New changes and laws set to take effect in Canada in October
October brings a series of new policies and updates to existing laws, from increased benefits to major regulatory changes that could affect your wallet and daily routine.
On the finance side, the Canada Revenue Agency (CRA) has announced its latest interest rates, while some eligible Canadians will see a slight increase in their benefit payments. There are also changes to laws when it comes to protecting Canadians’ health, from new tobacco packaging rules to a more streamlined process for controlled substance prescriptions.
Here’s a breakdown of the major changes kicking in across the country in October.
Canada Revenue Agency (CRA) adjusts interest rates
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The Canada Revenue Agency (CRA) has announced its latest interest rates for the fourth quarter, with changes set to kick in from Oct. 1 to Dec. 31. The rates will apply to amounts owed to the CRA or amounts that the agency may owe individual Canadians and corporations. So whether you owe back taxes or you’re waiting for a refund, here are some of the interest rate changes you can expect:
- Overdue taxes, Canada Pension Plan contributions, and employment insurance premiums — seven per cent
- Non-corporate taxpayer overpayments — five per cent
- Taxable benefits for employees and shareholders from interest-free and low-interest loans — three per cent
Updated safety reporting rules for drugs and natural health products
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Health Canada is implementing changes to its laws on how drug and natural health product manufacturers handle safety reporting. Starting Oct. 1, the health department will ensure that requirements align with international standards. Manufacturers will be required to submit the following:
- Annual summary reports that assess all safety information for drugs and natural health products
- Interim summary reports with analysis of specific safety information for a natural health product
- Issue-related summary reports that are prepared on Health Canada’s request, which must contain “a concise, critical analysis of a specific safety or effectiveness issue concerning a marketed drug, based on an analysis of adverse reaction reports.
Cutting red tape for controlled substance prescriptions
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For some Canadians, getting their prescription medication is about to get easier. Health Canada is updating its laws on controlled substances by making it easier for pharmacies to manage care directly. Starting Oct. 1, the following changes are set to go into effect:
- Pharmacy technicians will be authorized to receive verbal prescriptions and accept shipments, transfer orders, and manage disposals
- Pharmacists will have the authority to change, extend, or transfer prescriptions of controlled substances for up to two years from the date it was received
- Pharmacy operations will be allowed to sell controlled substances to a community or institutional pharmacy without requiring a dealer’s licence
Canada Groceries and Essentials Benefit (CGEB) to hit bank accounts
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There’s some relief on the way for eligible Canadians dealing with rising grocery bills. Quarterly tax-free payments for the Canada Groceries and Essentials Benefit (CGEB) are set to go out on Oct. 5. The amount you receive is based on your adjusted family net income from your 2025 tax return.
A single individual could receive up to $679, a married couple could get up to $890, while a family could get up to $234 for each eligible child under the age of 19.
Claims deadline for Canadian Armed Forces (CAF) settlement
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In January 2025, the Federal Court certified a class action and approved a settlement for current or former Canadian Armed Forces (CAF) members who faced racial discrimination or racial harassment during their military service.
The claims period for the $150-million settlement opened on Oct. 15, 2025, and will close exactly a year later on Oct. 15, 2026, at 11:59 p.m. PST.
The settlement covers anyone who has been or is currently enrolled as a CAF member starting from April 17, 1985, up to and including the settlement approval date of January 2025, who asserts that they have been subjected to racial discrimination and/or harassment.
The amount depends on the duration and severity of your experience during your military service, and ranges between $5,000 and $35,000.
Old Age Security (OAS) benefit increasing
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Canadians eligible to receive the Old Age Security (OAS) benefit will see a slight increase in their next payment.
Amounts are reviewed every quarter and are adjusted according to changes in the Consumer Price Index to keep up with the cost of living. This October, benefits are set to increase by 1.4 per cent.
The maximum amount you could receive depends on your age: Canadians aged 65 to 74 will see payments increase from $751.97 to $762.50 per month (an additional $10.53), while those 75 and older will see theirs go up from $827.17 to $838.75 per month (an increase of $11.58). Payments go out on Oct. 28.
Don’t receive OAS benefits? Find out if you’re eligible.
Proposed filing deadline for Canada Carbon Rebate (CCR)
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Although the Canada Carbon Rebate (CCR) is no longer paid out, some Canadians who have yet to file previous tax returns still have time to claim their money. The amount depends on where you live; however, a family of four could receive a maximum of $1,800.
There’s currently a bill that proposes Oct. 30 as the deadline for eligible Canadians to file any outstanding tax returns if they don’t want to miss out on their CCR payments.
Tobacco package changes
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Canada is set to roll out stricter tobacco packaging laws reminding people of the health risks. Retailers have until Oct. 31 to make sure that the modified packages they’re selling meet the updated guidelines, which include a new health information message placed on the upper side-flap of cigarette packages.