The Ontario government has started sending out $200 cheques to taxpayers in a move they say is aimed at addressing the high cost of living.
“Many people are struggling to pay the bills,” Finance Minister Peter Bethlenfalvy said in an interview on CP24 Breakfast. “So we thought it was very important to put some money, their money, taxpayers’ money back at a time when we’ve got financial strength and when people could use, families could use a few extra dollars.”
In a statement, the province cited “the federal carbon tax, high interest rates and global economic uncertainty” as justification for the rebates.
The cheques are being sent out to eligible Ontario residents. That includes people who were residents of Ontario and were at least 18 years old at the end of 2023. To qualify, you must also have filed your 2023 income tax return by the end of last year. Those who were bankrupt or incarcerated in 2024 are not eligible.
Families who qualify for the Canada Child Benefit (CCB) payment will also receive a separate cheque of $200 for each eligible child under the age of 18.
Premier Doug Ford announced the rebates back in October. Sending them out will cost the provincial government $3 billion.
Opposition leaders have slammed the move as a “gimmick” to bribe voters with their own money. Liberal Leader Bonnie Crombie said when the cheques were announced that an income tax cut would provide more meaningful relief.
Speculation growing for early election
The cheques go out as speculation grows that Ford will call an early election for Ontario instead of waiting until the next scheduled election date in June 2026. He said this week that in the face of tariff threats from president-elect Donald Trump, he would need a mandate to spend billions of dollars to boost Ontario’s economy.
Speaking about the tariff threat Friday, Bethlenfalvy said “all options” are on the table when it comes to Ontario’s response.
“We come from a position of strength. But fundamentally, our job is to protect Ontarians, their jobs, the businesses, the families. And we’ll use all tools at our disposal. All options are on the table,” he said.
Asked why the government would need a new mandate if they have a strong majority at Queen’s Park, Bethenfalvy indicted that the government might have to renege on a promise to balance its books in order to respond to possible tariffs.
“Well it’s their (taxpayers’) money,” he said. “And you know where we’ve got a path to balance, if we’re going to respond to what may happen, I think it’s fair to say, ‘hey, you know, what are we going to do with your money?”
He noted that his party ran on the budget he tabled back in 2022. In the fall economic statement in October, the government said it expected to balance the books by the 2026-27 fiscal year.
Spending billions of dollars to stimulate a tariff-hammered Ontario economy would likely change that math.
Bethenfalvy said he has been meeting with finance ministers from other provinces to discuss the tariff threats and that they are taking them “extremely seriously.”
Still, he said Ontario has a number of strengths if things do escalate. He pointed to critical minerals, energy, and the fact that so many U.S. states count Canada as their number one export market.
The province said residents can track their cheques online to see when they will arrive.
