, newcomers to Canada will need to take a few extra steps:
If you don’t have Children:
Submit Form Form RC151, GST/HST Credit and Canada Carbon Rebate Application for Individuals Who Become Residents of Canada, for the year you become a tax-paying resident.
If you have Children:
Fill out Form RC66, Canada Child Benefits Application to apply for all child and family benefits.
To document your citizenship and residency status, along with your Statement of Income, it is necessary to fill out Form RC66SCH, Status in Canada and Income Information for the Canada Child Benefits Application.
If you have children under 19 years of age
If you have children under 19, you can get GST payment from the government. Here’s what you need to know:
- Your child has to be under 19.
- Your child must rely on you or your partner for support.
- They’ve never been married or lived with a partner.
- They don’t have kids of their own.
- They live with you.
If you share custody, both parents might get some money, but it’ll be split in half.
Make sure you and your partner have Social Insurance Numbers (SIN) to get the HST/GST Payment. You can get a SIN by visiting a Service Canada office.
How Much HST/GST Payment You Can Get?
The amount you receive from the GST/HST credit varies based on several factors, including your income, marital status, and whether you have children.
- Single individuals might receive up to $496.
- Married or common-law partners are eligible for up to $650.
- Families could get an additional $171 for every child under 19.
These payments are calculated based on your previous year’s income tax return, specifically line 23600, which reflects your adjusted family net income.
How Are GST Payments Calculated?
- For Singles: The calculation is based on your income alone.
- For Those With a Partner: Incomes are combined to determine your family’s net income, including children under 19 eligible for the Canada child benefit and GST/HST credit.
Use the CRA’s official Child and Family Benefits Calculator to estimate your credit.
GST Payments 2024
The Canada Revenue Agency (CRA) will make quarterly GST/HST payments in 2024 on these dates:
- April 5, 2024
- July 5, 2024
- October 4, 2024
Payments are issued on these days unless they fall on a weekend or federal holiday, in which case they’re sent the last business day before.
Haven’t Received Your Payment?
If 10 working days have passed since the scheduled payment date and you haven’t received anything, it’s time to contact the CRA at 1-800-387-1193.
Additional Federal Payments in April 2024
Apart from the GST/HST credit, keep an eye out for these payments:
- Canada Carbon Rebate (CCR): Scheduled for April 15, the CCR is part of the government’s climate action initiative.
- Canada Child Benefit (CCB): Set for April 19, this benefit supports Canadian families by helping to cover the cost of raising children.
Frequently Asked Questions
Can I receive the GST/HST credit if I didn’t file a tax return?
In most cases, you need to file a tax return to receive the credit. Newcomers to Canada are the exception and should follow the specific steps outlined for their situation.
When should I contact the CRA if I don’t receive my payment?
If it’s been more than 10 working days past the scheduled payment date, reach out to the CRA for assistance.
How can I calculate my expected HST/GST Payment?
Use the CRA’s Child and Family Benefits Calculator for an estimate, available on their official website.
Can the GST/HST credit affect my other government benefits?
No, the GST/HST credit is tax-free and won’t impact your eligibility for other federal benefits.
