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Cost of Living Relief Act, No. 1 (Targeted Tax Relief)

An Act to amend the Income Tax Act (temporary enhancement to the Goods and Services Tax/Harmonized Sales Tax credit)

This bill is from the 44th Parliament, 1st session, which ended in January 2025.

Sponsor

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill.

This enactment amends the Income Tax Act in order to double the Goods and Services Tax/Harmonized Sales Tax (GST/HST) credit for six months, effectively increasing the maximum annual GST/HST credit amounts by 50% for the 2022-2023 benefit year.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from Parliament. You can also read the full text of the bill.

Bill numbers are reused for different bills each new session. Perhaps you were looking for one of these other C-30s:

C-30 (2021) Law Budget Implementation Act, 2021, No. 1
C-30 (2016) Law Canada-European Union Comprehensive Economic and Trade Agreement Implementation Act
C-30 (2014) Law Fair Rail for Grain Farmers Act
C-30 (2012) Protecting Children from Internet Predators Act

Votes

Oct. 6, 2022 Passed 3rd reading and adoption of Bill C-30, An Act to amend the Income Tax Act (temporary enhancement to the Goods and Services Tax/Harmonized Sales Tax credit)

Debate Summary

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This is a computer-generated summary of the speeches below. Usually it’s accurate, but every now and then it’ll contain inaccuracies or total fabrications.

Bill C-30 proposes amending the Income Tax Act to temporarily double the Goods and Services Tax (GST) credit for six months, aiming to provide financial relief to low-income individuals and families. The increased credit would be delivered as a lump-sum payment through the existing GST system. Concerns have been raised regarding its limited scope and effectiveness in addressing the broader structural issues contributing to the rising cost of living, including inflation, housing affordability, and supply chain challenges.

Liberal

  • Supports GST credit increase: The Liberal party supports Bill C-30, which would double the GST credit for six months to provide targeted support to Canadians struggling with the rising cost of living. This measure aims to provide additional disposable income to help Canadians deal with inflation.
  • Investing in middle class: The party emphasizes its commitment to supporting Canada's middle class and those aspiring to join it, viewing a healthy middle class as essential for a healthy economy. They believe in providing necessary supports to build a stronger middle class and improve the quality of life for Canadians.
  • Criticizes Conservative economic policies: The Liberal party criticizes the Conservative Party's economic policies, particularly their stance on the carbon tax and CPP contributions, accusing them of flip-flopping and prioritizing tax cuts for the wealthy over support for vulnerable Canadians. They contrast their targeted support measures with what they see as the Conservatives' detrimental approach.
  • Supports dental care benefit: Liberals support the Canada Dental Benefit, emphasizing the importance of providing dental care to vulnerable children. They express concern over the NDP's proposal for a fully federally administered program, suggesting that provinces and territories are better suited for delivery.

Conservative

  • Supports immediate relief: The Conservatives support the GST rebate as a form of immediate relief for Canadians struggling with the rising cost of living, but they also believe the government is not addressing the underlying structural issues of the Canadian economy.
  • Criticizes government spending: The Conservatives argue that the government's overspending and inflationary policies have led to the current affordability crisis. They criticize the government's approach of borrowing money to provide relief, stating that it will only exacerbate inflation.
  • Proposes alternative solutions: The Conservatives propose alternative solutions such as eliminating the ArriveCAN app and scrapping the Infrastructure Bank to find cost savings and reduce the burden on taxpayers. They also suggest cancelling planned tax hikes and providing tax relief to stimulate the economy.
  • Highlights affordability struggles: Conservative speakers emphasize the struggles of Canadians to afford basic necessities like groceries, gas, and home heating. They share stories of constituents who are cutting back on food, unable to enroll children in activities, and worried about the rising cost of living.

