BC Income Tax 2026
British Columbia uses a seven-bracket progressive income tax system. BC stands out for its low bottom bracket (5.6%), which makes it one of the most affordable provinces for residents earning under $75,000. At higher incomes, BC’s 20.5% top rate brings it closer to other high-tax provinces.
BC eliminated the individual Medical Services Plan premium in 2020, reducing the effective tax burden compared to historical figures. BC also eliminated its consumer carbon tax (and the associated Climate Action Tax Credit) effective April 1, 2025.
BC Tax Brackets 2026
Provincial Tax Rates
| Each portion of taxable income | Rate |
|---|---|
| $0.00 to $50,363.00 | 5.6% |
| $50,363.01 to $100,728.00 | 7.7% |
| $100,728.01 to $115,648.00 | 10.5% |
| $115,648.01 to $140,430.00 | 12.29% |
| $140,430.01 to $190,405.00 | 14.7% |
| $190,405.01 to $265,545.00 | 16.8% |
| Over $265,545.01 | 20.5% |
Source: Canada Revenue Agency – Canadian income tax rates for individuals, 2026. Verified September 5, 2026.
These rates apply to taxable income — your net income after claiming RRSP contributions, union dues, business losses, and other deductions.
Combined Federal + BC Rates
| Each portion of taxable income | Combined Federal + British Columbia Rate |
|---|---|
| Up to $50,363.00 | 19.6% |
| $50,363.00 to $58,523.00 | 21.7% |
| $58,523.00 to $100,728.00 | 28.2% |
| $100,728.00 to $115,648.00 | 31% |
| $115,648.00 to $117,045.00 | 32.79% |
| $117,045.00 to $140,430.00 | 38.29% |
| $140,430.00 to $181,440.00 | 40.7% |
| $181,440.00 to $190,405.00 | 43.7% |
| $190,405.00 to $258,482.00 | 45.8% |
| $258,482.00 to $265,545.00 | 49.8% |
| Over $265,545.00 | 53.5% |
Combined marginal rate = federal rate + British Columbia rate at each income level, computed directly from 2026 bracket data (not a separately-maintained table). Source: Canada Revenue Agency – Canadian income tax rates for individuals and the provincial revenue agency, verified September 5, 2026.
Tax by Income Level
| Taxable Income | BC Tax | Federal Tax | Total Tax | Effective Rate |
|---|---|---|---|---|
| $30,000 | $940 | $1,897 | $2,837 | 9.5% |
| $50,000 | $2,060 | $4,697 | $6,757 | 13.5% |
| $75,000 | $3,977 | $9,268 | $13,245 | 17.7% |
| $100,000 | $5,902 | $14,393 | $20,295 | 20.3% |
| $125,000 | $8,674 | $19,955 | $28,630 | 22.9% |
| $150,000 | $11,977 | $26,455 | $38,433 | 25.6% |
| $200,000 | $19,529 | $40,012 | $59,541 | 29.8% |
| $250,000 | $27,929 | $54,512 | $82,441 | 33.0% |
| $300,000 | $37,604 | $70,673 | $108,277 | 36.1% |
Figures apply the basic personal amounts (federal $16,452 x 14%; BC $13,216 x 5.6%) as non-refundable tax credits against gross bracket tax, matching how CRA actually calculates tax owing. Additional credits and deductions will reduce tax owing further.
BC Tax Credits
Non-refundable credits reduce BC tax at the lowest bracket rate of 5.6%.
| Credit | 2026 Amount |
|---|---|
| Basic personal amount | $13,216 |
| Spouse/partner amount | Up to $11,317 |
| Age amount (65+) | Up to $5,927 |
| Disability amount | $9,913 |
| Caregiver amount | Up to $7,638 |
| Medical expenses | 20% of eligible expenses (over threshold) |
| Tuition and education | Transferable from student |
BC-Specific Credits
| Credit | Details |
|---|---|
| BC Seniors’ Home Renovation Tax Credit | Up to $1,000 for accessibility renovations |
| BC Training Tax Credit | For eligible apprentices; up to $2,500 |
| BC Mining Flow-Through Share Tax Credit | For eligible share investments |
BC Climate Action Tax Credit (Cancelled)
BC eliminated its consumer carbon tax effective April 1, 2025. As a result, the BC Climate Action Tax Credit (BCCATC) — a quarterly, tax-free payment that had offset carbon pricing costs — was cancelled at the same time. The final BCCATC payment was issued in April 2025. BC residents filing 2026 returns should not expect this credit; it has no 2026 equivalent.
