Canada 2026 Tax Bracket
This is the federal income tax bracket for Canada’s 2026 tax year. These are the rates that are used to calculate your taxes based on your taxable income in the year.
| Each portion of taxable income | Rate |
|---|---|
| $0.00 to $58,523.00 | 14% |
| $58,523.01 to $117,045.00 | 20.5% |
| $117,045.01 to $181,440.00 | 26% |
| $181,440.01 to $258,482.00 | 29% |
| Over $258,482.01 | 33% |
Source: Canada Revenue Agency – Canadian income tax rates for individuals, 2026. View source. Verified August 28, 2026.
These are the provincial tax rates for Canada in 2026.
How marginal tax rates work
Canada uses a progressive tax system, which means you do not pay one flat rate on all your income. Instead, different portions of your income are taxed at different rates. Here is a worked example for someone earning $90,000 in federal taxable income in 2026:
| Income Portion | Tax Rate | Tax Owed |
|---|---|---|
| First $58,523 | 14.00% | $8,193.22 |
| $58,523 to $90,000 ($31,477) | 20.50% | $6,452.79 |
| Total | $14,646.01 |
The marginal tax rate on the next dollar earned is 20.50% (federal), but the average (effective) tax rate is $14,646.01 ÷ $90,000 = 16.3%. This is an important distinction — moving into a higher tax bracket does not mean all of your income is taxed at the higher rate, only the portion that falls within that bracket.
Provincial taxes work the same way and are calculated separately, then added to federal tax.
Combined marginal tax rates by province
Your total marginal tax rate is the federal rate plus your provincial rate at each income level. This table shows the top combined marginal tax rate (the rate on the highest bracket of income) for each province and territory in 2026.
| Province/Territory | Top Provincial Rate | Top Federal Rate | Top Combined Rate |
|---|---|---|---|
| Alberta | 15.00% | 33.00% | 48.00% |
| British Columbia | 20.50% | 33.00% | 53.50% |
| Manitoba | 17.40% | 33.00% | 50.40% |
| New Brunswick | 19.50% | 33.00% | 52.50% |
| Newfoundland & Labrador | 21.80% | 33.00% | 54.80% |
| Northwest Territories | 14.05% | 33.00% | 47.05% |
| Nova Scotia | 21.00% | 33.00% | 54.00% |
| Nunavut | 11.50% | 33.00% | 44.50% |
| Ontario | 13.16% | 33.00% | 46.16% |
| Prince Edward Island | 19.00% | 33.00% | 52.00% |
| Quebec | 25.75% | 33.00% | 58.75% |
| Saskatchewan | 14.50% | 33.00% | 47.50% |
| Yukon | 15.00% | 33.00% | 48.00% |
Quebec has the highest combined top marginal rate at 58.75%, while Nunavut has the lowest at 44.50%. Note that Ontario also applies a surtax on higher incomes, which can increase the effective provincial rate beyond 13.16%.
Use our income tax calculator to calculate your exact combined tax for any income level and province.
Combined marginal rates at common income levels
This table shows approximate combined federal and provincial marginal tax rates at selected income levels for five major provinces. These rates include the federal and provincial marginal rates applicable to each income range.
| Taxable Income | Ontario | Quebec | Alberta | BC | Manitoba |
|---|---|---|---|---|---|
| $30,000 | 19.05% | 28.00% | 22.00% | 19.60% | 24.80% |
| $55,000 | 23.15% | 33.00% | 22.00% | 21.70% | 26.75% |
| $60,000 | 29.65% | 39.50% | 28.50% | 28.20% | 33.25% |
| $100,000 | 29.65% | 39.50% | 30.50% | 28.20% | 33.25% |
| $110,000 | 31.66% | 44.50% | 30.50% | 31.00% | 37.90% |
| $160,000 | 38.16% | 51.75% | 38.00% | 40.70% | 43.40% |
| $230,000 | 42.16% | 54.75% | 42.00% | 45.80% | 46.40% |
| $260,000+ | 46.16% | 58.75% | 47.00% | 49.80% | 50.40% |
These rates are computed directly from the 2026 federal and provincial bracket data above (verified August 2026), not a separately-maintained table.
Ontario 2026 Tax Bracket
These are the provincial tax rates in Ontario.
| Each portion of taxable income | Rate |
|---|---|
| $0.00 to $53,891.00 | 5.05% |
| $53,891.01 to $107,785.00 | 9.15% |
| $107,785.01 to $150,000.00 | 11.16% |
| $150,000.01 to $220,000.00 | 12.16% |
| Over $220,000.01 | 13.16% |
Source: Canada Revenue Agency – Canadian income tax rates for individuals, 2026. Verified August 28, 2026.