NDP

  • Supports immediate financial relief: The NDP supports Bill C-30 and Bill C-31 as immediate investments in the well-being of people. They are using their power to get the government to send financial support out to people. They view these bills as something that would never have come from the government without the pressure from New Democrats.
  • Need for systemic change: NDP speakers noted that consecutive Liberal and Conservative governments have eroded the social safety net by putting corporations above everyday people. While the NDP is acting on the immediate need, longer term change is needed. Canada needs a fair taxation system that would close corporate loopholes in order to recover the reported $30 billion lost due to corporate tax avoidance.
  • GST rebate welcomed, but insufficient: The NDP has been calling on the government to double the GST credit for over six months. They welcome this move, but state that it is insufficient, and that this rebate should have come a lot sooner. The NDP will always put people first, but the Liberal government needs to start making real investments in people and their well-being in Canada.
  • Corporate greed is the problem: While fossil fuel companies and big corporate grocery chains are bringing in billions of dollars in profits, people are falling further and further behind. Speakers accuse corporations of using inflation as cover to drastically increase their profits and prices, and taking advantage of the current situation. The NDP believes corporations need to pay for their excess profits so that the money can to go to the government and it can use that money productively for Canadians.

Bloc

  • Support for Bill C-30: The Bloc Québécois supports Bill C-30, as it aligns with their earlier budget expectations. They see it as a small but necessary measure to address the current inflationary crisis and provide financial relief to those who need it most.
  • Need for comprehensive solutions: While supporting the bill, the Bloc emphasizes that a one-time GST-HST cheque is not a comprehensive solution to the broader problem of inflation and rising poverty. They advocate for a more strategic and sustainable approach that includes long-term measures to address the root causes of economic instability.
  • Targeted and intelligent measures: The Bloc calls for government intervention and support that is properly targeted, well thought out, and intelligent to avoid negative effects and waste. They suggest using government surpluses to rebuild the economy, insulate it from future crises, and invest in sectors facing challenges like labor shortages.
  • Focus on vulnerable populations: The Bloc Québécois expresses particular concern for seniors and low-income earners, who are disproportionately affected by inflation due to their fixed incomes. They advocate for measures to help seniors meet their basic needs and enable experienced workers to remain in the workforce.

Green

  • Supports the bill: The speaker supports Bill C-30 because Canadians need help, and the GST rebate will reach 11 million Canadians. The speaker also notes support for Bill C-31, which includes a one-time payment to low-income renters and the beginning of dental care coverage.
  • Bill is a band-aid: While supporting the bill, the speaker characterizes it as a "band-aid" solution that does not address larger economic problems or the potential for a recession. The speaker notes that a band-aid is good when one is bleeding, by the way, but it is not a long-term solution.
  • Global problems: The speaker believes both Conservatives and Liberals oversimplify the problems of inflation and cost increases, and that these problems are global in nature. They also highlight the impact of climate change and international crises like the war in Ukraine on the Canadian economy.
  • Need long-term solutions: The speaker believes that instead of short-term fixes, long-term solutions are needed, such as a wealth tax or a windfall tax on oil and gas profits, anticipating a potential recession.
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Cost of Living Relief Act, No. 1Government Orders

October 4th, 2022 / 5:35 p.m.

Bloc

Jean-Denis Garon Bloc Mirabel, QC

Mr. Speaker, it is good to see that the government is moving forward with certain measures, including the GST credit. We know that when the Liberals send out a cheque, it is usually because an election is on the horizon. I hope that is not the case here.

My colleague talked about increasing old age security by 10% for people aged 75 and over. The Bloc Québécois has long been a voice for Quebec seniors, who are saying that they do not want two classes of seniors and that they want this benefit to be similarly increased for people aged 65 to 74.

I have the following question for my colleague. When it comes to the rising cost of living, what is the difference between someone who is 74 and someone who is 75? Why would the Liberals deprive a 74-year-old of the old age security increase?

Cost of Living Relief Act, No. 1Government Orders

October 4th, 2022 / 5:35 p.m.

Liberal

René Arseneault Liberal Madawaska—Restigouche, NB

Mr. Speaker, I thank my hon. colleague for his question. The difference is that there have always been age limits in Canada in every segment of society. For example, one must be 16 to get a driver's licence.

This measure is for people 75 and up. The increase was set out clearly in our election platform.

