Canadian residents struggling with inflation will soon get some much-needed help, as the Canada Revenue Agency (CRA) has announced a one-time $250 Cost-of-Living Relief Boost for eligible individuals this August 2025.
This non-taxable payment is designed to support low- and middle-income Canadians in covering rising essential costs, such as rent, groceries, utilities, and transportation.
With its timing just before the back-to-school season and increased seasonal household expenses, this boost is set to be a welcome financial relief for many households.
Understanding the $250 CRA Relief Boost
The $250 Relief Boost forms part of the federal government’s 2025 financial assistance plan, aimed at reducing the pressure of rising inflation.
Unlike ongoing benefits, this is a single lump-sum payment that will be automatically issued to those who qualify — no formal application is required.
The goal is to quickly deliver cash support to those most affected by the increased cost of living, avoiding the delays that typically come with application-based programs.
Who Qualifies for the $250 Payment?
Eligibility is based on annual income, tax return filing, and Canadian residency status. You must meet the following conditions to receive the payment:
Eligibility Criteria for the $250 Relief Boost
| Criteria | Details |
|---|---|
| Income Threshold | Annual earnings of $65,000 or less; full payment for those earning under $45,000 |
| Tax Filing | Must have filed your 2024 tax return on time |
| Residency | Must be a resident of Canada in 2025 |
| Eligible Groups | Seniors on OAS or GIS, single parents, low-income workers, students, and people with disabilities |
| Banking Details | Valid direct deposit information or current mailing address must be on file with CRA |
Who Will Not Receive the Payment?
Certain individuals will be excluded from receiving the $250 boost, including:
- Those who have not filed their 2024 tax return or whose return has not been processed.
- Those with incomes exceeding the eligibility limit.
- Those without valid banking or mailing details in their CRA account.
- Individuals under investigation for tax fraud or in dispute with the CRA.
Payment Timeline for August 2025
The CRA will issue the $250 Relief Boost between August 15 and August 31, 2025. The delivery date depends on your payment method:
| Payment Method | Estimated Delivery Time |
|---|---|
| Direct Deposit | Within 1–2 business days after release |
| Cheque by Mail | 5–10 business days, depending on postal service speed |
If your CRA profile is up-to-date and you meet the eligibility rules, you do not need to apply. The payment will be sent automatically.
How to Check Eligibility and Track Your Payment
To ensure you receive your $250 boost without delays:
- Log in to your CRA My Account and review your details.
- Confirm that your 2024 tax return has been filed and processed.
- Verify your direct deposit information or mailing address.
- Check the Benefits and Credits section in your CRA account for payment updates.
If you haven’t received your payment by September 2025, contact the CRA directly or submit an online inquiry.
Stay Alert: Protect Yourself from Scams
The CRA warns that fraudsters often target Canadians during benefit rollouts. Keep in mind:
- The CRA will never request banking details via phone calls, texts, or emails.
- Ignore any messages claiming you must “update your account” to receive payment.
- Access your CRA account only through the official government website.
- Report suspicious messages to the CRA fraud prevention team.
Why This $250 Boost Is Important
While $250 won’t completely offset the challenges of inflation, it can provide meaningful help with:
- Grocery purchases, as food prices continue to climb.
- Utility bills, particularly during high summer cooling costs.
- Transportation costs, including transit passes or fuel.
- Unexpected expenses, such as medication or school supplies.
For low- and moderate-income Canadians, even small boosts can ease monthly financial pressure. The program also reflects the government’s commitment to supporting citizens amid persistent economic challenges.
The $250 Cost-of-Living Relief Boost from the CRA is a timely, one-time payment aimed at helping those hit hardest by inflation.
If you have filed your 2024 tax return, meet the income and residency requirements, and have current details in your CRA profile, you should automatically receive your payment between August 15 and August 31, 2025.
To avoid delays, review your CRA account information today, ensure your banking or mailing details are accurate, and stay alert to potential scams.
This payment may not solve all financial issues, but it offers practical support during a period of rising living costs.
Frequently Asked Questions
Who can receive the CRA’s $250 relief payment?
Anyone earning $65,000 or less annually, who has filed their 2024 tax return, and is a resident of Canada in 2025 can qualify. Special consideration is given to seniors, single parents, students, and people with disabilities.
How will the payment be sent?
Payments are made either by direct deposit or cheque by mail, depending on the payment option in your CRA account.
What should I do if my payment doesn’t arrive by September 2025?
If you haven’t received your payment by then, contact the CRA directly or submit an inquiry via your online account for assistance.