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Income Tax Rates and Tables

Each person in Canada must pay tax on their worldwide income. The federal and provincial/territorial governments set tax rates and tax brackets. Higher tax rates apply to income in higher tax brackets. The federal tax rates for 2021 are:

15%
20.5%
26%
29.32%
33%

Provincial/territorial tax is applied on top of the federal rates. For tax purposes, the province/territory you lived in or deemed to have lived in, as of December 31 of any year, is considered your province/territory of residence for that tax year.

Below the explanatory tax rates and tax table presentations are links to the combined federal and provincial/territorial tax rates tables for all provinces and territories in Canada. After viewing the presentations, use the table for your jurisdiction to:

Identify the tax rates that apply to income in your province or territory.
Recognize your marginal tax rate (MTR) percentage (and your spouse/partner’s).
Evaluate saving versus debt decisions.
Compare current versus retirement tax rates.
Evaluate income splitting strategies with your spouse/partner.

How to use the Combined Federal-Provincial Tax Rate Tables

Discover how to examine income tax brackets, marginal tax rates and actual tax owing. Click the button below to start.

Tax Planning Using a Combined Federal-Provincial Tax Rate Table

Which is better? An RRSP or a TFSA? A personal or spousal RRSP? It depends on your marginal tax rate. Find out how. Click the button below to start.

Combined Federal-Provincial/Territorial Tax Rates Tables

British Columbia

Newfoundland and Labrador

Prince Edward Island

Northwest Territories