What we would like to help people understand is that, statistically, the cost of care is much higher for people over 75 than for those under 75. Many more people live alone at 75, twice as many. At 80, there are three times more widows and widowers. That is the rationale behind the age limit.

However, the measures we are now considering in Bill C‑30 and Bill C‑31 target the hardest-hit Canadians and will help them deal with inflation rates.

Cost of Living Relief Act, No. 1Government Orders

October 4th, 2022 / 5:35 p.m.

Conservative

Marilyn Gladu Conservative Sarnia—Lambton, ON

Mr. Speaker, the Conservatives will always support lower taxes and putting more money back into the pockets of Canadians, but I wonder why the government brought forward the idea in Bill C-30 that with one hand it is going to give some money back to Canadians, but with other hand it is going increase payroll taxes and the carbon tax and take that money back. Would the member please explain why the government is doing that?

Cost of Living Relief Act, No. 1Government Orders

October 4th, 2022 / 5:40 p.m.

Liberal

René Arseneault Liberal Madawaska—Restigouche, NB

Mr. Speaker, I thank my colleague for her interesting question. I think countries are asking themselves very important questions about the climate crisis.

The official opposition keeps harping on about the carbon tax. Our goal here, in the midst of the global inflationary crisis, is to focus on helping those hardest hit.

With respect to the carbon tax, the provinces have the power to give it back to people, and we hope they will work together to do that. Nevertheless, Bill C‑30 and Bill C‑31 are a balanced approach to helping people in a way that does not exacerbate inflation. I hope all members will support this bill.

Cost of Living Relief Act, No. 1Government Orders

October 4th, 2022 / 5:40 p.m.

NDP

Alexandre Boulerice NDP Rosemont—La Petite-Patrie, QC

Mr. Speaker, I thank my colleague for his speech, but I just want to point out that dental care for children, the higher GST tax credit and the housing benefit top-up all came about because the NDP forced the Liberals to introduce them. This is a minority government, and we used our position of strength to get results for people.

The rising cost of living is hurting people, so why stop there? Oil companies and big grocery chains are making record profits, so why not tax those excessive profits, take that money back and create a real universal pharmacare program, for example?

Cost of Living Relief Act, No. 1Government Orders

October 4th, 2022 / 5:40 p.m.

Liberal

René Arseneault Liberal Madawaska—Restigouche, NB

Mr. Speaker, I thank my colleague for his question.

All good ideas and good debates that aim to help our society are welcome in the House. I must give credit to all the members who support this bill, whether it is that or dental care, as he explained.

The problem we have on a global scale right now is an inflationary crisis, and the basic rules of macroeconomics dictate that we target as much as possible the people we want to help, so as not to exacerbate the crisis. That is what the bill does. We need to focus on that, specifically, helping Canadians and targeting those who need it the most and who are struggling the most. Those are the people Bill C-30 will help.

I am counting on all members to support this bill.

Cost of Living Relief Act, No. 1Government Orders

October 4th, 2022 / 5:40 p.m.

The Deputy Speaker Chris d'Entremont

It being 5:43 p.m., the House will now proceed to the consideration of Private Members' Business as listed on today's Order Paper.

The House resumed from October 4 consideration of the motion that C-30, An Act to amend the Income Tax Act (temporary enhancement to the Goods and Services Tax/Harmonized Sales Tax credit), be read the third time and passed.

Cost of Living Relief Act, No. 1Government Orders

October 5th, 2022 / 4:25 p.m.

The Speaker Anthony Rota

I wish to inform the House that because of the deferred recorded division, Government Orders will be extended by 50 minutes.

Resuming debate, the hon. Parliamentary Secretary to the Minister of Natural Resources.

Cost of Living Relief Act, No. 1Government Orders

October 5th, 2022 / 4:25 p.m.

Labrador Newfoundland & Labrador

Liberal

Yvonne Jones LiberalParliamentary Secretary to the Minister of Natural Resources and to the Minister of Northern Affairs

Mr. Speaker, I am very pleased today to rise and speak on third reading of Bill C-30. Bill C-30 addresses the cost of living for many Canadians by looking at targeted relief programs. In this bill and the previous bill, that includes tax relief by increasing the GST credit and the HST rebate for low-income earners or those whose incomes are under the $39,000 threshold per year, and also the implementation of dental care benefits.

