Canada Groceries and Essentials Benefit Act

An Act to amend the Income Tax Act

Sponsor

Status

This bill has received Royal Assent and is, or will soon become, law.

Summary

This is from the published bill.

This enactment amends the Income Tax Act in order to increase the maximum annual Goods and Services Tax/Harmonized Sales Tax credit (GSTC) amounts by 50% for the 2025-2026 benefit year. It also amends that Act to increase the maximum annual GSTC amounts by 25% as of the 2026-2027 benefit year for a period of five years.

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-19s:

C-19 (2022) Law Budget Implementation Act, 2022, No. 1
C-19 (2020) An Act to amend the Canada Elections Act (COVID-19 response)
C-19 (2020) Law Appropriation Act No. 3, 2020-21
C-19 (2016) Law Appropriation Act No. 2, 2016-17

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-19 amends the Income Tax Act to create the Canada Groceries and Essentials Benefit, providing low- and moderate-income Canadians with additional financial assistance through GST credit increases.

Liberal

  • Provides direct financial support for essentials: Bill C-19 creates the Canada groceries and essentials benefit, offering a one-time GST credit top-up and a 25% increase for five years to help low- and modest-income Canadians with rising costs.
  • Part of a broader affordability strategy: This benefit is the newest addition to a coherent suite of public policies, including existing benefits and programs, aimed at improving affordability and economic resilience for Canadians.
  • Addresses root causes and food security: The government supports a national food security strategy to increase domestic production, review competition rules, and reduce dependence on imports to stabilize food prices long-term.

Conservative

  • Supports immediate relief in bill C-19: Conservatives support the bill's expansion of the GST credit and one-time top-up as immediate relief for struggling families, but they emphasize it is not a genuine solution.
  • Bill C-19 fails to address root causes: They argue Bill C-19 is a temporary band-aid that does not address the underlying causes of high food prices, which are driven by Liberal policies like inflationary spending and various taxes.
  • Liberal policies cause food inflation: Conservatives contend that massive deficits, reckless government spending, and taxes like the industrial carbon tax and fuel standard tax are directly responsible for rising food costs.
  • Proposes permanent solutions to lower prices: They propose permanent solutions, including scrapping the food packaging tax, eliminating carbon and fuel standard taxes, reversing inflationary deficits, and boosting grocery competition to lower food prices.

Bloc

  • Supports aid, criticizes method: The Bloc supports the bill's objective of helping people with the high cost of living, noting its unanimous adoption, but questions the government's chosen method of one-off payments rather than permanent or monthly support.
  • Criticizes government's approach: The party views the measure as a short-term marketing ploy rather than a comprehensive solution, expressing distrust regarding the timing of the one-off cheque and the government's lack of long-term vision.
  • Highlights systemic issues: The Bloc emphasizes that the bill fails to address underlying systemic issues such as discrimination against seniors, the urgent need for employment insurance reform, and severe regional disparities in food access and cost.
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Canada Groceries and Essentials Benefit ActGovernment Orders

February 4th, 2026 / 4:35 p.m.

Bloc

Gabriel Ste-Marie Bloc Joliette—Manawan, QC

Mr. Speaker, of course, we support this measure, which targets the people who need it most. However, I have two questions.

First, why not make the payment monthly? Receiving the payment every three months could cause some people to accumulate credit card debt for three months, and they would have to pay interest on that. If they received a cheque every month, that could reduce the interest they pay on their credit cards. I would like to hear my colleague's thoughts on that.

Second, the government presented its budget just a few months ago. Why did it not include this measure, which will cost several billion dollars, in its budget plan so that we could get a comprehensive picture of the public finances? We are talking about a deficit of $78 billion, plus a few billion extra this year. Why did the government not include this measure in the budget?

Canada Groceries and Essentials Benefit ActGovernment Orders

February 4th, 2026 / 4:35 p.m.

Liberal

Ron McKinnon Liberal Coquitlam—Port Coquitlam, BC

Mr. Speaker, I will refer to my predecessor, who answered the question about whether payments are monthly or quarterly. It is a practical matter of getting things out in an efficient and effective manner.

In terms of the overall budget that we presented before Christmas, it still has to be passed. It still has to go through all the steps it needs to go through. This is faster. This will allow us to deal with some of the intermediate problems that we are going to face over the coming months in a much quicker way.

Canada Groceries and Essentials Benefit ActGovernment Orders

February 4th, 2026 / 4:35 p.m.

Nipissing—Timiskaming Ontario

Liberal

Pauline Rochefort LiberalParliamentary Secretary to the Secretary of State (Rural Development)

Mr. Speaker, I really appreciate how my colleague for Coquitlam—Port Coquitlam outlined all the measures the government has encouraged to make life more affordable for Canadians. I am very interested in knowing how the citizens in his riding are responding to these measures.

