| Jurisdiction(1) | Tax on Income Top Rate (%) | Tax-On-Tax Top Rate (%) | Provincial Surtax (%) | 2025 Combined Top Marginal Rates | |||
|---|---|---|---|---|---|---|---|
| Regular Income (%) | Eligible Dividends (%) | Ineligible Dividends (%) | Capital Gains (%) | ||||
| Federal | 33.00 | --- | --- | --- | --- | --- | --- |
| British Columbia >$260K | 20.50 | --- | --- | 53.50 | 36.54 | 48.89 | 26.75 |
| Alberta >$363K | 15.00 | --- | --- | 48.00 | 34.31 | 42.30 | 24.00 |
| Saskatchewan | 14.50 | --- | --- | 47.50 | 29.64 | 41.34 | 23.75 |
| Manitoba >$400K | 17.40 | --- | --- | 50.40 | 37.78 | 46.67 | 25.20 |
| Ontario | 13.16 | --- | 20.00/36.00 | 53.53 | 39.34 | 47.74 | 26.77 |
| Québec | 25.75 | --- | --- | 53.31 | 40.11 | 48.70 | 26.66 |
| New Brunswick | 19.50 | --- | --- | 52.50 | 32.40 | 46.83 | 26.25 |
| Nova Scotia(2) | 21.00 | --- | --- | 54.00 | 41.58 | 49.99 | 27.00 |
| Prince Edward Island(3) | 19.00 | --- | --- | 52.00 | 36.54 | 47.92 | 26.00 |
| Newfoundland & Labrador >$1.13M | 21.80 | --- | --- | 54.80 | 46.20 | 48.96 | 27.40 |
| Yukon >$500K | 15.00 | --- | --- | 48.00 | 28.92 | 44.05 | 24.00 |
| Northwest Territories | 14.05 | --- | --- | 47.05 | 28.33 | 36.82 | 23.53 |
| Nunavut | 11.50 | --- | --- | 44.50 | 33.08 | 37.79 | 22.25 |
| Non-resident | --- | 48.00 | --- | 48.84 | --- | --- | 24.42 |
Notes:
(1) The federal top marginal tax rate applies on taxable income over $253,414 for 2025. Where the provincial or territorial threshold is higher than federal, the amount is indicated above.
(2) Nova Scotia — The dividend tax credit rate on the taxable amount of ineligible dividends decreased from 2.99% to 1.50% for 2025.
(3) Prince Edward Island — The top marginal tax rate increased from 18.75% to 19% and applies to taxable income over $140,000 for 2025.
2025 combined federal and provincial/territorial tax brackets
Use the following tables to estimate combined federal and provincial/territorial tax and combined marginal tax rates on regular income, dividends and capital gains. Tax rates and amounts include surtaxes where applicable. Where applicable, reduce the tax by your total federal and provincial/territorial tax credits, and consider provincial/territorial tax reductions at lower levels of income.
Note that the 2025 federal basic personal amount (BPA) increased from $14,538 to $16,129 for taxpayers with net income of $177,882 or less. For income above this threshold, the additional BPA of $1,591 is gradually reduced until it becomes nil at net income of $253,414. Similar BPA reductions apply in Manitoba and Yukon when income exceeds a certain threshold. The marginal tax rates and the tax on bottom of range in the following tables (other than the table for non-residents) have been adjusted to reflect these BPA reductions described above.
These estimates do not consider alternative minimum tax (AMT). For individuals, AMT is only calculated on income over $177,882 federally.