We know on this side of the House that Canadians are having a difficult time right now. Many of them are certainly feeling the rising cost of living, no matter where they live in this country. Those living in the north are probably seeing those costs escalate at a higher rate and by a larger margin, as many others in northern Canada can attest, but it is happening throughout the country, whether it is higher food prices or higher prices on other commodities, especially building materials, for example. I have heard so many people talk about not being able to do maintenance and repairs on their homes because of the doubling and tripling costs of building materials.

I have heard many stories from families living on low incomes, who are having difficulty meeting the food security needs within their families. The one we hear quite often is the rising cost of fuel services, vehicles and the purchasing of all commodities in people's lives. For those who travel because they have kids who participate in many events across the country, in sports, in theatre and in student exchanges, participation in all of these things is costing more every single day.

We know that affordability is getting more difficult for many families, but we also know there is a limit as a government in terms of what we can do. We have introduced targeted measures that we hope will make it a little easier for so many families in this country. Those targeted measures will be an investment of over $12 billion in new supports for families.

One of them that I want to talk about today is the doubling of the GST credit for six months, as is proposed in this bill. By doing that, we are allowing many families with lower incomes to have extra money that will enable them to meet some of the demands and needs for household costs they are currently having to deal with. I know, for example, there are many families across my riding, especially many seniors, who are on the low-income spectrum and having to run their homes and families. I know this will make a huge difference for them. Having that extra money coming in over that six-month period will certainly help them get to where they need to be.

The investment in the HST rebate program, which will give extra money to low-income families, will mean an extra $2.5 billion of investments by the Government of Canada that will go to low-income families and seniors who need them. This will help them through this critical period of time, and it is a necessary investment by the government right now. I know we often take tremendous criticism on this side of the House for investing in programs that are supporting food security, heat security, children and families, but we do not make any apologies for this, because we know that in the time we are in, this financial assistance is totally necessary.

I hear from so many seniors in my riding who live on low incomes and are experiencing challenges with the higher food prices and with the ordinary cost of running their homes. I know this plan of doubling the GST credit for the next six months is going to make a huge difference to them.

The other thing we are doing with the cost of living relief act is that we would bring in the Canada dental benefit. This is a benefit that would allow many families who have no health insurance coverage for dental care to get the dental services they need for their children under the age of 12.

This is a program we would phase in over the next couple of years, but the first phase of the program, which would be implemented immediately, would provide the benefit to Canadians who do not have dental insurance policies, have an income of less than $90,000 annually and have children under the age of 12 years old. Those children would be able to access dental services as a result of this legislation. At this point, it would specifically be for children under the age of 12 in families who do not have dental care and an income of $90,000 a year or less.

Under the Canada dental benefit, direct payments would be made over a two-year period, which would allow people to claim back up to $1,300 per child for dental care services. This would start this year.

The next phase of the program would ensure seniors have dental coverage and that other Canadians have the coverage they need for dental care, depending on their income levels. It is expected that under this particular program over 500,000 Canadian children would benefit. Nearly $1 billion has been targeted to provide this particular service.

I know a lot of people are wondering how the benefit would work, how it would be paid out and how long it would take for the first stage of the government's plan to deliver coverage for families and get to the next level of care, which would be for seniors. I want to confirm the provinces and territories and private industry have all been engaged with regard to timelines, the longevity of the program and how it would roll out. The government remains committed to implementing this dental care program.

This is going to have a huge impact on many families and children. I remember growing up in the north in a community with no dental services, and we had to fly out for those services. If a child would go to a hospital with a toothache, the first thing they would do is pluck the tooth and not provide any other dental care.

We have moved way beyond that in Canada. Looking after the dental needs of kids helps prevent other diseases and illnesses. I know I am going to run out of time but I would like to tell a very short story. A lady was having many problems with her back, and doctors could not figure out what it was. They eventually determined she had a disease of her teeth and gums that was affecting all her body and causing infections that were causing so many other illnesses. It just goes to show that, if a person looks after their teeth and their dental hygiene, it can provide much better health outcomes for children and for all people in the population.

