🚨 Five major tax and financial changes in Canada effective July 1st!

On July 1, 2026, **five major tax and financial changes will take effect simultaneously**, without the government issuing a single reminder.

**A policy** could cause millions of elderly people to have their subsidies stopped without warning.

**One item** means the CRA has access to your **six months of cryptocurrency transaction records**.

**One program** directly replaces the tax refunds that 12.6 million Canadians were receiving.

Are you ready? Whether you are or not, these things will happen. 👇 Below, we'll break them down one by one and tell you **5 things you need to do before July 1st**.

Change 1: GST/HST refund officially cancelled → replaced with a name you've never heard of.

### 📌 Current Status:

GST/HST credits will be officially abolished starting in July 2026.

Replace with: **Canada Groceries and Essentials Benefit (CGEB)**

### ✅ Good news:

- The new benefits are **25% higher** than the old tax refund, and will last **5 years**.

- In theory, people who have filed taxes will **automatically transfer** their information.

### ❌ Bad news:

- If you move, your marital status changes, or there are gaps in your CRA records → **it might fall into the gap** Most people have no idea about this new name**, and don't even know what to look up.

### 💰 Comparison of old and new amounts (annual amount):

| Family Type | Old GST/HST | New CGEB |

| Single with no children | Up to 415 | **519** ↑ |

| Single parent with 1 child | Up to 634 | **792** ↑ |

| Couples without children | Up to 544 | **680** ↑ |

| Family of four | Up to 1,512 | **1,890** ↑ |

✅ There is also a **supplementary payment**: received on June 5, 2026.

= 50% of the annual amount (approximately $267 for a single person, approximately $533 for a family of four)

⚠️ Key point: You must **file your 2024 taxes** to receive this money. No taxes filed = 0.

Change 2: GIS (Garbage Income Guarantee) will be recalculated in July → Those who did not file taxes will have their payments suspended.

### 📌 Mechanism:

Every July, Service Canada recalculates GIS based on **your 2025 income**.

GIS: **Up to $1,109.85/month** (single) → Over $13,300/year

### 💀 Fatal Problem:

If you did not file your 2025 taxes**, Service Canada will have no income data → **will not estimate or warn you** → **will directly suspend payments**.

### ⏳ Recovery Process:

1. Submit supplementary tax return for 2025

2. Wait **6–8 weeks** for processing.

3. During this period, **not a single penny was received**.

### ⚠️ Even more ruthless:

GIS can be used to trace and reissue [up to 11 months].

If you stop reporting for more than 11 months, **you will incur losses for the months that exceed this period**.

### 📌 Special Reminder:

Many elderly people who receive GIS (Garbage Income Tax) **have no taxable income** and think, "Since I don't owe any taxes, I don't need to file a tax return" → **This is wrong**.

Filing taxes is not just about paying taxes; it's about **proving your income level** so you can continue receiving benefits.

Change 3: Clawback Trigger Threshold for OAS Pension Funds

### 📌 Mechanism:

- The trigger threshold is 93,454 (based on 2025 revenue) for the period from July 2026 to June 2027.

### 💥 A real-life example:

A 68-year-old retiree typically has an annual income of 80,000.

Selling an investment property in 2025 triggered a capital gain of 200,000, resulting in an income of 280,000 in 2025.

> 👉 **Starting July 2026, OAS will be completely reset to zero**, for a period of 12 months.

### ⚠️ Sources of high-income years that are easily overlooked:

- Large RRSP converted to RRIF and withdrawn

- Sell your vacation home or investment property

- Large severance pay

- Liquidate investments for large expenditures

Even if **there was only one year with high income**, the recovery process still **lasted a full 12 months**.

Change 4: The CRA has access to your cryptocurrency transaction records for the past six months.

📌 The **CARF Framework** (Crypto Asset Reporting Framework) will take effect on January 1, 2026.

All Canadian cryptocurrency exchanges **must collect and report**:

- ✅ Full name, SIN, date of birth, address

- ✅ Every **currency pair** transaction

- ✅ Any transfer exceeding **50,000 USD**

- ✅ Year-end account balance

🎯 Affected platforms:

Canadian platforms: Newton, Bitbuy, Wealthsimple Crypto, Coinsquare, Shakepay

Through OECD multi-country data sharing: **Binance, Coinbase, Kraken** and other foreign platforms also transmit Canadian resident data to the CRA.

⚠️ “I only use foreign exchanges, the CRA can't see them” → **Wrong. This path will be blocked starting in 2026.**

### 💰 Consequences if you don't report your cryptocurrency income:

Penalty for knowingly failing to report tax = **50% of the underreported tax** + interest

Example: $50,000 unreported capital gains, 30% tax rate → Tax $15,000 + penalty $7,500 + interest

**July 1st means: The CRA has collected data for a full six months.** This is not "about to happen," it is "already happening."

Change 5: Gasoline consumption tax to be reinstated in September → 10 points increase per liter

### 📌 Background:

- On April 20, 2026, the federal fuel consumption tax will be **suspended**.

- Gasoline: Saves **10 points per liter**

- Diesel: Saves **4 bonus points/liter**

- Saving Canadian families a total of approximately $2.4 billion.

### 📅 Recovery Time:

**Full resumption on September 8, 2026 (the day after Labor Day)**

### 💸 Impact on ordinary families:

- Two cars, weekly gas → Extra $15–$20 per month → $180–$240 per year

This isn't a new tax, it's a **suspension ending**. But the effect on your wallet will be that starting September 8th, gas will be more expensive.

📋Having seen the major tax and financial changes, what are the 5 things you must do before July 1st?

### ✅ 1. File your 2025 taxes

- Protect your GIS

- Ensure automatic transfer to CGEB

- Provide a basis for OAS recovery calculations

- If you are a senior citizen, or have senior citizens in your family: **Confirm that you have filed your 2025 taxes**, even if your income is zero.

### ✅ 2. Log in to CRA My Account to check your CGEB registration status.

- Check if the benefits summary includes the **Canada Groceries and Essentials Benefit**.

- If you can't see it, or it still uses the old GST/HST name → Contact the CRA

- The one-time reimbursement on June 5th is also linked to this.

### ✅ 3. Calculate your net income in 2025

- If your OAS is close to or exceeds $93,454, prepare a budget in advance for a 12-month reduction or reduction to zero.

- Be especially careful with one-off major events (selling a house, large RRSP withdrawal, severance pay)

### ✅ 4. Organize your cryptocurrency transaction history

- Every transaction in 2026 will be recorded by the platform and reported to the CRA.

- Ensure you are tracking **cost basis and profit/loss**

- If crypto revenue is not reported in 2025 → Consider **voluntary correction** (VDP voluntary disclosure), which may reduce penalties.

### ✅ 5. Make good use of the fuel tax suspension window

Fill up the tank before September 8th.

- Long-distance summer travel should be planned before September.

- Save 10 points per liter, then the bonus will disappear.

Quick link for tax filing; click here to file your taxes