Alberta 2026 Tax Bracket
This table shows the provincial tax rates for Alberta.
| Each portion of taxable income | Rate |
|---|---|
| $0.00 to $61,200.00 | 8% |
| $61,200.01 to $154,259.00 | 10% |
| $154,259.01 to $185,111.00 | 12% |
| $185,111.01 to $246,813.00 | 13% |
| $246,813.01 to $370,220.00 | 14% |
| Over $370,220.01 | 15% |
Source: Canada Revenue Agency – Canadian income tax rates for individuals, 2026. Verified August 28, 2026.
Manitoba 2026 Tax Bracket
Here is Manitoba’s provincial tax bracket.
| Each portion of taxable income | Rate |
|---|---|
| $0.00 to $47,564.00 | 10.8% |
| $47,564.01 to $101,200.00 | 12.75% |
| Over $101,200.01 | 17.4% |
Source: Canada Revenue Agency – Canadian income tax rates for individuals, 2026. Verified August 28, 2026.
Newfoundland and Labrador 2026 Tax Bracket
| Each portion of taxable income | Rate |
|---|---|
| $0.00 to $44,678.00 | 8.7% |
| $44,678.01 to $89,354.00 | 14.5% |
| $89,354.01 to $159,528.00 | 15.8% |
| $159,528.01 to $223,340.00 | 17.8% |
| $223,340.01 to $285,319.00 | 19.8% |
| $285,319.01 to $570,638.00 | 20.8% |
| $570,638.01 to $1,141,275.00 | 21.3% |
| Over $1,141,275.01 | 21.8% |
Source: Canada Revenue Agency – Canadian income tax rates for individuals, 2026. Verified August 28, 2026.
Prince Edward Island 2026 Tax Bracket
| Each portion of taxable income | Rate |
|---|---|
| $0.00 to $33,928.00 | 9.5% |
| $33,928.01 to $65,820.00 | 13.47% |
| $65,820.01 to $106,890.00 | 16.6% |
| $106,890.01 to $142,520.00 | 17.62% |
| $142,520.01 to $200,000.00 | 19% |
| Over $200,000.01 | 20% |
Source: Canada Revenue Agency – Canadian income tax rates for individuals, 2026. Verified August 28, 2026.
Nova Scotia 2026 Tax Bracket
| Each portion of taxable income | Rate |
|---|---|
| $0.00 to $30,995.00 | 8.79% |
| $30,995.01 to $61,991.00 | 14.95% |
| $61,991.01 to $97,417.00 | 16.67% |
| $97,417.01 to $157,124.00 | 17.5% |
| Over $157,124.01 | 21% |
Source: Canada Revenue Agency – Canadian income tax rates for individuals, 2026. Verified August 28, 2026.
New Brunswick 2026 Tax Bracket
| Each portion of taxable income | Rate |
|---|---|
| $0.00 to $52,333.00 | 9.4% |
| $52,333.01 to $104,666.00 | 14% |
| $104,666.01 to $193,861.00 | 16% |
| Over $193,861.01 | 19.5% |
Source: Canada Revenue Agency – Canadian income tax rates for individuals, 2026. Verified August 28, 2026.
Quebec 2026 Tax Bracket
| Each portion of taxable income | Rate |
|---|---|
| $0.00 to $54,345.00 | 14% |
| $54,345.01 to $108,680.00 | 19% |
| $108,680.01 to $132,245.00 | 24% |
| Over $132,245.01 | 25.75% |
Source: Revenu Québec – Income Tax Rates, 2026. Verified August 28, 2026. Quebec administers its own separate provincial tax system (not collected by CRA). Quebec residents receive a 16.5% federal tax abatement to compensate.
Saskatchewan 2026 Tax Bracket
| Each portion of taxable income | Rate |
|---|---|
| $0.00 to $54,532.00 | 10.5% |
| $54,532.01 to $155,805.00 | 12.5% |
| Over $155,805.01 | 14.5% |
Source: Canada Revenue Agency – Canadian income tax rates for individuals, 2026. Verified August 28, 2026.
British Columbia 2026 Tax Bracket
| 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 August 28, 2026.
