Information on income tax rates in Canada including federal rates and those rates specific to provinces and territories.

December 3, 2025 - To reflect a one-percentage-point ... rate for 2025 will be 14.5 per cent and the full-year rate for 2026 and future tax years will be 14 per cent,” says the CRA on its website.

For 2026, the marginal rate for $181,440 to $258,482 is 29.29% because of the above-noted personal amount reduction through this tax bracket. The additional 0.29% is calculated as 14% x ($16,452 - 14,829) / ($258,482 - $181,440).

A tax bracket is a range of annual taxable income. Income past a certain point is taxed at a higher rate. The tax brackets are indexed each year to the Consumer Price Index for B.C. (BC CPI). For the 2026 tax year, the tax brackets were increased from the previous year by a BC CPI rate of 2.2%.

3 weeks ago - While federal tax rates are the same, the income thresholds for each bracket have shifted. According to the agency, in 2026, the indexation increase will be two per cent, which is lower than the 2.7 per cent increase in 2025...

in 1 year - The 2026 federal tax brackets are: Income up to $58,523. Income up to the threshold of the lowest bracket will be taxed at a rate of 14 per cent. The upper limit for this bracket was $57,375 in 2025.

December 2, 2025 - Canada uses a progressive tax system, meaning higher income is taxed at higher rates. The CRA adjusts brackets annually based on the consumer price index (CPI). For 2026, the indexation rate is 2.0%, slightly higher thresholds compared to 2025.

2 weeks ago - For 2026 and subsequent tax years, the lowest federal tax bracket will be 14 per cent, a decrease from 14.5 in 2025.

December 3, 2025 - See below for the updates to 2026 federal tax bracket thresholds, and an update on the Basic Personal Amount (BPA) for 2026. ... The lowest tax rate was reduced to 14%, effective for the full year. This is down from 14.5% for 2025 due to a mid-year ...

December 2, 2025 - Several tax changes will be implemented next year and will affect how much you take home after deductions.

The first federal tax bracket applies to income up to $58,523, taxed at 14.5% in 2025. Most individuals save $200–$300; households save double. Yes — salary becomes slightly more beneficial.

To reflect the 1% cut in the lowest tax rate coming into effect halfway through the year, the full-year tax rate for 2025 will be 14.5%. This means that for payroll withholding from the first pay in July to the end of the year a tax rate of 14% will apply. For 2026 and subsequent tax year, ...

2 weeks ago - (tax measures introduced in the ... to account for inflation, which means that beginning Jan. 1 the rate drops to 14 per cent on the first $58,523 someone earns in 2026....

November 25, 2025 - That means for the full 2026 tax year, the first portion of your income will be taxed at 14%, while in 2025, that rate will be 14.5%, since it only came into effect halfway through the year.

For 2026 and subsequent tax years, the lowest federal tax bracket will be 14%. You can download Guides T4008, Payroll Deductions Supplementary Tables, and T4032, Payroll Deductions Tables, from our webpage at canada.ca/payroll. You can also choose to print only the pages or information that ...

3 weeks ago - If you live anywhere but Quebec, your employer must deduct $1.63 for every $100 earned until you hit $1,123.07, the maximum contribution for 2026. That’s down from $1.64 and $1,077.48 this tax year.

December 6, 2025 - The difference between getting taxed at 20% versus 26% on investment income over decades can shape someone’s retirement outcome. By understanding the CRA’s 2026 thresholds early, investors can map out a smarter strategy to keep more of their ...

On May 27, 2025, the Government ... Effective July 2025, a prorated tax rate of 14% was used. For 2026 and subsequent tax years, the lowest federal tax bracket will be 14%....

December 8, 2025 - Tax filers with gross incomes of $181,440 or more will see their basic personal amount decrease to $14,829, for a tax credit worth $2,076.06. ... The maximum insurable earnings for 2026 is $68,900, up from $65,700 in 2025.

Because this tax change happened mid-year, the effective tax rate in 2025 for the lowest income bracket is 14.5%. The full-year rate for 2026 onward will be 14%. According to Ottawa, this so-called “middle-class tax cut” will benefit nearly 22 million Canadians, saving individuals up to ...