# Canadian Tax Brackets 2026: Federal and Provincial Rates > 2026 federal and provincial income tax brackets for every province and territory, basic personal amounts, and combined marginal rates at common salaries. Source: https://trykosh.com/learn/canadian-tax-brackets-2026 Guide - Income tax # Canadian tax brackets for 2026: federal and every province Canada taxes income twice: once federally and once by your province or territory, each with its own brackets. Here are the 2026 rates for all 13, the basic personal amounts, and what the two layers add up to at a $60,000, $100,000 or $150,000 salary. Updated October 31, 20265 min readBy the Kosh team On this page[How tax brackets work in Canada](#how-brackets-work)[2026 federal tax brackets](#federal-brackets)[2026 provincial and territorial tax brackets](#provincial-brackets)[Your combined marginal rate at common salaries](#combined-rates)[What's not in the brackets: CPP and EI](#payroll)[FAQs](#faq) ## How tax brackets work in Canada Canada uses **progressive** brackets. Each rate applies only to the slice of income inside its bracket, not to all of your income. Moving into a higher bracket never reduces your take-home pay; only the dollars above the threshold are taxed at the higher rate. You pay federal tax and provincial or territorial tax, both worked out on the same taxable income on one return (except in Quebec, which runs its own provincial return). Where you live on **December 31** decides which province taxes the whole year. ## 2026 federal tax brackets Federal income tax rates, 2026 tax year Taxable income Federal rate Up to $58,523 14% $58,523 to $117,045 20.5% $117,045 to $181,440 26% $181,440 to $258,482 29% Over $258,482 33% The lowest federal rate is 14% for 2026. Everyone also gets a federal **basic personal amount** (BPA) of $16,452, a credit worth 14% of that amount. It shrinks gradually to $14,829 for taxable income between $181,440 and $258,482. Employees also claim the Canada employment amount of up to $1,501. ## 2026 provincial and territorial tax brackets Each province sets its own brackets and its own basic personal amount. Provincial credits are generally worth the province's lowest rate times the amount. Provincial and territorial income tax rates, 2026 Province or territory Rates and brackets Basic personal amount Ontario 5.05% up to $53,891 - 9.15% from $53,891 to $107,785 - 11.16% from $107,785 to $150,000 - 12.16% from $150,000 to $220,000 - 13.16% above $220,000 $12,989 Quebec 14% up to $54,345 - 19% from $54,345 to $108,680 - 24% from $108,680 to $132,245 - 25.75% above $132,245 $18,952 British Columbia 5.6% up to $50,363 - 7.7% from $50,363 to $100,728 - 10.5% from $100,728 to $115,648 - 12.29% from $115,648 to $140,430 - 14.7% from $140,430 to $190,405 - 16.8% from $190,405 to $265,545 - 20.5% above $265,545 $13,216 Alberta 8% up to $61,200 - 10% from $61,200 to $154,259 - 12% from $154,259 to $185,111 - 13% from $185,111 to $246,813 - 14% from $246,813 to $370,220 - 15% above $370,220 $22,769 Manitoba 10.8% up to $47,564 - 12.75% from $47,564 to $101,200 - 17.4% above $101,200 $15,780 Saskatchewan 10.5% up to $54,532 - 12.5% from $54,532 to $155,805 - 14.5% above $155,805 $20,381 Nova Scotia 8.79% up to $30,995 - 14.95% from $30,995 to $61,991 - 16.67% from $61,991 to $97,417 - 17.5% from $97,417 to $157,124 - 21% above $157,124 $11,932 New Brunswick 9.4% up to $52,333 - 14% from $52,333 to $104,666 - 16% from $104,666 to $193,861 - 19.5% above $193,861 $13,664 Newfoundland and Labrador 8.7% up to $44,678 - 14.5% from $44,678 to $89,354 - 15.8% from $89,354 to $159,528 - 17.8% from $159,528 to $223,340 - 19.8% from $223,340 to $285,319 - 20.8% from $285,319 to $570,638 - 21.3% from $570,638 to $1,141,275 - 21.8% above $1,141,275 $11,188 Prince Edward Island 9.5% up to $33,928 - 13.47% from $33,928 to $65,820 - 16.6% from $65,820 to $106,890 - 17.62% from $106,890 to $142,520 - 19% from $142,520 to $200,000 - 20% above $200,000 $15,000 Northwest Territories 5.9% up to $53,003 - 8.6% from $53,003 to $106,009 - 12.2% from $106,009 to $172,346 - 14.05% above $172,346 $18,198 Nunavut 4% up to $55,801 - 7% from $55,801 to $111,602 - 9% from $111,602 to $181,439 - 11.5% above $181,439 $19,659 Yukon 6.4% up to $58,523 - 9% from $58,523 to $117,045 - 10.9% from $117,045 to $181,440 - 12.8% from $181,440 to $500,000 - 15% above $500,000 $16,452 **Ontario** adds a surtax: 20% of Ontario tax above $5,818 and a further 36% above $7,446, plus the Ontario Health Premium (up to $900 a year). That's why Ontario's effective top rates are higher than its bracket table suggests. **Quebec** residents get a 16.5% reduction of federal tax (the Quebec abatement) because Quebec funds some programs itself, then pay Quebec tax through a separate Revenu Québec return. ## Your combined marginal rate at common salaries Your **marginal rate** is the tax on your next dollar of income: federal plus provincial, after credits, surtaxes and phase-outs. It's the number that matters for an RRSP deduction, a raise or a bonus. The table below is for