Canada Groceries and Essentials Benefit ActGovernment Orders

February 4th, 2026 / 4:35 p.m.

Liberal

Ron McKinnon Liberal Coquitlam—Port Coquitlam, BC

Mr. Speaker, I believe that my constituents are very happy with the results that we are producing. I have heard very solid and promising comments from people. They are very excited to see the outcome of the budget when it happens, and certainly, in the interim, to see measures like this take effect.

Canada Groceries and Essentials Benefit ActGovernment Orders

February 4th, 2026 / 4:35 p.m.

Conservative

Kelly DeRidder Conservative Kitchener Centre, ON

Mr. Speaker, the member opposite did a very good job of giving scenarios of who would get this credit. What was not mentioned, though, is that less than 30% of the population will actually be supported by this.

That being said, the government has looked to the opposition for support to pass this, which we will. Why was the same collaboration not extended to us, as the opposition, when we wanted to address the root cause of grocery prices, which would support 100% of Canadians by actually reducing grocery prices?

Canada Groceries and Essentials Benefit ActGovernment Orders

February 4th, 2026 / 4:35 p.m.

Liberal

Ron McKinnon Liberal Coquitlam—Port Coquitlam, BC

Mr. Speaker, I would say that we are always open to collaboration with the opposition benches. We are looking for solutions for Canadians and moving things forward in a coherent and efficient manner.

Canada Groceries and Essentials Benefit ActGovernment Orders

February 4th, 2026 / 4:35 p.m.

The Deputy Speaker Tom Kmiec

It is my duty, pursuant to Standing Order 38, to inform the House that the question to be raised tonight at the time of adjournment is as follows: the hon. member for Riding Mountain, Finance.

Canada Groceries and Essentials Benefit ActGovernment Orders

February 4th, 2026 / 4:35 p.m.

Conservative

Leslyn Lewis Conservative Haldimand—Norfolk, ON

Mr. Speaker, I would like to seek unanimous consent to share my time with the member for Edmonton Southeast.

Canada Groceries and Essentials Benefit ActGovernment Orders

February 4th, 2026 / 4:35 p.m.

The Deputy Speaker Tom Kmiec

Does the hon. member have unanimous consent?

Canada Groceries and Essentials Benefit ActGovernment Orders

February 4th, 2026 / 4:35 p.m.

Some hon. members

Agreed.

Canada Groceries and Essentials Benefit ActGovernment Orders

February 4th, 2026 / 4:35 p.m.

Conservative

Leslyn Lewis Conservative Haldimand—Norfolk, ON

Mr. Speaker, I want to begin today not with statistics but with the lived experiences of people from my riding, Haldimand—Norfolk, and also from the residents of Canada.

A constituent recently told me about standing in the checkout line at the grocery store and slowly watching the price climb and climb. Knowing how much money she had in her bank account, she slowly started to put items back to save herself embarrassment. The items that she was putting back were not treats for the family or luxury items; they were basic food items she needed for sustenance.

A family shared that they stopped buying meat regularly. They eat chicken occasionally, and beef has become rare in their household of four. The change in their diet has not come by choice; they have had to adopt it out of necessity.

A single dad told me something that no parent should have to share: He eats less so that there's enough food for his kids to eat. When parents are skipping meals so that their children do not go hungry, something in our country is deeply wrong. It is not about families budgeting better or making lifestyle choices; it is about dignity.

A father called my office last week to tell a story, and he was in tears. He told us that he had a good job and income, but for the first time, his wife had to go to the food bank. The sense of shame that he felt because he was no longer fully able to provide for his family brought him to tears and to call my office to share his story.

Canadians are struggling to understand why life has become so unaffordable so quickly. Canadians were promised a dream that if they worked hard, they could earn a good living and at least be able to afford the basic necessities, such as food. They worked, planned, sacrificed and budgeted carefully, but still they are falling behind. When groceries become a breaking point, we are no longer talking about affordability; we are talking about survival.

The government has presented Bill C-19 as a solution to the affordability measure. However, Bill C-19 would send money after the prices of groceries have already risen. It would do nothing to lower grocery prices: It would not reduce the price of producing or transporting food, and it would not increase competition, which would lead to lower grocery prices. This bill merely treats affordability as a household income problem, not a cost of living problem.

The government falsely concludes that by spending a few dollars on Canadians through a rebate, the cost of living problem that was caused by inflationary spending and unnecessary fuel tax and industrial carbon tax will be resolved by these rebate cheques. Canadians are smart, so they know that this is not going to solve the problem. They know that a rebate does not make chicken cheaper, a benefit does not lower the cost of bread, and a top-up does not reduce the fuel cost embedded in every item on the grocery store's shelf.

