Marginal Tax Rates for Every Province in Canada
As of January 15, 2020, the new budget proposals have released new marginal tax rates for each province in Canada. The marginal rate is the portion of each additional dollar of income that is payable as tax. While the federal tax rate remains consistent across provinces, provincial rates vary from one province to another.
Our article will provide combined federal and provincial marginal tax rates for different income types in each province in Canada. These income types include employment and self-employment income, capital gains, eligible dividends and other dividends. Kalfa Law’s rate tables help simplify the tax process for you by making it clear how much tax you pay no matter what province you live in.
Please note that all tables have incorporated the basic personal tax credit. The basic personal amount is comprised of two basic elements: the existing personal amount ($12, 298 for 2020) and an additional amount ($931 for 2020). The additional amount is gradually phased out for individuals with taxable income in excess of $150,473 and is fully eliminated for individuals with taxable income in excess of $214,368. Consequently, the additional amount is clawed back on taxable income in excess of $150,473 until the additional tax credit of $140 is eliminated, resulting in an additional 0.22% of federal income tax on taxable income between $150,474 and $214,368.
Alberta Marginal Tax Rates:
British Columbia Marginal Tax Rates:
Manitoba Marginal Tax Rates:
New Brunswick Marginal Tax Rates:
Newfoundland and Labrador Marginal Tax Rates:
Northwest Territories Marginal Tax Rates:
Nova Scotia Marginal Tax Rates:
Nunavut Marginal Tax Rates:
Ontario Marginal Tax Rates:
Prince Edward Island Marginal Tax Rates:
Saskatchewan Marginal Tax Rates:
Yukon Marginal Tax Rates:
-Shira Kalfa, BA, JD, Partner and Founder
Shira Kalfa is the founding partner of Kalfa Law. Shira’s practice is focused in corporate-commercial and tax law including corporate reorganizations, corporate restructuring, mergers and acquisitions, commercial financing, secured lending and transactional law. Shira graduated from York University achieving the highest academic accolade of Summa Cum Laude in 2012. She graduated from Western Law in 2015, with a specialization in business law. Shira is licensed to practice by the Law Society of Ontario. She is also a member of the Ontario Bar Association, the Canadian Tax Foundation, Women’s Law Association of Ontario, and the Toronto Jewish Law Society.
© Kalfa Law 2020