The Canada Revenue Agency (CRA) has authorized a one-time tax-free $250 rebate to be delivered on May 11, 2025. This payment targets low- and moderate-income working individuals and families across the country, offering financial relief as the cost of living continues to climb. This rebate stands apart from existing benefit programs and does not require any application. It will be issued automatically to those who meet income and employment criteria based on their 2023 tax filings.
CRA Approves $250 One-Time Rebate
| Category | Details |
|---|---|
| Payment Name | Working Canadians Rebate |
| Issuing Agency | Canada Revenue Agency (CRA) |
| Amount | $250 (one-time, tax-free) |
| Payment Date | May 11, 2025 (confirmed) |
| Eligibility | Working individuals with 2023 income ≤ $150,000 |
| Application Required | No; automatic distribution based on 2023 tax return |
| Payment Method | Direct deposit or mailed cheque |
| Official Source | Canada Revenue Agency – GST/HST Credit |
Purpose and Scope of the Rebate
The $250 Working Canadians Rebate is part of the federal government’s broader plan to reduce financial strain on employed individuals and households. As inflation impacts the price of essential goods like groceries, transportation, housing, and utilities, the CRA is aiming to help those who are often left out of traditional welfare programs. Unlike long-term benefits, this one-time payment offers an immediate cash injection to help with short-term pressures.
This rebate is not tied to employment insurance or regular GST/HST credits and does not affect eligibility for other provincial or federal benefits. It is fully exempt from income tax and will not need to be reported as taxable income on future tax returns.
Who Qualifies for the $250 Rebate
To be eligible for this rebate, you must meet several criteria outlined by the CRA. These include:
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Must be a Canadian resident as defined by the Income Tax Act
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Must have been employed or self-employed during the 2023 calendar year
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Must have filed a complete 2023 tax return by the CRA’s deadline
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Must have a family net income at or below $150,000 for 2023
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Must not have had income exclusively from social assistance or EI unless also working
The rebate covers individuals working full-time, part-time, freelance, or gig economy jobs. It also applies to single parents and married/common-law individuals filing jointly, provided household income remains within the threshold.
How the Payment Will Be Delivered
The $250 rebate will be disbursed starting May 11, 2025. The CRA will use the same method as it uses for tax refunds or GST/HST credits:
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If you are signed up for direct deposit, the funds will appear in your bank account.
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If not, a cheque will be mailed to the latest address associated with your CRA profile.
It is recommended to verify your direct deposit information and mailing address in your CRA My Account by May 1, 2025, to avoid any delays in receiving the payment.
What to Do If You Miss Out
If you meet the eligibility criteria and do not receive your rebate by the end of May 2025:
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Log in to your CRA My Account and confirm your 2023 tax return was filed and processed
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Check that your direct deposit and address details are up to date
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Contact CRA directly to initiate a review or request a reissue if needed
Additional Government Support Programs
While this $250 rebate is a one-time measure, several ongoing support programs continue to offer financial relief, including:
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GST/HST Credit (quarterly)
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Canada Workers Benefit
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Canada Child Benefit
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Climate Action Incentive Payment
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Provincial tax credits and rebates
Each of these programs has different eligibility criteria and payment schedules. Filing taxes annually remains the best way to ensure you qualify for all available credits.
FAQ
What is the CRA $250 rebate?
It is a one-time, tax-free payment provided to working Canadians with a net income of $150,000 or less, based on their 2023 tax return.
Do I need to apply for this rebate?
No. The payment is automatic and based on your filed 2023 tax return. No additional forms or applications are required.
When is the payment date?
May 11, 2025. The CRA has confirmed this as the official disbursement date.
How will I receive the rebate?
The rebate will be paid by direct deposit if you’re enrolled with the CRA, or by cheque if you’re not.
What should I do if I haven’t received my payment?
First, check your CRA My Account to confirm your return status and personal info. If everything is correct and the rebate hasn’t arrived, contact the CRA for assistance.
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