I am really happy to support the bill, to support the increase in HST for families who are earning $39,000 and under, and to support dental care for kids under 12 in Canada. These are good moves that help with affordability for many families. I hope my colleagues will support the bill.

Cost of Living Relief Act, No. 1Government Orders

October 5th, 2022 / 4:35 p.m.

Conservative

Glen Motz Conservative Medicine Hat—Cardston—Warner, AB

Mr. Speaker, as I have looked at parts of this, I am curious to know how this bill would actually have a positive impact on the underprivileged, those who have a limited income, when the department and the act say that tax filings are going to be used from the CRA to make the determination of who gets this funding. Reports I have been seeing indicate the concern around this bill is that those individuals who really need it will not get it because they are not going to be filing CRA income tax returns.

I want to know what the parliamentary secretary thinks of that particular concern that Canadians have raised.

Cost of Living Relief Act, No. 1Government Orders

October 5th, 2022 / 4:35 p.m.

Liberal

Yvonne Jones Liberal Labrador, NL

Mr. Speaker, first of all, in order to provide the HST or GST supplement to Canadians, they have to be qualified for it. That means they have to be under certain income thresholds in order to be eligible. Obviously, the real place to go is to check with the CRA as to what their last income tax earnings were. It will be based on that.

What I can say is that, from our projections, this will be able to support about 11 million Canadians with regard to additional income under the GST program.

Cost of Living Relief Act, No. 1Government Orders

October 5th, 2022 / 4:40 p.m.

Bloc

Kristina Michaud Bloc Avignon—La Mitis—Matane—Matapédia, QC

Mr. Speaker, I thank my colleague for her speech.

This is a fairly simple bill that gets right to the point. I think it is a good measure that will in fact give low-income Canadians a break in this time of inflation.

My colleague spoke of seniors in her speech. We know that retired seniors are on a fixed income and that those who have a very low income receive the guaranteed income supplement. Those who applied for the CERB or the CRB last year will receive reduced GIS payments this year.

I would like to know if my colleague thinks it would be a good idea not to reduce this benefit payment so seniors can get a break.

Cost of Living Relief Act, No. 1Government Orders

October 5th, 2022 / 4:40 p.m.

Liberal

Yvonne Jones Liberal Labrador, NL

Mr. Speaker, when it comes to seniors that is a really good question. I think we have all had to deal with this over the last few months.

First of all, for any seniors who are under the threshold, in terms of what their supplementary allowances provide them in Canada based on their incomes, it did not change. While there was extra money paid out and extra benefits paid out, most of the people who were impacted were people who had other smaller pensions coming in from the side, so their cumulative income reached a different threshold level with that bump in payment.

What I can say is that very few seniors in this country who are dependent upon supplementary benefits have any room at all to make adjustments in their budgets. Their incomes are very fixed and they have very little room in terms of other escalating costs that may be happening in their lives. I think increasing the GST for many of these people will be a tremendous help for them, going forward.

Cost of Living Relief Act, No. 1Government Orders

October 5th, 2022 / 4:40 p.m.

NDP

Gord Johns NDP Courtenay—Alberni, BC

Mr. Speaker, I certainly send strength to Newfoundlanders as they rebuild from hurricane Fiona. We, as New Democrats, will be there to support my colleague's efforts as well.

It is great in this House to see the Liberals come on board and support the doubling of the GST tax credit. Even the Conservatives and the Bloc, all parties, are getting on board so this is an exciting moment. My colleague talked about dental care, which she voted against a year ago. It is great to hear the Liberals get on board with dental care. We need a health care system that is head to toe.

Mental health is health. Just yesterday it was announced that 35% of the respondents to the Mental Health Commission survey, people across Canada, said they had mental health challenges. One out of three did not even access care because they could not afford it or could not get access to it.

Will our colleague tell us when they will roll out the $4.5-billion mental health transfer that Liberals promised Canadians to help them get the help that they need.