Premier Doug Ford has announced that his government will send out $200 rebates to every Ontario taxpayer in early 2025 in order to help with the rising cost of living.
Ford made the announcement during a press conference in Toronto on Tuesday, noting that “life is too expensive” and the money will help Ontarians deal with expenses related to inflation and the federal carbon tax.
Here is what you need to know about the rebates and when you can expect your cheque:
Will the benefits be linked to income?
All Ontarians who were 18 years or older at the end of 2023 and file their income tax and benefit return for that year by the end of this December will be eligible for the rebate, so long as they are not bankrupt or currently incarcerated. Unlike many other tax benefits, the rebate will not be means tested. That will mean that millionaires or even billionaires will also be receiving a cheque. Speaking with reporters at Tuesday’s press conference, Ford defended the decision to distribute the benefit to all Ontarians, including those with high incomes.
“These are tax dollars going back to the taxpayers. We are going to give it back to every single person in Ontario and if they have a child they are getting an additional $200 because life is too expensive right now,” he said.
What about children?
Taxpayers who qualify for the rebate will receive an additional $200 for each eligible child under the age of 18. The rebate payment for children would be automatically made to the person who currently receives a Canada Child Benefit (CCB) for that dependent. In the case of shared custody the payments would be split based on the CCB. The government says that an “alternative process” will be offered to families who did not qualify for a CCB payment for 2024 but did not provide further details.
Who stands to benefit?
The Ford government says that it anticipates that approximately 12.5 million Ontarians will receive the benefit. Payments will also be issued to the parents or legal guardians of approximately 2.5 million children. The benefit will be distributed to any eligible Ontario taxpayer, regardless of citizenship.
“If they paid taxes in 2023, they are getting a rebate cheque. It is anyone who is paying taxes,” Ford said when asked whether permanent residents and those on work permits would also be eligible.
When can taxpayers expect a cheque?
The Ford government will be mailing out the rebate cheques sometime in early 2025. There will be no requirement to apply to receive the rebate.
“This is a cheque that is going to come very quickly. You don’t have to file a tax return, it is not down the road, it is going to get in your pockets really quick. That is how this government is helping people today because they need help today,” Ontario Finance Minister Peter Bethlenfalvy said during Tuesday’s news conference.
How much is this all costing?
The government has pegged the cost at approximately $3 billion. It has suggested that it is in a position to distribute the money because inflation has produced higher provincial sales tax revenue and because of the federal government’s recent changes to the capital gains tax.