The prices of food items in Canada have been rising steadily for some time now. This inflation has affected even the kitchens of common people. A large part of the monthly budget of families is now being spent only on groceries. In such a situation, the federal government of Canada took a relief initiative in June 2025—a one-time Grocery Rebate of up to $628, which gave millions of Canadian families some relief in fighting inflation.
This article is based on this one-time payment, which was specifically for low and middle-income families. Let us know what this rebate was, who got it, when and what was its effect.
What is Grocery Rebate?
Grocery Rebate is actually a special, one-time assistance amount, which was announced during the 2025 federal budget. It was not a monthly benefit, but a direct lump sum payment that was operated by the Canada Revenue Agency (CRA) just like the GST/HST credit system.
The objective of this scheme was clear to provide direct financial assistance to the families most affected by inflation, without any additional paperwork. People did not have to make any separate application or fill any form. Only their updated tax return and bank details were required to be given to the CRA.
Who was eligible for this rebate?
If you are wondering if you were eligible for this rebate, it was determined based on your 2023 tax return. The CRA determined eligibility based on some key criteria:
- You are a resident of Canada (for tax purposes)
- You have previously qualified for the GST/HST credit
- Your household income falls in the low or moderate category
If you received the GST/HST credit, it is more likely that you also received this Grocery Rebate. There was no need to fill out any new form or application.
Who got how much money?
This rebate was determined based on your household income and the number of members in the household. The figures below show the maximum rebate amount:
| Household Type | Maximum Rebate Amount |
|---|---|
| Single adult (no children) | $234 |
| Couple with 1 child | ~$387 |
| Couple with 2 children | ~$467 |
| Couple with 3 or more children | $628 |
Larger families were given a higher amount to help them meet their daily needs.
When and how was the payment made?
The amount started getting transferred to the accounts of eligible people from June 15, 2025. CRA had already started notifying eligible citizens through email and CRA My Account from June 1, 2025.
Those who opted for direct deposit got the money quickly. On the other hand, those who still get paper checks had to wait a few days longer due to the postal delay.
CRA had appealed to everyone to keep their bank and address details updated in CRA My Account to avoid any interruption.
Be cautious of fraud
Where there is money, there is a possibility of fraud. Scammers also became active regarding Grocery Rebate. People were sent fake texts and emails asking for additional rebate or bank information.
Keep in mind:
- Grocery Rebate was received only once in June 2025.
- CRA never asks for bank details through unsolicited text or email.
- Open any link or attachment only if it comes from the official site.
Effect of this rebate
Grocery Rebate provided some relief to thousands of Canadian families at a time when inflation was at record highs. This measure was not a permanent solution, but at that time it came as an immediate and direct help to the needy.
Many people considered it a good example of “quick response public policy” from the government. These small but precise interventions can be effective in dealing with a big problem like inflation.
What next?
Although the Grocery Rebate was a one-time measure, its impact and response were quite positive. If inflation continues in the coming times, it is expected that the government may bring more such measures.
This rebate also showed that if the government wants, quick help can be provided to the people without any complicated process.
Conclusion: A pinch of relief but effective
The $628 Grocery Rebate proved to be a lifesaver for families who were struggling with rising bills every week. It was not a huge amount, but emotionally and financially it was an assurance that the government was with them.
If you also took advantage of this rebate, then remember that these schemes of the government are successful only when you keep timely tax filing, CRA account updates and financial information correct. And if you want to get more such benefits in the future, keep an eye on the CRA website and official announcements because it can be very important to know when and how the relief will come next time.
FAQs
Q1. What is the $628 Grocery Rebate all about?
A. It’s a one-time financial support introduced by the Canadian government to help families cope with rising food costs. Announced in the 2025 federal budget, it offers up to $628 depending on family size. The rebate was automatically paid to eligible Canadians through the CRA.
Q2. Who was eligible to receive this rebate payment?
A. Eligibility was based on your 2023 income tax return and GST/HST credit status. Low- to moderate-income individuals and families who qualified for the GST credit likely received it. No separate application was required.
Q3. How much money did different households receive?
A. The rebate amount varied by family size—singles received up to $234, couples with one child around $387, and larger families up to $628. The CRA calculated exact amounts based on income and number of dependents.
Q4. When was the rebate paid out and how was it received?
A. Payments began on June 15, 2025, and most were sent via direct deposit. Canadians still using paper cheques had to wait a few more days. CRA advised everyone to keep their account and address details updated.
Q5. Was there any risk of fraud related to this rebate?
A. Yes, scammers tried to take advantage by sending fake messages promising extra money or asking for bank details. But the CRA never contacts individuals through unsolicited emails or texts for personal information. It’s important to rely only on official sources.