Federal rates: The lowest federal personal income tax rate is reduced from 15% to 14%, effective July 1, 2025. As a result, the rate that would apply for the 2025 taxation year is 14.5%.
| Taxable Income Range ($) | Tax on Bottom of Range (Regular Income) ($) | Rate on Regular Income (%) | Rate on Eligible Dividends (%) | Rate on Ineligible Dividends (%) | Rate on Capital Gains (%) | |
|---|---|---|---|---|---|---|
| From: | To: | |||||
| 0 | 49,279 | 0 | 19.56 | 0.00 | 9.86 | 9.78 |
| 49,279 | 57,375 | 9,639 | 22.20 | 0.00 | 12.90 | 11.10 |
| 57,375 | 98,560 | 11,436 | 28.20 | 7.56 | 19.80 | 14.10 |
| 98,560 | 113,158 | 23,050 | 31.00 | 7.56 | 23.02 | 15.50 |
| 113,158 | 114,750 | 27,576 | 32.79 | 7.96 | 25.07 | 16.40 |
| 114,750 | 137,407 | 28,098 | 38.29 | 15.55 | 31.40 | 19.15 |
| 137,407 | 177,882 | 36,773 | 40.70 | 18.88 | 34.17 | 20.35 |
| 177,882 | 186,306 | 53,247 | 44.01 | 23.44 | 37.97 | 22.01 |
| 186,306 | 253,414 | 56,954 | 46.11 | 26.34 | 40.39 | 23.06 |
| 253,414 | 259,829 | 87,894 | 49.80 | 31.44 | 44.64 | 24.90 |
| 259,829 | and over | 91,089 | 53.50 | 36.54 | 48.89 | 26.75 |
| Taxable Income Range ($) | Tax on Bottom of Range (Regular Income) ($) | Rate on Regular Income (%) | Rate on Eligible Dividends (%) | Rate on Ineligible Dividends (%) | Rate on Capital Gains (%) | |
|---|---|---|---|---|---|---|
| From: | To: | |||||
| 0 | 57,375 | 0 | 22.50 | 0.00 | 12.98 | 11.25 |
| 57,375 | 60,000 | 12,909 | 28.50 | 7.56 | 19.88 | 14.25 |
| 60,000 | 114,750 | 13,658 | 30.50 | 10.16 | 22.18 | 15.25 |
| 114,750 | 151,234 | 30,356 | 36.00 | 17.75 | 28.50 | 18.00 |
| 151,234 | 177,882 | 43,490 | 38.00 | 20.51 | 30.80 | 19.00 |
| 177,882 | 181,481 | 53,617 | 41.31 | 25.07 | 34.61 | 20.66 |
| 181,481 | 241,974 | 55,103 | 42.31 | 26.45 | 35.76 | 21.16 |
| 241,974 | 253,414 | 80,695 | 43.31 | 27.83 | 36.91 | 21.66 |
| 253,414 | 362,961 | 85,649 | 47.00 | 32.93 | 41.15 | 23.50 |
| 362,961 | and over | 137,136 | 48.00 | 34.31 | 42.30 | 24.00 |
Alberta rates: A new personal tax bracket of 8% on the first $60,000 of income applies, effective January 1, 2025.
