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Ontario Income Tax Rates 2026 | Tax Brackets and Credits

Updated

Ontario Tax Brackets 2026

Provincial Tax Rates

Taxable Income Ontario Rate
Up to $51,446 5.05%
$51,447 - $102,894 9.15%
$102,895 - $150,000 11.16%
$150,001 - $220,000 12.16%
Over $220,000 13.16%

Combined Federal + Ontario Rates

Taxable Income Combined Rate
Up to $55,867 20.05%
$55,867 - $102,894 24.15%
$102,894 - $111,733 29.65%
$111,733 - $150,000 31.48%
$150,000 - $173,205 33.89%
$173,205 - $220,000 37.91%
$220,000 - $246,752 44.97%
Over $246,752 53.53%

Ontario Surtax

How the Surtax Works

Threshold Surtax Rate
Provincial tax > $5,554 20% on excess
Provincial tax > $7,108 Additional 36% on excess

Surtax Example

Item Amount
Ontario tax calculated $8,000
First surtax (20% of $8,000 - $5,554) $489
Second surtax (36% of $8,000 - $7,108) $321
Total surtax $810
Total Ontario tax $8,810

Ontario Tax Credits

Non-Refundable Credits

Credit 2026 Amount
Basic personal amount ~$12,399
Spouse/CLP amount ~$12,399
Age amount (65+) ~$5,839
Disability amount ~$9,586
Caregiver amount Varies

Refundable Credits

Credit Details
Ontario Trillium Benefit Energy, property tax, sales tax
Ontario Child Benefit Per child
Ontario Senior Homeowners’ Grant Property tax help

Ontario Trillium Benefit

Three Components

Component Maximum
Ontario Energy and Property Tax Credit ~$1,194
Northern Ontario Energy Credit ~$180
Ontario Sales Tax Credit ~$360/adult

Eligibility

Requirement Details
Ontario resident On December 31
Age 18+ Or spouse/parent
Filed tax return Required

Tax Calculation Example

$100,000 Income in Ontario

Bracket Income Rate Tax
Federal 1 $55,867 15% $8,380
Federal 2 $44,133 20.5% $9,047
Ontario 1 $51,446 5.05% $2,598
Ontario 2 $48,554 9.15% $4,443
Surtax ~$400
Total ~$24,868

Before credits.

Ontario Health Premium

Additional Provincial Levy

Taxable Income Premium
Up to $20,000 $0
$20,001 - $25,000 6% of income over $20,000
$25,001 - $36,000 $300
$36,001 - $38,500 $300 + 6% over $36,000
$38,501 - $48,000 $450
$48,001 - $72,000 $450 + 25% over $48,000
$72,001 - $200,000 $600 + 25% over $72,000
Over $200,000 $900

Ontario-Specific Deductions

Available Deductions

Deduction Details
RRSP contributions Reduces taxable income
Union dues If applicable
Professional dues If required
Child care expenses Federal and provincial

Comparison to Other Provinces

Top Marginal Rates

Province Top Rate
Ontario 53.53%
Quebec 53.31%
BC 53.50%
Alberta 48.00%
Nova Scotia 54.00%

Tax Planning for Ontario Residents

Strategies

Strategy Benefit
RRSP contributions Reduce bracket
Income splitting Use spousal RRSP
Dividend income Lower effective rate
Capital gains 50% inclusion

Ontario Surtax Planning

If Near Threshold Consider
RRSP contribution Reduce Ontario tax
Timing income Defer if possible
Tax credits Maximize