The Canada Revenue Agency has confirmed a GST/HST credit payment of up to $698, with direct deposits expected on January 12, 2026 for eligible Canadians. This payment is part of the federal government’s ongoing effort to help individuals and families manage rising living costs, especially at the start of a new year when expenses often spike.
For many households, the January GST/HST credit arrives at a critical time. Post-holiday bills, winter heating costs, rent increases and food inflation all place added pressure on monthly budgets. This article explains in detail what the $698 GST/HST credit is, who qualifies, how the amount is calculated, and what recipients should do to ensure they receive the payment without delays.
What Is the GST/HST Credit?
The GST/HST credit is a tax-free quarterly payment issued by the Canada Revenue Agency. Its purpose is to offset some or all of the Goods and Services Tax and Harmonized Sales Tax paid by low- and modest-income Canadians.
Unlike many benefits, you do not apply separately for the GST/HST credit. Eligibility and payment amounts are determined automatically based on your income tax return. Once approved, payments are issued four times a year, typically in January, April, July and October.
The January 2026 payment reflects income information from the 2024 tax year, meaning what you earned and reported on your most recent return directly affects how much you receive.
Why the January 12, 2026 Payment Matters
The January GST/HST credit is often the most anticipated payment of the year. It arrives shortly after the holidays, when many Canadians face higher-than-usual expenses.
The confirmed January 12, 2026 deposit date is significant for several reasons:
- It aligns with the CRA’s regular quarterly payment cycle
- It arrives early enough in January to help with rent, utilities and groceries
- It provides immediate, tax-free relief without affecting other benefits
For eligible individuals and families, this payment can make a meaningful difference in monthly cash flow.
Confirmed Maximum Amount: Up to $698
The CRA has confirmed that eligible recipients may receive up to $698 for the January 2026 GST/HST credit period. The exact amount varies depending on household size, marital status and net income.
The $698 figure typically applies to families with children who fall within the lower-income threshold. Singles and couples without children generally receive a lower amount, but still benefit from the credit.
It is important to note that the GST/HST credit is calculated annually and divided across four payments. The January amount represents one quarterly installment under the current benefit cycle.
Who Is Eligible for the GST/HST Credit in 2026?
Eligibility for the GST/HST credit is based on several core criteria set by the CRA.
Age Requirement
You must be at least 19 years old in the month before the CRA issues the payment. If you are under 19, you may still qualify if you have or had a spouse or common-law partner, or if you are a parent living with your child.
Residency Status
You must be a resident of Canada for income tax purposes during the month before and at the beginning of the payment month.
Income Thresholds
The GST/HST credit is designed for low- and modest-income households. Your adjusted family net income, as reported on your 2024 tax return, determines whether you qualify and how much you receive.
As income increases, the credit amount is gradually reduced. Once income exceeds the upper threshold, eligibility phases out entirely.
Tax Filing Requirement
You must have filed your 2024 income tax return, even if you had little or no income. This is one of the most common reasons eligible Canadians miss out on the credit.
How the $698 Amount Is Calculated
The CRA uses a formula that considers:
- Your marital status
- Number of children under 19
- Adjusted family net income
- Eligibility for provincial or territorial supplements
For example:
- A single individual with low income may receive a smaller quarterly amount
- A couple with children and lower combined income may qualify for the maximum payment
- Each eligible child increases the household credit amount
The $698 figure reflects the upper end of the benefit scale, not a guaranteed amount for everyone.
Direct Deposit vs Cheque Payments
Most eligible Canadians will receive the GST/HST credit by direct deposit on January 12, 2026, provided their banking information is up to date with the CRA.
If you are not enrolled in direct deposit, the CRA will issue a paper cheque, which may arrive several days later depending on postal delivery times.
Direct deposit is strongly recommended, as it is faster, more secure and avoids delays caused by mail disruptions.
How to Make Sure You Receive the January 2026 Payment
To avoid missing the GST/HST credit, there are a few key steps you should take well before January.
File Your 2024 Tax Return
Even if you had no income or believe you do not owe taxes, filing your return is essential. The CRA cannot calculate your credit without it.
Update Your Personal Information
Ensure your marital status, address and number of dependents are accurate. Changes such as marriage, separation or the birth of a child can affect your payment.
Confirm Direct Deposit Details
Log in to your CRA account and double-check your bank account information. Incorrect details can result in failed deposits or delayed cheques.
How This Credit Interacts With Other Benefits
One of the most important features of the GST/HST credit is that it is tax-free and does not reduce other federal or provincial benefits.
This means:
- It does not count as income
- It does not reduce Canada Child Benefit payments
- It does not affect Old Age Security or Guaranteed Income Supplement
- It does not impact provincial social assistance or housing benefits
Recipients receive the full amount they are entitled to without penalties or clawbacks.
Provincial and Territorial Supplements
In addition to the federal GST/HST credit, some provinces and territories offer related sales tax credits that are paid alongside or through the CRA.
Depending on where you live, you may see additional amounts included in your January 12 deposit. These supplements are calculated separately but follow similar eligibility rules.
Common Reasons Payments Are Delayed or Missed
Despite being automatic, GST/HST credit payments can be delayed or missed for several reasons.
Late or Missing Tax Return
If your 2024 return is not processed in time, your January payment may be delayed until the CRA completes its review.
Incorrect Banking Information
Outdated or incorrect direct deposit details can cause payments to bounce back.
Recent Changes in Marital Status
If your marital status recently changed and was not reported, the CRA may need additional time to recalculate your benefit.
CRA Reviews
In some cases, the CRA conducts routine reviews to confirm eligibility, which can temporarily pause payments.
What to Do If You Do Not Receive the Payment
If January 12 passes and you do not receive your GST/HST credit:
- Check your CRA online account for payment status
- Review your tax filing and personal information
- Allow a few extra days if you are expecting a cheque
- Contact the CRA only after confirming there are no updates in your account
In most cases, delays are resolved once missing information is provided.
Why the GST/HST Credit Remains Important in 2026
With inflation continuing to affect food, housing and utilities, the GST/HST credit remains one of the most effective tools the federal government uses to support lower-income Canadians.
Unlike one-time relief payments, this credit provides ongoing quarterly support, helping households manage everyday expenses throughout the year.
The January 2026 payment sets the tone for the new benefit cycle and offers financial stability during a period when many Canadians need it most.
Final Thoughts
The $698 GST/HST credit confirmed for January 12, 2026 represents meaningful, tax-free support for eligible Canadians. While not everyone will receive the maximum amount, millions of individuals and families are expected to benefit from this quarterly payment.
By filing your taxes on time, keeping your information current and enrolling in direct deposit, you can ensure you receive your payment smoothly and without delays.
As January approaches, staying informed and prepared is the best way to make sure this important credit lands in your account right when you need it.