CRA benefits could change significantly under Budget 2026, which proposes a larger Canada Groceries and Essentials Benefit payment in early 2027 and a redesigned tax credit for low- and modest-income workers.
The measures were highlighted by the Department of Finance Canada on November 9, 2026, but they remain budget proposals rather than payments that readers can claim immediately.
Their final implementation depends on the necessary parliamentary approvals and legislation.
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What Budget 2026 proposes for CRA benefits
The grocery measure would add a one-time 50% supplement to the Canada Groceries and Essentials Benefit for the 2026-27 benefit year, which runs from July 1, 2026, to June 30, 2027.
The federal budget says the supplement would be delivered as a standalone payment in early 2027.
It is intended for more than 12 million low- and modest-income Canadians who already qualify for the income-tested benefit.
The proposed maximum supplement would be up to $339 for a single person without children and up to $679 for a couple with two children.
Those amounts are separate from the regular benefit structure.
The government says the supplement, combined with other 2026-27 changes, could bring total Canada Groceries and Essentials Benefit support to about $1,290 for a single person without children and as much as $2,570 for a couple with two children.
The government estimates the grocery supplement would provide $4.1 billion in additional support during 2027 and could lift an additional 120,000 people out of poverty.
Build Canada Workers Benefit would replace the current structure
Budget 2026 also proposes to enhance and rename the Canada Workers Benefit as the Build Canada Workers Benefit.
The existing Canada Workers Benefit is a refundable tax credit for low- and modest-income workers.
The proposed changes would lower the working-income threshold at which the benefit begins to phase in, while raising the maximum amounts available.
For the 2027 taxation year, the budget proposes lowering the phase-in threshold from $3,000 to $500.
It also proposes increasing the maximum benefit to $1,859 for a single individual without children and $3,143 for families, including couples and single parents.
The government says the enhanced benefit would support about 1.9 million workers, including approximately 180,000 people who would become eligible for the first time.
Budget documents estimate that the measure could increase support by up to $675 for workers with the lowest incomes, or by nearly $1,000 for those also eligible for the disability supplement.
The proposal would also change how advance payments work.
The Advance Canada Workers Benefit would be reduced to 25% of the previous entitlement for the 2027 taxation year and eliminated beginning with the 2028 taxation year.
The enhanced amount would instead be calculated through the tax system.
Proposed benefit changes at a glance
| Measure | Proposed change | Timing |
|---|---|---|
| Canada Groceries and Essentials Benefit | One-time 50% supplement, up to $339 for a single person without children and up to $679 for a couple with two children | Early 2027 |
| Build Canada Workers Benefit | Higher maximums and a lower income threshold for the phase-in | 2027 taxation year |
| Advance Canada Workers Benefit | Reduced for 2027 and proposed to end for the 2028 taxation year | 2027 and 2028 |
Who could benefit
The grocery supplement is aimed at people and families with low or modest incomes who qualify for the Canada Groceries and Essentials Benefit.
Because the benefit is income-tested, the amount a person receives depends on factors such as family income, marital status and the number of children.
The proposed Build Canada Workers Benefit is aimed at people with employment or self-employment income who meet the existing program’s eligibility rules, subject to the proposed changes.
The lower phase-in threshold would allow the credit to begin supporting eligible workers earlier in the income range.
The budget materials identify single people, lone parents, Indigenous people, newcomers and people with disabilities among groups expected to benefit disproportionately from the affordability measures.
That is an impact assessment, not a guarantee that every person in those groups will qualify.
What Canadians should do now
There is no separate application process announced for the proposed grocery supplement.
Canadians should continue filing their tax returns and keep their marital status, address and dependent information current with the Canada Revenue Agency, since those details are used to administer income-tested benefits.
People who may qualify for the Canada Workers Benefit should also continue filing tax returns and reporting employment and self-employment income accurately.
The final rules, payment dates and administrative instructions will become clearer if Parliament approves the measures and the CRA publishes implementation details.
The proposals come as the federal government says Budget 2026 contains more than $22 billion in new affordability measures over five years.
The grocery and worker-benefit changes are part of a broader package that also includes expanded funding for Nutrition North Canada and a fully refundable Canada Caregiver Credit.
For now, the key distinction is between an announced proposal and an approved benefit.
The amounts described in Budget 2026 should not be treated as guaranteed payments until the legislation passes and the CRA confirms the final rules.
Frequently Asked Questions
Is the 2027 Canada Groceries and Essentials Benefit supplement approved?
It was announced in Budget 2026 as a proposal. It still requires the necessary parliamentary approvals and legislation before it becomes a confirmed payment.
How much could the proposed grocery supplement provide?
The proposed one-time supplement could provide up to $339 for a single person without children and up to $679 for a couple with two children.
When would the proposed grocery supplement be paid?
The federal budget proposes a standalone payment in early 2027 for the 2026-27 benefit year.
What is the proposed Build Canada Workers Benefit?
It would be an enhanced and renamed Canada Workers Benefit for low- and modest-income workers, with a lower phase-in threshold and higher maximum amounts.
Could people apply separately for these proposed CRA benefits?
No separate application process has been announced. Eligibility would generally continue to be assessed through tax information and CRA benefit administration, subject to final rules.
Fact-Checked: Key dates, proposed amounts, eligibility changes and payment timing were checked against Budget 2026 documents and Department of Finance Canada materials.
Disclaimer: These measures are proposed in Budget 2026 and should not be treated as confirmed payments until Parliament approves the legislation and the CRA publishes final guidance.