Grocery Rebate to Offset Inflation

Photo Credit: Stokkete/Shutterstock via Daily Hive

In response to the rising food costs, a one-time grocery rebate will be offered to “low- and modest-income Canadians and families”, according to the Government of Canada’s website. 

This rebate came after January saw an 11 per cent increase in food prices, compared to the month before. In total, it will provide $2.5 billion to support 11 million Canadians. Based on income, an individual can receive up to $234, a couple with two children up to $467, and seniors up to $225. 

One finance commentator, Pattie Lovett-Reid, said that the rebate for a family does not even offset half of the additional $1,100 that groceries will cost compared to last year. 

The rebate will be available through the goods and services tax (GST) credit system as a type of credit. This non-taxable credit helps offset the GST that Canadians must pay. Canadians should only need to file their taxes as usual to be checked for eligibility of receiving this rebate. Once eligible Canadians have received the rebate, it will not be checked to ensure the money has been spent specifically on groceries, according to a government source who informed Global News.

The rebate is one part of the the federal government’s Budget 2023, which was presented to the House of Commons by Finance Minister Chrystia Freeland on Mar. 28.

With the new program, scammers may be attempting to offer Canadians the grocery rebate pretending to be the Government of Canada. The Communications Security Establishment, a government agency, has stated that “The Cyber Centre cautions Canadians to be aware and protect themselves from fraud and online scams, including phishing attempts.”