With inflation tightening budgets, the Canada Revenue Agency (CRA) is set to release a $250 tax-free one-time payment this August 2025 to eligible Canadians.
Here’s everything you need to know—who qualifies, when payments land, how it works, and why it matters.
What Is the $250 CRA Relief Boost?
- A tax-free, auto-issued benefit from the CRA.
- Targeted at low‑ and middle‑income individuals, especially seniors, who meet criteria based on 2024 tax returns.
- Issued in August 2025, separately from monthly benefits like OAS, GIS, GST/HST credit, and the upcoming Working Canadians Rebate.
This initiative offers quick financial relief—no application required.
Who’s Eligible?
To receive the $250 payment, you must meet the following:
Criteria Requirement
- Age 65+ as of July 1, 2025 (primarily)
- Income (2024) <$25,000 individually or <$40,000 as a couple
- Program enrollment : Receiving OAS, GIS, or similar
- Tax filing : File 2024 return by June 30, 2025
- Tax credit alignment Llinkedto eligibility through GST/HST or CRA data
Additionally, the Working Canadians Rebate benefited 18.7 million Canadians earlier in 2025; however, this new $250 boost focuses on vulnerable groups.
Payment Timeline & Delivery
- Payment window: August 8–15, 2025, for direct deposit; cheques follow .
- For paper cheques, allow additional mailing time (likely through late August).
- To avoid delays, ensure that your CRA My Account is updated with your current bank information or address by the end of July 2025.
- Payments will appear labeled “CRA $250 Benefit” and are not taxable, nor will they impact existing benefits .
How It Works
- CRA uses 2024 tax data and benefit enrolment to determine eligibility.
- No separate application is required.
- CRA issues payments based on the information in the file.
- Funds arrive via direct deposit or cheque during August.
This mirrors other streamlined CRA programs, such as the GST/HST credits and the Working Canadians Rebate.
Why It Matters
- Helps manage urgent expenses, such as groceries, utilities, and medication.
- Provides timely assistance to low-income seniors and households with fixed incomes.
- Uncomplicated, automatic distribution ensures swift delivery.
- Supplements other rebates without affecting pensions or existing supports .
The CRA’s $250 August boost provides quick, automatic financial relief for tens of thousands of Canadians—especially low-income seniors—without requiring an application or risking existing benefits.
If you’ve filed your 2024 taxes and are receiving federal support, check your CRA My Account to confirm your information is up to date.
Expect the deposit or cheque between August 8 and 15, 2025, and enjoy some relief during these inflationary times.
FAQs
Who qualifies for the CRA $250 payment?
Eligible individuals include seniors aged 65 and above, those with incomes below the thresholds, and benefit recipients (OAS, GIS), with 2024 returns filed by June 30, 2025.
When will I receive the payment?
Direct deposit users: August 8–15, 2025. Cheques: mid-to-late August, depending on postal delivery.
Is this payment taxable, or will it affect my benefits?
No—it’s tax-free, and won’t reduce any current federal benefits like OAS, CPP, or the GST/HST credit.