The Goods and Services Tax and Harmonized Sales Tax credit, commonly known as the GST/HST credit, is one of the most important tax-free benefits available to low and modest income Canadians. With the GST/HST increase taking effect in February 2026, millions of households are eager to understand who qualifies, how much they will receive, and when payments will be deposited.
This detailed guide explains everything you need to know about the February 2026 GST/HST increase, including updated payment amounts, eligibility requirements, income thresholds, application procedures, and tips to ensure you receive the maximum benefit from the Canada Revenue Agency.
Understanding the GST/HST Credit in 2026
The GST/HST credit is a tax-free quarterly payment issued by the Canada Revenue Agency to help individuals and families offset the GST or HST they pay on goods and services. The credit is designed primarily for low and modest income households and is calculated based on annual income and family composition.
The increase announced for February 2026 reflects adjustments for inflation and rising living costs. As everyday expenses such as groceries, rent, transportation, and utilities continue to rise, the federal government periodically adjusts benefit amounts to maintain purchasing power.
The February 2026 increase represents one of the most closely watched adjustments, as many Canadians continue to face affordability pressures.
Why the GST/HST Credit Is Increasing in February 2026
Each year, the federal government reviews benefit amounts to ensure they keep pace with inflation. The 2026 adjustment reflects updated Consumer Price Index data and cost-of-living changes.
Rising costs in essential categories such as food, housing, and fuel have significantly affected lower-income households. The GST/HST increase is intended to provide additional financial relief by slightly raising quarterly payment amounts.
Although the adjustment may seem modest on paper, for families managing tight budgets, even a small increase can make a meaningful difference over the course of a year.
GST/HST Payment Dates for 2026
The Canada Revenue Agency issues GST/HST payments quarterly. In 2026, payments are expected on the following standard schedule:
January 5, 2026
April 3, 2026
July 3, 2026
October 5, 2026
The February 2026 increase will be reflected in the payment cycle following the adjustment implementation. If a payment date falls on a weekend or public holiday, the deposit is typically issued on the last business day before the scheduled date.
Direct deposit recipients usually receive funds on the payment date, while mailed cheques may take several business days to arrive.
New GST/HST Amounts for February 2026
While final figures depend on income and family status, the 2026 increase adjusts the maximum annual credit amounts. The GST/HST credit is composed of a base amount and additional amounts for spouses or common-law partners and children under 19.
Estimated updated annual maximums for the 2026 benefit year may look similar to the following structure:
Single individual: increased base amount
Married or common-law couple: higher combined base amount
Additional amount per eligible child under 19
The exact amount you receive depends on:
Your adjusted family net income
Your marital status
The number of eligible children
Your province or territory of residence
As income increases beyond a certain threshold, the credit is gradually reduced until it phases out completely.
Who Is Eligible for the GST/HST Credit in 2026
To qualify for the February 2026 GST/HST credit increase, individuals must meet specific eligibility criteria set by the Canada Revenue Agency.
Basic Eligibility Requirements
You must be a Canadian resident for income tax purposes
You must be 19 years of age or older, or have a spouse or common-law partner, or be a parent living with your child
You must file an annual income tax return
Even individuals with little or no income must file a tax return to be considered for the GST/HST credit. Filing ensures the Canada Revenue Agency can assess eligibility and calculate payment amounts.
Income Thresholds
Eligibility is income-based. While exact thresholds vary annually, low and modest income individuals and families generally qualify.
For example, a single person with no children will have a lower income threshold than a couple with two children. As adjusted family net income rises above the base threshold, the credit is reduced gradually.
Once income exceeds the upper phase-out level, payments stop entirely.
How the GST/HST Credit Is Calculated
The Canada Revenue Agency uses your previous year’s tax return to determine your GST/HST credit for the upcoming benefit year.
For the February 2026 adjustment, calculations are based on 2025 tax return information. The CRA reviews:
Line 23600 adjusted family net income
Marital status as of the assessment date
Number of dependent children under 19
The credit consists of:
A basic amount for the individual
An additional amount for a spouse or partner
An amount for each eligible child
The benefit is then reduced at a specific rate once income surpasses the reduction threshold.
