2026 tax year · CRA rates, updated July 2026

Income tax calculator 2026

Your federal and provincial income tax for the year, in any province or territory, Quebec included. See which brackets your salary falls in and what you pay on the next dollar.

Province or territory of residence

Enter pay as

Annual salaryHourly wage

Annual salary

RRSP contributions this year (optional)

Income tax in Ontario

$8,320/year

on $60,000 of employment income

Average 13.9%Marginal 28.1%

Federal tax

$5,338.29

8.9% of income

Provincial tax

$2,981.73

5.0% of income

CPP

$3,361.75

pension contributions

$978.00

employment insurance

Tax by bracket

Federal brackets

14%on $58,523$8,193.22
20.5%on $912$186.96

Credits and adjustments−$3,041.89

Federal tax$5,338.29

Ontario brackets

5.05%on $53,891$2,721.50
9.15%on $5,544$507.28

Credits and adjustments−$247.05

Provincial tax$2,981.73

Each rate only applies to the slice of income inside its bracket. Credits for the basic personal amount, CPP, EI and the Canada employment amount then bring the tax down.

After tax and contributions$47,340

Per month$3,945

Tax on the next $1,000$281

Income tax on $75,000 by province, 2026
#	Province / territory	Provincial	Total tax	Average
1	Nunavut	$2,553	$10,812	14.4%
2	Northwest Territories	$3,609	$11,867	15.8%
3	British Columbia	$3,661	$11,920	15.9%
4	Yukon	$3,716	$11,975	16.0%
5	Alberta	$4,010	$12,269	16.4%
6	Ontario	$4,446	$12,704	16.9%
7	Saskatchewan	$5,566	$13,824	18.4%
8	New Brunswick	$6,270	$14,529	19.4%
9	Manitoba	$6,347	$14,606	19.5%
10	Newfoundland and Labrador	$6,636	$14,894	19.9%
11	Prince Edward Island	$7,056	$15,315	20.4%
12	Quebec	$8,466	$15,322	20.4%
13	Nova Scotia	$7,948	$16,207	21.6%

Federal plus provincial or territorial income tax on employment income, lowest first. Quebec's federal tax is after the abatement.

Income tax calculators by province

ONOntario

$8,320 tax on $60k

Tax brackets Income tax

QCQuebec

$10,074 tax on $60k

Tax brackets Income tax

BCBritish Columbia

$7,905 tax on $60k

Tax brackets Income tax

ABAlberta

$7,970 tax on $60k

Tax brackets Income tax

MBManitoba

$9,887 tax on $60k

Tax brackets Income tax

SKSaskatchewan

$9,140 tax on $60k

Tax brackets Income tax

NSNova Scotia

$10,934 tax on $60k

Tax brackets Income tax

NBNew Brunswick

$9,613 tax on $60k

Tax brackets Income tax

NLNewfoundland and Labrador

$9,898 tax on $60k

Tax brackets Income tax

PEPrince Edward Island

$10,214 tax on $60k

Tax brackets Income tax

NTNorthwest Territories

$7,722 tax on $60k

Tax brackets Income tax

YTYukon

$7,775 tax on $60k

Tax brackets Income tax

NUNunavut

$6,887 tax on $60k

Tax brackets Income tax

Questions

How is income tax calculated in Canada?

Taxable income (salary minus deductions like RRSP contributions) is split into brackets, each taxed at its own rate, once for federal tax and once for provincial or territorial tax. Non-refundable credits, starting with the basic personal amount, are then subtracted from each tax.

What is the difference between average and marginal tax rate?

The marginal rate is the combined tax on your next dollar of income; the average rate is your total tax divided by your income. Because the first dollars are tax-free or taxed at low rates, the average rate is always lower.

Does this include CPP and EI?

The result shows income tax, and CPP (QPP in Quebec), EI and QPIP separately, because they are contributions rather than tax. They do reduce income tax a little through credits and the deduction for enhanced CPP or QPP.

What is not included?

Other income such as investments, rental or self-employment income, and credits beyond the basic ones, such as tuition, medical expenses, donations, the Canada workers benefit or low-income tax reductions like Ontario's LIFT credit. Those depend on your own tax return.

Does it work for Quebec?

Yes. Quebec tax uses Revenu Québec's brackets, basic personal amount and deduction for workers, and federal tax includes the 16.5% Quebec abatement, with QPP, QPIP and the Quebec EI rate.