As the new year approaches, many Canadians are anticipating the upcoming GST/HST credit payments scheduled for January 3, 2025.
These tax-free quarterly payments, administered by the Canada Revenue Agency (CRA), aim to assist individuals and families with low to modest incomes by offsetting the Goods and Services Tax (GST) or Harmonized Sales Tax (HST) they pay.
GST/HST Credit Overview
The GST/HST credit is designed to provide financial relief by reimbursing part of the GST or HST paid on purchases. Eligibility and payment amounts are determined based on family net income, marital status, and the number of children under 19 years of age.
Eligibility Criteria For GST/HST Credit
To qualify for the GST/HST credit, individuals must:
- Be a resident of Canada for income tax purposes.
- Be 19 years of age or older, or have (or had) a spouse or common-law partner, or be a parent and live (or previously lived) with their child.
Eligibility is automatically assessed when you file your income tax return; no separate application is necessary.
Payment Amounts For GST/HST Credit
For the benefit period from July 2024 to June 2025, the maximum annual credit amounts are:
- $519 for a single individual.
- $680 for a married or common-law couple.
- $179 for each child under 19 years of age.
For example, a family with two children could receive up to $1,038 annually ($680 for the couple plus $179 per child).
Income Thresholds For GST/HST Credit
The credit amount is gradually reduced as family net income increases. Eligibility is phased out at the following net income levels:
- Single individuals: $51,533.
- Married or common-law couples: Approximately $54,647 (adjusted based on the number of children).
Individuals and families with net incomes below these thresholds may qualify for partial or full credit amounts.
Key Payment Dates in 2025
Recipients can expect their GST/HST credit payments on the following dates in 2025:
- January 3, 2025.
- April 4, 2025.
- July 4, 2025.
- October 3, 2025.
These dates align with the CRA’s schedule for benefit payments.
| Family Status | Maximum Annual Credit | Income Threshold | Payment Dates 2025 | Additional Child Amount |
|---|---|---|---|---|
| Single Individual | $519 | $51,533 | Jan 3, Apr 4, Jul 4, Oct 3 | N/A |
| Married/Common-law Couple | $680 | ~$54,647 | Jan 3, Apr 4, Jul 4, Oct 3 | $179 per child |
| Family with 1 Child | $859 | ~$54,647 | Jan 3, Apr 4, Jul 4, Oct 3 | $179 |
| Family with 2 Children | $1,038 | ~$54,647 | Jan 3, Apr 4, Jul 4, Oct 3 | $358 |
Conclusion
The GST/HST credit provides essential financial support to eligible Canadians, helping to offset the costs associated with GST and HST.
By understanding the eligibility criteria, payment amounts, and key dates, individuals and families can better plan their finances for the upcoming year.
FAQs
1. What is the GST/HST credit?
The GST/HST credit is a tax-free quarterly payment from the CRA designed to help individuals and families with low to modest incomes offset the GST or HST they pay.
2. How do I apply for the GST/HST credit?
You don’t need to apply separately. Eligibility is determined automatically when you file your annual income tax return.
3. When will I receive my GST/HST credit payments in 2025?
Payments are scheduled for January 3, April 4, July 4, and October 3, 2025.
4. How is the payment amount calculated?
The amount is based on your family net income, marital status, and the number of children under 19.
5. What should I do if I don’t receive my payment on the scheduled date?
If your payment is delayed, contact the CRA to inquire about the status and ensure your personal information is up to date.
