- Canada will rename the GST/HST Credit as the Canada Groceries and Essentials Benefit (CGEB) starting July 2026.
- This is mainly a rebrand, not a policy change: eligibility, calculations, and CRA administration stay the same.
- Support payments will increase by 25% for the next five years.
- The change reinforces Canada’s approach of using targeted cash support instead of reduced VAT rates to offset VAT regressivity.
- The article argues this model is more efficient than VAT cuts because it helps lower-income households without giving equal benefits to higher-income consumers.
Source: vatcalc.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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