In 2025, Canada’s Canada Carbon Rebate (CCR)—formerly the Climate Action Incentive Payment—helps offset rising fuel and heating costs caused by carbon pricing.
It provides tax-free quarterly payments, no application required, automatically sent through the Canada Revenue Agency (CRA) to eligible households in provinces under the federal fuel charge.
Key Changes for 2025
- Carbon price increased to $95 per tonne starting April 2025.
- Quarterly CCR deposits in July, October, January, April.
- Rural supplement doubled from 10% to 20%, retroactive from April 2024.
- Payments are automatic and tax-free, based on 2024 tax filings.
When Will You Be Paid?
- July 15, 2025 – First quarterly payment of the year.
- October 2025, January 2026, April 2026 – Remaining payments in line with quarterly cycle.
How Much You’ll Receive by Province and Family Type
Estimates of total annual rebates (2025) including rural top‑up:
| Province | Individual | Couple | Family of 4 | Total with 20% Rural |
|---|---|---|---|---|
| Alberta | $140 x 4 = $560 | $210 x 4 = $840 | $280 x 4 = $1,120 | $1,344 |
| Ontario | $110 x 4 = $440 | $165 x 4 = $660 | $220 x 4 = $880 | $1,056 |
| Manitoba | $120 x 4 = $480 | $180 x 4 = $720 | $240 x 4 = $960 | $1,152 |
| Saskatchewan | $130 x 4 = $520 | $195 x 4 = $780 | $260 x 4 = $1,040 | $1,248 |
| Nova Scotia | $100 x 4 = $400 | $150 x 4 = $600 | $200 x 4 = $800 | $960 |
| Newfoundland | $105 x 4 = $420 | $157 x 4 = $628 | $210 x 4 = $840 | $1,008 |
All amounts are annual totals multiplied by four quarterly payments; rural top-up already applied. Data from Finance Canada and CRA.
Who Is Eligible and How to Qualify
Requirements to receive the CCR:
- File 2024 tax return on time (by April 2, 2025).
- Residents of eligible provinces: Alberta, Saskatchewan, Manitoba, Ontario, New Brunswick, Nova Scotia, Newfoundland, PEI.
- Rural residents tick box on tax return (or automatically if in PEI).
- Valid direct deposit info in CRA My Account.
No separate application—payments are automatic.
Why the Rural Supplement Matters
Living outside urban areas often means higher costs—longer drives, less transit. From June 22, 2024, rural claimants get a 20% top-up on every quarterly payment, retroactive to April 2024.
Why This Rebate Still Matters
- Carbon pricing continues despite political moves—industrial pricing remains in effect.
- Most households receive more back than they pay, especially rural and low-income families.
- It promotes environmental fairness while easing rising energy costs.
Canada’s Carbon Rebate for 2025 offers real relief—up to $1,344 annually for rural families in provinces like Alberta. It’s automatic, tax-free, and based on your latest tax return.
With carbon pricing continuing and energy costs rising, this rebate is a vital support for Canadian households.
To ensure you receive the full amount, file your 2024 taxes on time, confirm your banking and rural status, and mark those quarterly CRA payments on your calendar.
FAQs
Do I need to apply for the carbon rebate?
No—if you filed your 2024 return, CRA will issue quarterly payments automatically.
When will I receive the July 2025 payment?
The CRA confirmed July 15, 2025 as the deposit date for direct deposit accounts.
What qualifies me for the rural top-up?
Residency outside a Census Metropolitan Area in eligible provinces. Check and tick the rural box on your tax return.