Bill C-19 An Act to amend the Income Tax Act
Short Title: Canada Groceries and Essentials Benefit Act
Bill Type: House Government Bill
Bill Sponsor: Minister of Finance and National Revenue
This Bill received Royal Assent on Thursday, February 12, 2026 Statutes of Canada 2026, c. 1
⚠️Note:This Bill is linked to Bill C-15 (Budget 2025 Implementation Act).
Bill C-15 received Royal Assent on March 26, 2026 — key provisions of this Canada Groceries Act have already been automatically rewritten to align, without a separate Parliamentary vote.
What Is This Bill For?
Government is boosting the GST/HST credit for low and modest income Canadians to help with the cost of groceries and essentials.
There are two parts:
- a one-time 50% top-up paid in January 2026
- a 25% ongoing increase paid quarterly from July 2026 through April 2031. The amount you receive depends on your income and family size.
WHO GAINS POWER
- Treasury Board gains authority to deliver targeted financial relief through the tax system without creating a new program or agency
- Canada Revenue Agency gains authority to administer and adjust payment amounts based on filed tax returns
WHO LOSES POWER
- Parliament — the payment amounts and eligibility formulas are set in Legislation; no annual vote required to continue payments through 2031
- Individuals cannot opt out of the income-tested phase-out — benefits reduce automatically as income rises above $45,521 (2025–26) or $46,432 (2026 onward)
WHO GAINS MONEY
- Low and modest income Canadians — single adults, couples and families with children receive boosted quarterly GST/HST credit payments
- Shared-custody parents — both parents receive a proportional share of the enhanced credit
- Single adults with no dependants — receive a small additional supplement if income is below threshold
WHO LOSES MONEY
- Taxpayers broadly — Government is paying out additional credits drawn from public revenue
- Higher-income Canadians — receive nothing; benefit phases out entirely above income thresholds
THE CATCH
- The 25% ongoing boost expires after April 2031 — it is not permanent
- Payments are tied to filed tax returns — Canadians who don't file taxes receive nothing
- Income thresholds that determine eligibility are indexed to inflation starting in 2027 — meaning the real value of the benefit could erode over time