BC vs Other Provinces
At $75,000 Income
| Province | Total Tax | vs BC |
|---|---|---|
| BC | $13,245 | — |
| Ontario | $13,265 | +$20 |
| Alberta | $13,722 | +$477 |
| Manitoba | $16,198 | +$2,953 |
BC and Ontario are essentially tied at $75,000 income (within $20), both among the lowest-tax provinces at this income level, primarily because both have low starting brackets.
At $150,000 Income
| Province | Total Tax | vs BC |
|---|---|---|
| BC | $38,433 | — |
| Alberta | $38,410 | −$23 |
| Ontario | $40,876 (incl. surtax) | +$2,443 |
| Saskatchewan | $41,975 | +$3,542 |
| Quebec | $47,596 | +$9,163 |
At $150,000, Alberta and BC are essentially tied (within about $23, with Alberta very slightly cheaper). Both are meaningfully cheaper than Ontario once Ontario’s provincial surtax is properly included – Ontario’s base bracket rates alone are lower than BC’s or Alberta’s at this income level, but the surtax (20% of Ontario tax over ~$5,818, plus an additional 36% over ~$7,446) pushes its real total above both.
At $250,000+ Income
At very high incomes, BC’s 20.5% top provincial rate (triggering at $265,545) produces a 53.5% combined federal-provincial rate — just below Ontario’s 53.53% (after its surtax), and significantly higher than Alberta’s 48%.
BC Tax Planning
RRSP at $100,000 Income
| RRSP Contribution | Tax Saved | Marginal Rate |
|---|---|---|
| $5,000 | $1,410 | 28.2% |
| $10,000 | $2,820 | 28.2% |
| $18,000 | $5,076 | 28.2% |
The combined marginal rate for BC taxpayers at $100,000 is approximately 28.2%, making RRSP contributions effective for deferring tax to lower-income retirement years.
Dividend vs Interest Income at $100,000
| $10,000 Income Type | BC Tax | Federal Tax | Total |
|---|---|---|---|
| Interest | $770 | $2,050 | $2,820 |
| Eligible dividends | Negative (dividend credit) | ~$1,100 | ~$600 |
| Capital gains (50% inclusion) | $385 | $1,025 | $1,410 |
BC’s dividend tax credit makes eligible Canadian dividends extremely efficient at this income level — in many cases, BC taxpayers at $100,000 pay near-zero effective tax on eligible dividends.
Self-Employment in BC
Self-employed BC residents pay the same personal tax rates as employees. Key considerations:
- CPP contributions at both employee + employer rates (11.9% combined up to the $74,600 earnings ceiling)
- Home office deduction, vehicle expenses, and business costs reduce net income
- Incorporation becomes worth considering when consistent net income exceeds $100,000, as BC’s small business corporate rate is 11% (2% provincial + 9% federal)
BC Sales Tax (PST)
BC residents pay GST and PST separately — BC returned to a separate system in 2013 after a referendum rejected the HST.
| Tax | Rate |
|---|---|
| Federal GST | 5% |
| BC PST | 7% |
| Combined | 12% |
PST exemptions include children’s clothing, bicycles, books, and prescription drugs. See our BC sales tax guide for a complete breakdown of what is and is not taxable.
Payroll Deductions at $80,000 in BC
| Deduction | Amount |
|---|---|
| Federal tax | $10,293 |
| BC provincial tax | $4,362 |
| CPP contributions | $4,446.45 |
| EI premiums | $1,123.07 |
| Total deductions | $20,224.52 |
| Net pay (annual) | $59,775 |
| Monthly net | $4,981 |
Filing BC Income Tax
BC provincial income tax is calculated as part of the federal T1 General return — there is no separate provincial return for individuals.
Key BC forms:
- BC428 – BC Tax (calculates provincial tax and credits)
- BC479 – BC Credits (provincial credits and benefits)
The filing deadline is April 30 for most residents, and June 15 for self-employed individuals (though any balance owing is still due April 30). File electronically via NETFILE for the fastest refunds.
For strategies to reduce your taxable income in BC, see our income tax deductions and credits guide.