The Canadian government announced the federal fuel charges and the Carbon rebate elimination for individuals on 15 March 2025. The elimination of federal fuel charges is effective from 01 April 2025, hence, the eligible Canadians will receive their final CCR payment.
The Canada Carbon Rebate was used to offset the cost of taxes or carbon pricing to ensure people can afford essential energy needs, especially people with lower incomes. As per the CRA, the final payment of the carbon rebate will be issued to the eligible Canadians starting from 22 April 2025.
This tax-free payment comes in two components, basic amount and a supplement for people living in rural and small communities. The Canadians who wish to receive this final payment in April must file the 2024 tax and benefit return.
| Final Payment Date | From 22 April 2025 |
| CCR Max. Payout | Up to $456 to Alberta province (family of four) |
| Who qualifies? | People who have filed the 2024 tax returns before 02 April 2025 and meet other CCR eligibility criteria |
| Reason | Elimination of the Federal Fuel charge |
| Elimination Effective Date | 01 April 2025 |
| Official Website | https://www.canada.ca/ |
Who is eligible?
Canadians who meet the following eligibility requirements of the Rebate and final payment amount will receive the upcoming final payment:
- You will receive the rebate if you are a resident of Canada in the month before the payment is made in the respective province.
- The Canada Carbon rebate applies to the following provinces on the first day of the respective payment month:
- Alberta
- New Brunswick
- Ontario
- Manitoba
- Newfoundland and Labrador
- Nova Scotia
- Prince Edward Island
- Saskatchewan
- You should be at least 19 years old; however, if you are under 19, you can receive the payment if you meet the following conditions:
- You had or have a spouse or you have a common-law partner;
- You had or have a child living with you, and you are the parent.
- If the child receives the Canada Child Benefit or the GST/HST credit, the eligible child will be counted in the CCR calculation.
- People who have filed their 2024 income tax returns before 02 April 2025 electronically will receive the upcoming final payment.
Payment Amount
As mentioned earlier, the Canada Carbon Rebate offers a basic amount and a rural supplement to Canadians. According to reports, 80% of Canadians will receive the rebates for the price or tax they paid on Carbon.
The Canadians will receive the CCR payout for the 2025 year based on the family size and the province you are living in. According to the July 2024 update, the amount was decided for the province depending on their family size and other factors, however, the government has not disclosed the payout for April 2025, as the payment may vary depending on the energy consumption.
According to the reports, the family of four living in the CCR-approved province can expect the following payment:
- Alberta: Up to $456
- New Brunswick: up to $330
- Ontario: Up to $302
- Manitoba: Up to $300
- Newfoundland and Labrador: Up to $298
- Nova Scotia: Up to $220
- Prince Edward Island: Up to 220
- Saskatchewan: Up to $412
The recipients living in small and rural communities can also expect 20% of their basic amount as their rural supplement. The rural supplement will be processed based on the 2016 Census data. The government has recently increased the rural supplement from 10% to 20%. Except for Prince Edward Island residents, every other resident of a rural community will be eligible for the rural supplement.
Factors Affecting the Payout
According to the CRA guidelines, the family income does not affect the CCR payout, however, some other factors can affect the rebate payout, such as:
- Your change in situation, like you move to a different province, or change in your marital status, a new child being added to the family, the death of the recipient, a child reaching the age of 19 years, or others that can affect or reduce your payment;
- You have an existing debt with the Canadian government, the CRA may use your rebate payment to cover the debt.
- The rural supplement payout may affect your payment if you move to another place, or with the 20% increase.
No payment after April
Canadians should understand that the CRA payment is rolled out as the new Prime Minister, Mark Carney, has removed the consumer carbon price. The Canadians who have filed their 2024 tax and benefit returns before 02 April 2025 electronically will receive this final payment.
So, if you file the tax return or benefit after 02 April 2025, you will not receive the upcoming payment to be processed from 22 April 2025. Your payment will be made once your 2024 return is assessed and reviewed by the CRA, so you have to wait for the rebate amount.
The new Canadian government has made the no federal fuel charge effective from 01 April 2025, intending to achieve net-zero emissions by 2050. So, till there is a federal fuel charge, there will be no Canada Carbon rebate.