Northwest Territories 2026 Tax Bracket
| Each portion of taxable income | Rate |
|---|---|
| $0.00 to $53,003.00 | 5.9% |
| $53,003.01 to $106,009.00 | 8.6% |
| $106,009.01 to $172,346.00 | 12.2% |
| Over $172,346.01 | 14.05% |
Source: Canada Revenue Agency – Canadian income tax rates for individuals, 2026. Verified August 28, 2026.
Nunavut 2026 Tax Bracket
| Each portion of taxable income | Rate |
|---|---|
| $0.00 to $55,801.00 | 4% |
| $55,801.01 to $111,602.00 | 7% |
| $111,602.01 to $181,439.00 | 9% |
| Over $181,439.01 | 11.5% |
Source: Canada Revenue Agency – Canadian income tax rates for individuals, 2026. Verified August 28, 2026.
Yukon 2026 Tax Bracket
| Each portion of taxable income | Rate |
|---|---|
| $0.00 to $58,523.00 | 6.4% |
| $58,523.01 to $117,045.00 | 9% |
| $117,045.01 to $181,440.00 | 10.9% |
| $181,440.01 to $500,000.00 | 12.8% |
| Over $500,000.01 | 15% |
Source: Canada Revenue Agency – Canadian income tax rates for individuals, 2026. Verified August 28, 2026.
Common tax credits and deductions
Beyond understanding your tax bracket, knowing which credits and deductions are available can significantly reduce your tax bill.
Key federal tax deductions
- RRSP contributions — Contributions to a Registered Retirement Savings Plan are deductible from taxable income up to your contribution limit (18% of previous year’s earned income, max $32,490 for 2026). This is one of the most powerful tax reduction strategies. Use our RRSP calculator to model the impact.
- Union and professional dues — Mandatory dues paid to unions or professional associations are deductible.
- Childcare expenses — Costs for daycare, camps, and other childcare can be deducted by the lower-income spouse.
- Moving expenses — If you moved at least 40 km closer to a new job or school, moving costs may be deductible.
- Employment expenses — If you work from home or have unreimbursed work expenses, you may be able to claim deductions.
Key federal tax credits
- Basic personal amount — Every Canadian can earn up to $16,129 (2026) tax-free at the federal level.
- Canada Employment Credit — A non-refundable credit of up to $1,368 for employment income earners.
- Medical expenses — Out-of-pocket medical costs exceeding the lesser of $2,759 or 3% of net income qualify for a tax credit.
- Charitable donations — Donations to registered charities provide a 15% credit on the first $200 and 29% (or 33% for high earners) on amounts above $200.
- Disability Tax Credit — A significant non-refundable credit for those with prolonged physical or mental impairments.
- Tuition Tax Credit — Post-secondary tuition fees qualify for a 15% federal tax credit.
Tax planning strategies
Strategic tax planning throughout the year can reduce your overall tax burden.
Income splitting
- Spousal RRSP — Higher-income spouses can contribute to a spousal RRSP, which is deducted from their income but taxed in the lower-income spouse’s hands upon withdrawal.
- Pension income splitting — Retirees can split up to 50% of eligible pension income with a spouse, potentially moving income to a lower tax bracket.
- TFSA contributions — While TFSA contributions are not deductible, giving your spouse money to contribute to their TFSA effectively shifts investment income to a tax-free environment.
Tax-efficient investing
- Use registered accounts first — Prioritize TFSA and RRSP contributions before investing in non-registered accounts.
- Capital gains are tax-advantaged — Only 50% of capital gains are included in taxable income (for the first $250,000 annually), making them more tax-efficient than interest income. Use our capital gains tax calculator to see the impact.
- Canadian eligible dividends — The dividend tax credit makes Canadian dividend income more tax-efficient than interest income in non-registered accounts.
- Hold interest-earning investments in registered accounts — Since interest is fully taxable, hold bonds and GICs inside your RRSP or TFSA where possible.
Year-end tax moves
- Maximize RRSP contributions before the March 1 deadline
- Realize capital losses to offset capital gains (tax-loss harvesting)
- Make charitable donations before December 31
- Prepay deductible expenses where possible
Related calculators
- Income Tax Calculator — Estimate your total federal and provincial income tax
- Salary Calculator — See your after-tax take-home pay per paycheque
- Capital Gains Tax Calculator — Calculate the tax on investment gains
- RRSP Calculator — Model the tax savings from RRSP contributions
- TFSA Calculator — Plan your tax-free investment growth
- Income Percentile Calculator — See where your income ranks in Canada