Taxes can be confusing, especially when it comes to understanding the benefits you’re entitled to. But here’s some good news! The Goods and Services Tax/Harmonized Sales Tax (GST/HST) credit is one benefit that can put some extra money in your pocket. It’s a tax-free payment that the Canada Revenue Agency (CRA) gives to people with low to medium incomes. This GST/HST credit is paid four times a year and is specifically designed to help you cover the GST or HST you pay. In short, the GST/HST credit is one of the awesome benefits that the CRA offers to make your life a little easier. Let’s find out more about it!
Why is GST/HST credit important?
GST/HST credit is important because it can reduce your tax burden and increase your disposable income. For example, if you receive $100 in GST/HST credit every quarter, that’s an extra $400 in your pocket every year. You can use that money to pay for your bills, groceries, or other expenses.
Who is eligible for GST/HST credit?
You are eligible for GST/HST credit if you meet all of the following conditions:
- You are a resident of Canada for income tax purposes
- You are 19 years of age or older, or you have a spouse or common-law partner, or you are a parent and live with your child
- You are not claimed as a dependent by someone else
- You have filed your income tax return for the previous year
How to apply for GST/HST credit?
You don’t need to apply for GST/HST credit separately. You are automatically considered for it when you file your first tax return. Just make sure you provide your social insurance number (SIN) and your marital status on your tax return. If you have a spouse or common-law partner, they also need to file their taxes. If you have children under 19 years old, you need to register them for the Canada child benefit and the GST/HST credit.
How much can you expect to receive in 2024?
Your GST/HST credit payments are based on your adjusted family net income, the number of children under 19 years old that you have registered, and your province or territory of residence. For the 2022 base year (payment period from July 2023 to June 2024), you could get up to:
- $496 if you are single
- $650 if you are married or have a common-law partner
- $171 for each child under the age of 19
You can use the child and family benefits calculator to get an estimate of your GST/HST credit. You can also check the GST/HST credit payments chart to find out if you are entitled to receive the GST/HST credit for the 2022 base year.
When will you receive your 2024 GST/HST credit payments?
If you qualify for the GST/HST credit, you will receive four payments per year from the government. You can choose to get them by cheque or direct deposit. Here are the dates when you will receive your GST/HST credit payments for 2024:
- January 5, 2024
- April 5, 2024
- July 5, 2024
- October 4, 2024
You can sign up for direct deposit to get your payments faster and more securely. You can also use MyAccount or My Benefits CRA mobile app to view your payment information online.
If you have any more questions, feel free to leave a comment below or contact the Canada Revenue Agency.