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
| Taxable income | Rate | Tax at the top |
|---|---|---|
| Up to $58,523 | 14% | $8,193 |
| $58,523 – $117,045 | 20.5% | $20,190 |
| $117,045 – $181,440 | 26% | $36,933 |
| $181,440 – $258,482 | 29% | $59,275 |
| Over $258,482 | 33% | — |
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.
| Province / territory | Lowest | Top rate | Top combined |
|---|---|---|---|
| Ontario | 5.05% | 13.16% over $220,000 | 53.53% |
| Quebec | 14% | 25.75% over $132,245 | 53.31% |
| British Columbia | 5.6% | 20.5% over $265,545 | 53.5% |
| Alberta | 8% | 15% over $370,220 | 48% |
| Manitoba | 10.8% | 17.4% over $100,000 | 50.4% |
| Saskatchewan | 10.5% | 14.5% over $155,805 | 47.5% |
| Nova Scotia | 8.79% | 21% over $157,124 | 54% |
| New Brunswick | 9.4% | 19.5% over $193,861 | 52.5% |
| Newfoundland and Labrador | 8.7% | 21.8% over $1,141,275 | 54.8% |
| Prince Edward Island | 9.5% | 20% over $200,000 | 53% |
| Northwest Territories | 5.9% | 14.05% over $172,346 | 47.05% |
| Yukon | 6.4% | 15% over $500,000 | 48% |
| Nunavut | 4% | 11.5% over $181,439 | 44.5% |
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.
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.