CRA Confirms $250 Rebate For Workers In 2025 – Eligibility Criteria & New Payment Schedule Explained
To help Canadians manage the rising cost of living, the Canada Revenue Agency (CRA) has officially confirmed a $250 rebate for eligible workers in 2025.
This one-time, tax-free payment is aimed at providing immediate financial relief to low- and middle-income earners. The payment will be processed automatically for those who meet the eligibility criteria—no need to apply separately.
Here’s your complete guide to the new CRA $250 rebate, including eligibility requirements, payment timeline, and how to make sure you receive it.
CRA $250 Rebate Approved for 2025
| Criteria | Details |
|---|---|
| Rebate Amount | $250 (one-time, tax-free) |
| Eligible Income | Net income of $150,000 or less (2023 tax year) |
| Application Required? | No—automatic based on tax filing |
| Payment Method | Direct deposit or cheque |
| Payment Timeline | Early Spring 2025 |
| Filing Deadline | June 31, 2025 |
| Residency Requirement | Must be a resident of Canada as of June 31, 2025 |
| CRA Website | Canada Revenue Agency |
What is the $250 CRA Rebate?
The CRA $250 Rebate is a one-time, tax-free payment introduced to help Canadians cope with soaring inflation and rising household expenses.
It targets low- to moderate-income earners and is expected to benefit approximately 18.7 million Canadians.
If you’ve already filed your 2023 tax return and meet the income threshold, you’ll be automatically eligible to receive this financial support.
Eligibility Requirements for the $250 Rebate
- Income Threshold
- Your net income for the 2023 tax year must not exceed $150,000.
- Example: If your income is $155,000 but you contributed $10,000 to an RRSP, your adjusted income would be $145,000, making you eligible.
- Tax Filing Deadline
- You must file your 2023 tax return on or before June 31, 2025.
- Late filers will be automatically disqualified, even if their income meets the eligibility threshold.
- Pension and Insurance Contributions
- You must have contributed to at least one of the following:
- Canada Pension Plan (CPP)
- Quebec Pension Plan (QPP)
- Employment Insurance (EI)
- Quebec Parental Insurance Plan (QPIP)
- You must have contributed to at least one of the following:
- Residency Requirement
- You must be a Canadian resident as of June 31, 2025.
- If you relocate outside of Canada before this date, you may lose eligibility.
- Additional Criteria
- You must not have been incarcerated for more than 90 days prior to the payment date.
- Your CRA account information must be current to ensure smooth payment processing.
CRA $250 Rebate Payment Schedule
| Payment Method | Details |
|---|---|
| Direct Deposit | Fastest option—paid directly to your bank account. Ensure your info in CRA My Account is accurate. |
| Paper Cheque | For those not enrolled in direct deposit. Cheques will be mailed to your registered address. |
| Expected Timeline | Early Spring 2025—exact dates to be announced. Filing early helps you receive payment faster. |
Why Was the $250 Rebate Introduced?
The $250 rebate is part of the government’s strategy to address:
- Rising inflation and increased cost of essential goods.
- Higher household expenses including food, utilities, and housing.
- Recognition for workers who contributed to the economy during challenging times.
This rebate is a targeted support measure designed to offer timely assistance to those most affected by economic stress.
How to Ensure You Receive the $250 Rebate
- File your 2023 taxes on or before June 31, 2025.
- Log in to CRA My Account and update your banking and mailing information.
- Review your income to ensure it falls within the eligibility threshold after deductions.
- Stay updated on CRA announcements regarding any changes to deadlines or eligibility.
The CRA $250 rebate is a well-timed, straightforward financial relief measure for Canadians earning $150,000 or less in 2023.
With automatic payment processing and no application required, eligible individuals simply need to ensure their 2023 taxes are filed on time and that their account details are current.
In an era of rising living costs, this one-time payment provides valuable support to help Canadians navigate economic challenges in 2025.
FAQs
Do I need to apply for the CRA $250 rebate?
No. The rebate is automatic if you meet eligibility based on your 2023 tax return.
When will I receive my $250 rebate?
Payments are scheduled to be issued in early Spring 2025. Exact dates will be shared on the CRA website.
What if I miss the tax filing deadline?
You will not receive the rebate if you miss the June 31, 2025 filing deadline—filing on time is essential.