Carbon Tax Rebate – August 2025
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What Is the Carbon Tax Rebate?
Formerly known as the Climate Action Incentive Payment (CAIP), the Canada Carbon Rebate is a tax‑free quarterly payment issued by the Canada Revenue Agency (CRA) to residents in provinces where the federal fuel‑charge applies. It consists of:
- A base amount based on household size and province.
- A rural supplement—currently 20% for residents outside Census Metropolitan Areas (e.g. Alberta, Saskatchewan, etc.), automatically applied when indicated on your tax return
August 2025 Payout Schedule
Payments will be deposited by August 15, 2025, or the previous business day if the 15th falls on a weekend. The CRA processes payments for those who filed their 2024 tax return by early April.
2025 Provincial Rebate Estimates
Below is a table of estimated August 2025 CCR payments by province, including individual, couple, family of four, and rural supplement amounts. Note that PEI base amounts already include the 20% rural top‑up
| Province | Individual | Couple | Family of 4 | Rural Supplement |
|---|---|---|---|---|
| Alberta | $225 | $450 | $450 | +20% (total ≈ $540) |
| Saskatchewan | $188 | $376 | $376 | +20% |
| Manitoba | $150 | $300 | $300 | +20% |
| Ontario | $140 | $280 | $280 | +20% |
| New Brunswick | $95 | $190 | $190 | +20% |
| Nova Scotia | $103 | $206 | $206 | +20% |
| Prince Edward Island | $120*(includes rural)* | $240 | $240* | Included in base |
| Newfoundland & Labrador | $132 | $264 | $264 | +20% |
(All amounts are estimated quarterly payments in Canadian dollars.)
Why the Rural Supplement Matters
The additional 20% rural supplement—up from 10% in 2023—helps offset greater fuel reliance in less‑populated areas.
If you reside outside a Census Metropolitan Area and tick the correct box on your 2024 tax return, it applies automatically. The CRA uses your postal code to verify eligibility