Based on the updated 2025 federal tax rates (see that section above), the first $57,375 of his income is taxed at 15%, which works out to $8,606.25. Taking his total income ($60,000) and subtracting the first income tax bracket ($57,375), he ...

For simplicity, we’ll assume no deductions or tax credits apply, other than the Ontario basic personal amount, as well as the federal basic personal amount, which in 2025 is applied equally to everyone earning under $177,882:

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

The bulk of tax relief will go to those with incomes in the two lowest tax brackets (i.e., those with taxable income under $114,750 in 2025), including nearly half to those in the first bracket ($57,375 and below in 2025).

November 6, 2025 - Below, we provide you with all the information you need about Canada’s income tax brackets for 2025. This includes both the federal income tax rates and provincial and territorial rates.

December 3, 2025 - To reflect a one-percentage-point cut in the lowest tax rate coming into effect halfway through the year, the full-year tax 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 ...

November 24, 2025 - Did you notice a small bump in your paycheque this summer? To help Canadians cope with the rising cost of living, on July 1 the federal government reduced the tax rate for the lowest tax bracket from 15% to 14%. (In 2025, the lowest bracket applies to your first $57,375 of income.)

3 weeks ago - For example, if your taxable income is more than $50,363, the first $50,363 of taxable income is taxed at 5.06%, the next $50,365 of taxable income is taxed at 7.70%, the next $14,920 of taxable income is taxed at 10.50%, the next $24,782 of taxable income is taxed at 12.29%, the next $49,975 of taxable income is taxed at 14.70%, the next $75,140 is taxed at 16.80%, and any income above $265,545 is taxed at 20.50%.

increasing the federal AMT rate from 15% to 20.5% and the AMT exemption from CAD 40,000 to the start of the second from top federal tax bracket (i.e. CAD 177,882 in 2025; indexed thereafter)

December 4, 2025 - For 2025, there has also been a change from 15% to 14% for income in the lowest bracket. The change happened on Canada Day, so the effective rate on the first bracket is 14.5% for 2025 and 14% thereafter.

October 9, 2025 - For 2025, the effective blended rate is 14.5%, and from 2026 onward it will be 14%. The income brackets are adjusted in line with inflation, ensuring more people do not automatically move up the bracket.

June 18, 2025 - On May 14, 2025, the government announced a plan to reduce the lowest federal marginal personal income tax (PIT) rate from 15 per cent to 14 per cent, effective July 1, 2025.[^1] This PIT rate is also the rate for most federal non-refundable ...

Sojourners for periods totaling 183 days or more in a year may be deemed to be a resident of Canada and subject to Canadian income taxes. For more information about residency for Canadian income tax purposes, contact the International Taxation Office, 2204 Walkley Road, Ottawa, Ontario, K1A 1A8 or call 1-800-267-5177 or 1-613-952-3741. ... Indexation of Manitoba’s tax bracket thresholds to inflation is paused, effective for the 2025 tax year.

The income tax rates for the 2025 taxation year, determined on the basis of your taxable income, are as follows:

Calculate your combined federal and provincial tax bill in each province and territory. The calculator reflects known rates as of June 1, 2025.

In 2025, thresholds and credit amounts will rise by 2%. Government is keeping its promise to lower income taxes for Albertans by introducing a new personal income tax bracket of 8% on the first $60,000 of income, effective January 1, 2025.

The additional 0.29% is calculated as 14% x ($16,452 - 14,829) / ($258,482 - $181,440). For 2025, the marginal rate for $177,882 to $253,414 is 29.31% because of the above-noted personal amount reduction through this tax bracket.

Estimate your 2025-26 Canada taxes with our federal Income Tax Calculator. Instantly see your refund, after-tax income, and latest provincial tax brackets.

EY-Parthenon CEO Survey September 2025 reveals how leaders build confidence, resilience, and growth strategies amid disruption and transformation. 18 Sep 2025 CEO agenda ... Calculate your annual federal and provincial combined tax rate with our easy online tool.

Taxpayers earning less than $60,000 will see their personal income taxes fall by 20%. For more information, see personal income tax. Questions about your personal income tax should be directed to the Canada Revenue Agency.