If you are hearing talk of a Canada Carbon Rebate in October 2025, it’s critical to know what the government has officially confirmed.
The Canada Carbon Rebate (formerly known as the Climate Action Incentive Payment) provided quarterly relief under carbon pricing, but the federal government has ended the program for individuals.
This article explains what changed, who was eligible when it existed, the last payment dates, and what 2025 residents need to know.
What happened to the Canada Carbon Rebate program?
The Canada Carbon Rebate is no longer in effect.
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According to the Canada Revenue Agency, the program for individuals was closed, and the federal fuel charge (carbon price on consumers) was eliminated.
More precisely, the government ceased the federal fuel charge and ended further quarterly rebates after the April 2025 payment.
Thus, there will be no new rebate payment in September 2025 for consumers.
What were the payment dates when the rebate was active?
When the rebate was active, the CRA delivered it quarterly on the 15th of April, July, October, and January.
If the 15th fell on a weekend or statutory holiday, the payment was made on the last preceding business day.
So, the Canada Carbon Rebate does not apply now, because the October rebate (that would cover September) was already the final one.
Who was eligible when the rebate existed?
Under previous rules, eligibility for the Canada Carbon Rebate required all of the following:
- Being a resident of Canada for tax purposes at the beginning of the month in which the rebate is paid.
- Living in one of the provinces where the federal fuel charge applied.
- Being at least 19 years old in January of the year the base is calculated—though some people younger could qualify if they lived with a spouse/common-law or dependent children.
- Having filed your tax return for the base year used to calculate the rebate.
Because the program is closed, there is no active eligibility for new rebates.
How much were rebates when they were given?
When refunds were active, the Canada Carbon Rebate amounts varied by province and family structure. For example:
- For the “first adult” in provinces like Alberta, Ontario, and others, the quarterly base amounts ranged from $95 to $225, depending on the province.
- A rural supplement (20%) was added for residents of small or rural communities.
These amounts were not income-based—they depended on province, number of adults and children, and whether the recipient resided in rural areas.
Why was the rebate program ended?
The primary reason for ending the Canada Carbon Rebate was the elimination of the federal fuel charge as part of policy changes in 2025.
On March 15, 2025, the government stopped applying the consumer carbon price and officially closed the rebate for individuals.
Because the rebate is directly tied to the fuel charge, without that tax, there’s no revenue to return via rebates.
What should Canadians expect going forward?
For Canadians looking toward the Canada Carbon Rebate payment dates and eligibility, here’s what to keep in mind:
- There will be no new carbon rebate payments for individuals after April 2025.
- If you did not receive a rebate you expected for earlier periods (because you hadn’t filed taxes), the CRA may still issue those past payments upon assessment, but only up to April 2025.
- The federal carbon pricing system will no longer charge consumers for fuel, eliminating the basis for the rebate itself.