Newcomers can receive hundreds of dollars from Canadian government this year under revamped benefit

author avatarauthor avatar
Asheesh Moosapeta, Derek Shank
Updated: Jan, 26, 2026
  • Published: January 26, 2026

Each eligible newcomer in Canada could receive up to an additional $417 this year, and up to an additional $167 per year over the next five years, under upcoming measures announced by the federal government.

The money comes in the form of a refundable tax credit, dubbed the Canada Groceries and Essentials Benefit, which revamps what was formerly called the Goods and Services (GST) tax credit.

The additional benefits come in the form of a 25% increase to the existing benefit for five years, starting in July of 2026, plus a one-time increase of 50% for this year.

Join the Angus Reid Forum and get $5 in points!

According to the government's announcement on January 26, 2026, under the new measures a single eligible individual can receive a total benefit payment up to $950 this year—up from $533—and up to $700 per year for the next four years. For a family of four, the maximum total benefit will be $1890 this year, and $1400 per year for the next five years.

This benefit is available to all individuals aged 19 and over who are residents of Canada for tax purposes—which includes most newcomers—who fall beneath the annual net income threshold, set at $56,181 (CAD) for the year 2024 (for a single person without children). Net income eligibility thresholds are dependent on family size and the marital status of the taxpayer.

To receive the benefit starting in July of 2026, an individual will need to have filed tax return for the year 2025.

For those who filed tax returns for the year 2025, the government is expected to begin issuing quarterly payments in July 2026.

Newcomers who have arrived in Canada after the latest tax filing season can register to receive the rebate by sending a completed form RC151 for the year that they became a resident of Canada for tax purposes.

This measure is expected to benefit a larger proportion of newcomers than native-born Canadians, as newcomers such as international students, newly arrived temporary foreign workers, and permanent residents are more likely to fall beneath the income threshold.

As the successor to the GST tax credit, the Canada Groceries and Essentials Benefit is intended to help lower and modest-income taxpayers offset the sales tax they pay toward everyday purchases.

Lower-income taxpayers are disproportionately affected by consumption taxes such as sales taxes, as they spend a larger portion of their income on day-to-day living expenses.

Join the Angus Reid Forum and get $5 in points!

Share this article
CIC NEWS
See more of the reporting you rely on.
Choose CIC News as a preferred source to see more of our reporting in Google’s Top Stories.
Add CIC News on Google
Select CIC News, then confirm on Google.
Share your voice
Did you find this article helpful?
Thank you for your feedback.
Subscribe to our newsletter
Did you find this article helpful?
Please provide a response
Thank you for your helpful feedback
Please contact us if you would like to share additional feedback, have a question, or would like Canadian immigration assistance.
  • Do you need Canadian immigration assistance? Contact the Contact Cohen Immigration Law firm by completing our form
  • Send us your feedback or your non-legal assistance questions by emailing us at media@canadavisa.com
Related articles
Some Americans are applying for Canadian citizenship certificates for their adult kids
On December 15, 2025, Canada removed the first generation limit to citizenship by descent
The Mark Carney effect: Is political discontent at home driving Americans to seek Canadian citizenship?
Mark Carney is the Prime Minister of Canada
Canada affirms foreign credential recognition target for 2026-27
A business lady in downtown Vancouver.
Canada introduces special measures to help temporary residents impacted by natural disasters
A view of the wildfires near Kelowna last year.
Top Stories
British Columbia immigration selects workers in construction, health care, and child care
Applying for proof of Canadian citizenship from abroad? A representative in Canada could save you months
Manitoba widens fast track to licensing for internationally trained physicians
Join our free newsletter. Get Canada's top immigration stories delivered to your inbox.
Subscribe
More in Provinces
British Columbia immigration selects workers in construction, health care, and child care
Aerial shot of Departure Bay in Nanaimo.
Manitoba widens fast track to licensing for internationally trained physicians
Manitoba will receive federal funding for physicians.
Alberta invites priority sector workers and rural job offer holders to apply for provincial nomination
Bow River in Canmore, Alberta, with the Canadian Rockies visible in the back, and the Canmore Engine Bridge in the forefront.
Manitoba immigration issues 257 invitations to workers in childcare, education, and healthcare
Elementary school teacher helping students.
Link copied to clipboard