People tell me plainly when they call my office that the money is gone before the month is even over. Families are left asking, “Why is food still expensive if the government promised to make food more affordable?” That question matters, because if it goes unanswered, it erodes public trust. The solution to food insecurity is to bring down the cost of food, plain and simple: Make food that we need for our daily survival more affordable.

Being able to afford food is human dignity. Let us speak honestly for a moment about what food insecurity does to the average person. It creates stress. It creates anxiety. It creates shame. Knowing they are struggling to feed themselves and their family members is something that can bring a person to tears, like that gentleman who called my office.

Parents do not talk openly about skipping meals; they hide it. Children feel the stress of survival when there is not enough food to go around. Even when parents are hiding it from them, the children know there is something happening in the household. Meals get smaller. Choices get narrower. Nutrition suffers. This is not just an economic issue. It is also a public health issue, a mental health issue, a social cohesion issue. No rebate can undo the damage that is caused to someone's dignity when they cannot afford to feed themselves and their family.

If we are serious about the food affordability crisis, we must be honest about the causes. Food prices are driven by energy and fuel costs that have excess taxation, such as the fuel standard tax and the industrial carbon tax. They are driven by transportation costs and taxes on the industry and also by regulatory burdens. They are driven by carbon charges embedded throughout the supply chain and also by weak domestic food-processing capacity. Every one of these costs shows up on the shelf and makes food more expensive, yet Bill C-19 removes none of these causes.

One of the quiet injustices of an approach that gives Canadians a food rebate, almost like giving them a food stamp, is that many struggling families get left out. Working families who are struggling often get nothing. Families who are not well off but earn just above the eligibility requirement receive no benefit. There are hard-working families and individuals who are doing everything right, yet they are still falling between the cracks. Canadians do not want handouts. For those Canadians seeking real affordability, a government rebate will not help them do better and be able to afford food, but permanently lowering food prices will have an immediate impact.

In closing, I will end the same way I began. We have a food affordability crisis. Parents are skipping meals. Families are cutting protein out of their diets, and Canadians are quietly putting food back on the shelves at the grocery stores. Canadians need relief that lasts. They want their dignity back, and they do not want their survival to be based on government subsidies. They want to live with dignity in a country they love. Canadians need better than rebates. They need lower prices, honest policy and solutions that address causes, not a band-aid solution or a temporary cheque that robs them of their dignity.

Canada Groceries and Essentials Benefit ActGovernment Orders

February 4th, 2026 / 4:45 p.m.

Liberal

Arielle Kayabaga Liberal London West, ON

Mr. Speaker, it does sound like my hon. colleague supports this measure and she is going to support it, because this is what Canadians want in this moment. Why would we spend more time discussing a bill we know we are going to support? Canadians need it right now. She just talked about the many people in her riding, even families, who do not even qualify for this measure. She understands the environment people are in right now.

Why wait instead of just voting for this bill so that it can move fast? Why are Conservatives so stuck on obstructing?

Canada Groceries and Essentials Benefit ActGovernment Orders

February 4th, 2026 / 4:45 p.m.

Conservative

Leslyn Lewis Conservative Haldimand—Norfolk, ON

Mr. Speaker, we spend time on things that are important to Canadians. We spend time on explaining how things that impact their daily lives and their survival will play out so they can understand, because they pay our salaries. It is very important that we have a debate on real substantive issues, not just band-aid solutions. When people are going to food banks in the hundreds of thousands, when people's dignity is lost, it is important that we spend the time to get it right.

Canada Groceries and Essentials Benefit ActGovernment Orders

February 4th, 2026 / 4:45 p.m.

Bloc

Gabriel Ste-Marie Bloc Joliette—Manawan, QC

Mr. Speaker, I have two questions for the member.

The government is proposing a measure that we welcome and support because it will really help people, but it is going to cost a lot of money. Why did the government not include that measure in the budget that was tabled just a few months ago so that we could see the overall fiscal plan? We were already talking about a $78-billion deficit. This measure will add an extra $3.1 billion for this year and nearly $12 billion more over five years. Why does my colleague think that the government did not include this measure in the budget?

Also, my colleague touched on this at the beginning of her speech: Should these payments not be monthly so people have more cash flow, rather than going into debt over a longer period and incurring interest charges?

Canada Groceries and Essentials Benefit ActGovernment Orders

February 4th, 2026 / 4:50 p.m.

Conservative

Leslyn Lewis Conservative Haldimand—Norfolk, ON

Mr. Speaker, these are very good questions, and that is why we are here discussing this issue. The hon. member asked why these payments were not made monthly. People call my office daily, telling us that at the end of the month they do not have enough for food. A rebate is not going to do it. A rebate is not going to be the solution.

This should have been something that was contemplated in the budget, because affordability measures are so important. For example, the industrial carbon tax is something that could easily fix the food affordability crisis if it was just removed, as we have asked for as Conservatives.