employment income in 2026, measured on the next $1,000. Combined federal and provincial rates on employment income, 2026 (Kosh estimates) Province or territory Marginal at $60,000 Marginal at $100,000 Marginal at $150,000 Average at $100,000 Ontario 29.6% 31.5% 43.4% 20% Quebec 36.1% 36.1% 47.5% 24.5% British Columbia 28.2% 28.2% 40.7% 18.9% Alberta 28.5% 30.5% 36% 19.8% Manitoba 33.3% 33.3% 43.4% 22.8% Saskatchewan 33% 33% 38.5% 21.9% Nova Scotia 35.4% 38% 43.5% 25.4% New Brunswick 34.5% 34.5% 42% 23% Newfoundland and Labrador 35% 36.3% 41.8% 23.8% Prince Edward Island 34% 37.1% 45% 24.4% Northwest Territories 29.1% 29.1% 38.2% 19% Nunavut 27.5% 27.5% 35% 17.6% Yukon 29.5% 29.5% 36.9% 19.3% Notice how far the **average** rate sits below the marginal one. In Ontario, a $100,000 salary pays about $20,024 in income tax, an average of 20%, even though the next dollar is taxed at about 31.5%. Our guide to [marginal vs average tax rates](/learn/marginal-vs-average-tax-rate) explains why both numbers matter. ## What's not in the brackets: CPP and EI Your pay stub also shows CPP (QPP in Quebec) and EI. These are contributions, not income tax. In 2026 employees pay 5.95% CPP on earnings between $3,500 and $74,600 (up to $4,230.45), plus 4% CPP2 on earnings from $74,600 up to $85,000 (up to $416), and 1.63% EI on insurable earnings up to $68,900 (up to $1,123.07). See [CPP and CPP2 explained](/learn/cpp-and-cpp2-explained). [Free tool**Income tax calculator**Work out your 2026 federal and provincial income tax, CPP and EI, and what you keep, in any province or territory. Add self-employment income, capital gains and RRSP contributions to see how each one changes the bill.](/tools/income-tax-calculator)[Free tool**Take-home pay calculator**Turn a salary or hourly wage into what actually lands in your account each payday, after federal and provincial tax, CPP and EI.](/tools/take-home-pay-calculator)[Free tool**Marginal tax rate calculator**See how much of your next dollar goes to tax in your province, on salary and interest, capital gains and dividends. It's the number that decides what an RRSP contribution saves and what a raise is worth.](/tools/marginal-tax-rate-calculator) **Where Kosh fits** Brackets are the same for everyone; what you actually owe depends on your salary, RSUs, side income, gains and the deductions you use. Kosh works that out from your own statements for your province and shows which move saves the most tax this year. ## Frequently asked questions What are the federal tax brackets for 2026? For 2026: 14% up to $58,523; 20.5% from $58,523 to $117,045; 26% from $117,045 to $181,440; 29% from $181,440 to $258,482; 33% above $258,482. Provincial or territorial tax is added on top. What is the lowest federal tax rate in 2026? 14%, on taxable income up to $58,523. The basic personal amount of up to $16,452 means the first part of your income is effectively tax-free federally. Does moving into a higher tax bracket mean I take home less? No. Only the income above the bracket threshold is taxed at the higher rate. A raise always leaves you with more after income tax, although income-tested benefits can shrink as income rises. Which province's tax do I pay if I moved during the year? You pay provincial or territorial tax to the one where you lived on December 31 of the tax year, on the whole year's income. Business income earned through a permanent establishment in another province is an exception. What is the top combined tax rate in Canada? It depends on the province. The federal top rate is 33% on taxable income over $258,482; add your province's top rate (and Ontario's surtax) to get the combined top rate. ## Sources - [CRA: Tax rates and income brackets for individuals](https://www.canada.ca/en/revenue-agency/services/tax/individuals/frequently-asked-questions-individuals/canadian-income-tax-rates-individuals-current-previous-years.html) - [CRA: T4127 Payroll Deductions Formulas](https://www.canada.ca/en/revenue-agency/services/forms-publications/payroll/t4127-payroll-deductions-formulas.html) - [CRA: Adjustment of personal income tax and benefit amounts (2026)](https://www.canada.ca/en/revenue-agency/services/tax/individuals/frequently-asked-questions-individuals/adjustment-personal-income-tax-benefit-amounts.html) Written by the Kosh team and checked against the rules in force on October 31, 2026. This guide is general information, not tax, legal or investment advice. Kosh is an educational financial planning tool by Primedepth Labs. It is not registered with any Canadian securities regulator as an adviser or dealer, does not recommend specific securities, and does not hold your money or execute trades. Tax figures are estimates; confirm with the CRA or a qualified professional before acting. Investing carries risk. ## Upload your statement and Kosh does this for you. Kosh reads your bank, card and investment statements, estimates your federal and provincial tax and turns guides like this one into your own numbers and next steps. [Start free](/signup?via=learn-canadian-tax-brackets-2026)