Provincial Differences in HST Provinces
Some provinces combine provincial sales tax with the federal GST, creating the Harmonized Sales Tax. While the GST/HST credit itself is federally administered, provincial programs may provide additional credits.
Residents of provinces that use the HST may also receive provincial supplements depending on local programs.
Regardless of province, the GST/HST credit is paid by the Canada Revenue Agency and calculated using federal guidelines.
How to Apply for the GST/HST Credit
Most Canadians do not need to apply separately. When you file your annual income tax return, the Canada Revenue Agency automatically determines eligibility.
However, new residents to Canada must complete specific forms upon arrival to apply for benefits. Individuals who turn 19 must ensure they file their first tax return to begin receiving payments.
To avoid delays:
File your taxes on time
Update marital status changes promptly
Report address changes immediately
Register for direct deposit
Keeping personal information current ensures uninterrupted payments.
What Happens If Your Situation Changes
Life changes can significantly affect your GST/HST payments.
Marriage or Common-Law Status Changes
If you get married, separated, or divorced, you must notify the Canada Revenue Agency. Your benefit amount may increase or decrease depending on combined family income.
Birth or Adoption of a Child
Adding a child under 19 increases your GST/HST credit amount. Ensure the child is registered with the CRA to receive the correct payment.
Income Changes
Because the credit is based on the previous year’s income, a sudden income drop in 2026 may not immediately increase your payments. However, filing your next tax return will adjust future benefit amounts accordingly.
Direct Deposit Versus Cheque Payments
The fastest way to receive your GST/HST credit is through direct deposit. Payments arrive on the scheduled date without postal delays.
Cheque payments are still available but can take longer to arrive. Lost or delayed cheques may require follow-up with the Canada Revenue Agency.
Direct deposit also reduces the risk of fraud or theft.
Common Reasons Payments May Be Delayed
Several issues can delay GST/HST payments:
Failure to file your tax return
Unreported marital status changes
Incorrect banking information
Outstanding tax debt or government overpayments
Ensuring your records are accurate and up to date helps prevent interruptions.
How the GST/HST Increase Impacts Low-Income Families
For many households, the February 2026 increase may result in a slightly higher quarterly payment. While the increase may appear small per payment, it adds up over the year.
Families with multiple children benefit the most from incremental increases, as child amounts are included in the total credit.
In times of economic uncertainty, stable quarterly benefits provide predictable financial support that helps with budgeting and essential expenses.
Relationship Between GST/HST and Other Federal Benefits
The GST/HST credit is separate from other major federal programs such as the Canada Child Benefit and various provincial assistance programs. Receiving one benefit does not automatically disqualify you from another.
However, all benefits are income-tested. Filing taxes annually ensures accurate calculation across programs.
Tips to Maximize Your GST/HST Credit in 2026
File your 2025 tax return early to avoid delays
Claim all eligible deductions and credits to lower adjusted net income
Report dependents accurately
Keep CRA information current
Sign up for direct deposit
Staying organized and proactive ensures you receive the full amount you are entitled to.
What Experts Expect for Future Adjustments
Economists predict continued cost-of-living adjustments to federal benefits if inflation remains elevated. The February 2026 increase may be followed by further annual indexation depending on economic conditions.
The GST/HST credit remains one of the government’s most direct tools for supporting lower-income Canadians, and periodic increases are part of maintaining its effectiveness.
Frequently Asked Questions About the February 2026 GST/HST Increase
When will I see the increased amount?
The increased amount will appear in the first eligible payment after the adjustment is implemented in 2026.
Do I need to apply for the increase?
No separate application is required. Filing your tax return automatically determines eligibility.
What if I did not receive my payment?
Check your CRA account online, confirm direct deposit information, and contact the Canada Revenue Agency if the issue persists.
Can students receive the GST/HST credit?
Yes, students aged 19 or older who meet income requirements and file a tax return may qualify.
Final Thoughts on the February 2026 GST/HST Increase
The GST/HST increase in February 2026 offers important financial relief for millions of Canadians facing higher living costs. Understanding eligibility rules, payment dates, and income thresholds ensures you do not miss out on this valuable tax-free benefit.
By filing your taxes on time, updating your personal information, and monitoring your CRA account, you can secure uninterrupted quarterly payments throughout 2026.