2026 tax year · CRA rates, updated July 2026

Canadian tax brackets 2026

Federal and provincial income tax rates for the 2026 tax year in all 13 provinces and territories, with the combined rate you pay on your next dollar.

Federal rates

14%–33%

5 brackets

Federal basic amount

$16,452

tax-free income

Lowest tax on $75k

Nunavut

$10,812

Highest top rate

54.8%

Newfoundland and Labrador

Federal 2026 tax brackets
Taxable incomeRateTax on the bracketTax at the top
Up to $58,52314%$8,193$8,193
$58,523 – $117,04520.5%$11,997$20,190
$117,045 – $181,44026%$16,743$36,933
$181,440 – $258,48229%$22,342$59,275
Over $258,48233%——

The same in every province. The lowest rate is 14% for 2026. Quebec residents then get a 16.5% abatement on basic federal tax.

How Canadian income tax brackets work

Canadians pay two income taxes on the same income: federal tax, with the brackets on the left, and provincial or territorial tax, with the brackets of the province where you live on December 31.

Brackets are marginal: each rate only applies to the slice of income inside it. Your marginal rate is federal plus provincial on your last dollar; your average rate, total tax divided by income, is always lower.

Both governments then subtract non-refundable credits at their lowest rate: the basic personal amount, CPP and EI contributions, the Canada employment amount and others.

Not sure what you will owe? Try the income tax calculator.

Provincial and territorial tax brackets at a glance, 2026
Province / territoryLowestTop rateBracketsBasic amountTop combined
Ontario5.05%13.16% over $220,0005$12,98953.53%
Quebec14%25.75% over $132,2454$18,95253.31%
British Columbia5.6%20.5% over $265,5457$13,21653.5%
Alberta8%15% over $370,2206$22,76948%
Manitoba10.8%17.4% over $100,0003$15,78050.4%
Saskatchewan10.5%14.5% over $155,8053$20,38147.5%
Nova Scotia8.79%21% over $157,1245$11,93254%
New Brunswick9.4%19.5% over $193,8614$13,66452.5%
Newfoundland and Labrador8.7%21.8% over $1,141,2758$13,09454.8%
Prince Edward Island9.5%20% over $200,0006$15,00053%
Northwest Territories5.9%14.05% over $172,3464$18,19847.05%
Yukon6.4%15% over $500,0005$16,45248%
Nunavut4%11.5% over $181,4394$19,65944.5%

Top combined = federal 33% plus the top provincial rate (Ontario with its surtax, Quebec after the federal abatement). Full-year 2026 rates.

Tax brackets by province

Each page has every bracket, the combined marginal rates and a worked example.

ONOntario

5.05%–13.16% in 5 brackets

QCQuebec

14%–25.75% in 4 brackets

BCBritish Columbia

5.6%–20.5% in 7 brackets

ABAlberta

8%–15% in 6 brackets

MBManitoba

10.8%–17.4% in 3 brackets

SKSaskatchewan

10.5%–14.5% in 3 brackets

NSNova Scotia

8.79%–21% in 5 brackets

NBNew Brunswick

9.4%–19.5% in 4 brackets

NLNewfoundland and Labrador

8.7%–21.8% in 8 brackets

PEPrince Edward Island

9.5%–20% in 6 brackets

NTNorthwest Territories

5.9%–14.05% in 4 brackets

YTYukon

6.4%–15% in 5 brackets

NUNunavut

4%–11.5% in 4 brackets

Questions

What are the federal tax brackets for 2026?

14% on the first $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% over $258,482 of taxable income. The federal basic personal amount is $16,452.

How do tax brackets work?

Each rate applies only to the part of your income inside its bracket. If you earn $1 over a threshold, only that dollar is taxed at the higher rate, so a raise never lowers your after-tax income.

Which province has the lowest income tax?

On a $75,000 salary, Nunavut has the lowest total income tax for 2026: $10,812 federal and territorial combined. The ranking changes with income, so check the table for your salary.

Which province has the highest top tax rate?

Newfoundland and Labrador, where the combined top marginal rate is 54.8%. The lowest top rate is in Nunavut (44.5%).

Are tax brackets based on gross or taxable income?

Taxable income: salary and other income minus deductions such as RRSP contributions, union dues and the enhanced part of CPP or QPP. Credits like the basic personal amount then reduce the tax itself.

Do tax brackets change every year?

Most are indexed to inflation every January. British Columbia has announced it will keep its 2026 brackets frozen from 2027 to 2030, and Manitoba stopped indexing its brackets from 2025.