$500 Canada Housing Benefit May 2025: Eligibility & How to Apply

The Canada Housing Benefit (CHB) was designed to support low-income renters struggling with rising housing costs. While the original program officially ended on March 31, 2023, ongoing affordability challenges have sparked renewed public interest in potential extensions or similar programs.

As of May 2025, there is no confirmed relaunch of the CHB, but renters who meet specific conditions may still seek financial relief. This article explains everything you need to know about the $500 Canada Housing Benefit, including eligibility criteria, how to apply (if reopened), and who benefited from the last round.

What is the Canada Housing Benefit (CHB)?

The Canada Housing Benefit (CHB) was a tax-free, one-time payment of $500 introduced in December 2022. It was created to help low-income individuals and families manage rising rent costs during a time of economic inflation.

The program was administered by the Canada Revenue Agency (CRA) and aimed at those spending a significant portion of their income on rent. Though the application period closed on March 31, 2023, many renters continue to watch for its reintroduction.

$500 Canada Housing Benefit – Key Details

FeatureDetails
Program NameCanada Housing Benefit (CHB)
Managed ByCanada Revenue Agency (CRA)
CountryCanada
Benefit Amount$500 (Tax-Free, One-Time Payment)
Application PeriodDecember 12, 2022 – March 31, 2023
Eligibility IncomeFamilies: ≤ $35,000
Individuals: ≤ $20,000
Tax RequirementMust have filed 2021 tax return
Rent RequirementPaid at least 30% of 2021 income on 2022 rent
Payment DistributionBegan after March 31, 2023
Current Status (May 2025)Not Confirmed/Reactivated
Official WebsiteCanada.ca Housing Benefit

Who Was Eligible for the $500 CHB?

To qualify for the Canada Housing Benefit in 2022–2023, applicants had to meet all the following requirements:

Age Requirement

  • Must have been 15 years or older as of December 1, 2022

Residency Status

  • Be a resident of Canada for tax purposes
  • Must have been living in Canada at the time of application

Income Threshold (Adjusted Family Net Income – AFNI)

  • Individuals: $20,000 or less
  • Couples (no children): $60,000 or less
  • Families of 4 or more: $75,000 or less
$500 Canada Housing Benefit May 2025 – Learn eligibility criteria, how to apply via CRA My Account, and when payments are expected

Rent Eligibility

  • Paid at least 30% of 2021 income on rent in 2022
  • Must not own property
  • Must have a formal lease agreement or rental documentation

Tax Filing Compliance

  • Filed a 2021 tax return with the CRA

How to Apply for the Canada Housing Benefit (If Relaunched)

Although applications are not currently open in 2025, here’s how the process worked during the original rollout and how it would likely be handled again:

Required Documents

  • Social Insurance Number (SIN)
  • Details from your 2021 tax return
  • Rental agreement or proof of monthly rent paid
  • Landlord’s contact details for verification

Application Process via CRA My Account

  1. Log in to CRA My Account
  2. Go to the “Benefits and Credits” section
  3. Click on “Canada Housing Benefit
  4. Fill in the required information about your rent and taxes
  5. Submit the form online

Alternative: If you don’t have access to CRA online services, call 1-800-959-8281 for assistance.

When Are CHB Payments Received?

For past applicants:

  • Once approved, payments were sent by direct deposit or cheque
  • Direct deposit: typically received within 5–7 business days
  • Mailed cheque: delivered in 7–10 business days

If reintroduced in 2025, similar timelines would likely apply.

Payment Timeline for May 2025 Applicants (If Program Resumes)

If the CHB resumes and applications open in May 2025, successful applicants can expect:

  • Payment approval within 4–6 weeks of application
  • Compensation by late June or early July 2025 for May filers

Frequently Asked Questions (FAQs)

Q1. Is the $500 Canada Housing Benefit taxable?

No, it is a tax-free one-time payment and does not impact your taxable income.

Q2. Can students apply for the Canada Housing Benefit?

Yes, if they meet all eligibility criteria including income threshold, rental documentation, and tax filing.

Q3. What if I don’t have a CRA My Account?

You can apply by calling the CRA at 1-800-959-8281 to complete the process by phone.

Q4. What happens if my application is denied?

You may file an appeal or reapply if your financial situation changes or if you meet the eligibility upon reassessment.

Q5. Is the program currently active in 2025?

No. As of May 2025, there is no official announcement of a new round of CHB payments. Canadians should monitor Canada.ca for updates.

Final Summary – Stay Alert for Future Housing Aid

With rent affordability continuing to challenge low-income Canadians, the $500 Canada Housing Benefit was a crucial support in recent years. While no 2025 relaunch is confirmed, it’s wise for eligible renters to prepare their tax documents and rental proofs in case of future reactivation.

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Bookmark the official CRA portal and stay updated with government announcements on Canada.ca. Applying early, once open, can ensure timely financial assistance.

If you found this guide helpful or have further questions, leave a comment below or follow our updates for new benefit programs in 2025.

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