| Taxable Income Range ($) | Tax on Bottom of Range (Regular Income) ($) | Rate on Regular Income (%) | Rate on Eligible Dividends (%) | Rate on Ineligible Dividends (%) | Rate on Capital Gains (%) | |
|---|---|---|---|---|---|---|
| From: | To: | |||||
| 0 | 53,463 | 0 | 25.00 | 0.00 | 15.47 | 12.50 |
| 53,463 | 57,375 | 13,366 | 27.00 | 2.07 | 17.77 | 13.50 |
| 57,375 | 114,750 | 14,422 | 33.00 | 9.63 | 24.67 | 16.50 |
| 114,750 | 152,750 | 33,356 | 38.50 | 17.22 | 30.99 | 19.25 |
| 152,750 | 177,882 | 47,986 | 40.50 | 19.98 | 33.29 | 20.25 |
| 177,882 | 253,414 | 58,164 | 43.81 | 24.54 | 37.09 | 21.91 |
| 253,414 | and over | 91,251 | 47.50 | 29.64 | 41.34 | 23.75 |
| Taxable Income Range ($) | Tax on Bottom of Range (Regular Income) ($) | Rate on Regular Income (%) | Rate on Eligible Dividends (%) | Rate on Ineligible Dividends (%) | Rate on Capital Gains (%) | |
|---|---|---|---|---|---|---|
| From: | To: | |||||
| 0 | 47,564 | 0 | 25.30 | 3.86 | 17.81 | 12.65 |
| 47,564 | 57,375 | 12,034 | 27.25 | 6.56 | 20.05 | 13.63 |
| 57,375 | 101,200 | 14,707 | 33.25 | 14.12 | 26.95 | 16.63 |
| 101,200 | 114,750 | 29,279 | 37.90 | 20.53 | 32.30 | 18.95 |
| 114,750 | 177,882 | 34,414 | 43.40 | 28.12 | 38.62 | 21.70 |
| 177,882 | 200,000 | 61,814 | 46.71 | 32.69 | 42.43 | 23.36 |
| 200,000 | 253,414 | 72,144 | 47.56 | 33.86 | 43.41 | 23.78 |
| 253,414 | 400,000 | 97,546 | 51.25 | 38.96 | 47.65 | 25.63 |
| 400,000 | and over | 172,675 | 50.40 | 37.78 | 46.67 | 25.20 |
Manitoba BPA: The Manitoba BPA is phased out over a net income range of $200,000 to $400,000, effective for the 2025 tax year. The marginal tax rates in the above table have been adjusted to reflect this.
| Taxable Income Range ($) | Tax on Bottom of Range (Regular Income) ($) | Rate on Regular Income (%) | Rate on Eligible Dividends (%) | Rate on Ineligible Dividends (%) | Rate on Capital Gains (%) | |
|---|---|---|---|---|---|---|
| From: | To: | |||||
| 0 | 52,886 | 0 | 19.55 | 0.00 | 8.66 | 9.78 |
| 52,886 | 57,375 | 10,339 | 23.65 | 0.00 | 13.38 | 11.83 |
| 57,375 | 93,137 | 11,401 | 29.65 | 7.56 | 20.28 | 14.83 |
| 93,137 | 105,775 | 22,004 | 31.48 | 8.92 | 22.38 | 15.74 |
| 105,775 | 109,723 | 25,983 | 33.89 | 12.24 | 25.16 | 16.95 |
| 109,723 | 114,750 | 27,321 | 37.91 | 17.79 | 29.78 | 18.95 |
| 114,750 | 150,000 | 29,226 | 43.41 | 25.38 | 36.10 | 21.70 |
| 150,000 | 177,882 | 44,528 | 44.97 | 27.53 | 37.90 | 22.48 |
| 177,882 | 220,000 | 57,067 | 48.28 | 32.09 | 41.70 | 24.14 |
| 220,000 | 253,414 | 77,399 | 49.84 | 34.25 | 43.49 | 24.92 |
| 253,414 | and over | 94,051 | 53.53 | 39.34 | 47.74 | 26.77 |
| Taxable Income Range ($) | Tax on Bottom of Range (Regular Income) ($) | Rate on Regular Income (%) | Rate on Eligible Dividends (%) | Rate on Ineligible Dividends (%) | Rate on Capital Gains (%) | |
|---|---|---|---|---|---|---|
| From: | To: | |||||
| 0 | 53,255 | 0 | 26.11 | 3.17 | 17.42 | 13.06 |
| 53,255 | 57,375 | 13,904 | 31.11 | 10.07 | 23.17 | 15.56 |
| 57,375 | 106,495 | 15,185 | 36.12 | 16.39 | 28.93 | 18.06 |
| 106,495 | 114,750 | 32,926 | 41.12 | 23.29 | 34.68 | 20.56 |
| 114,750 | 129,590 | 36,320 | 45.71 | 29.63 | 39.96 | 22.86 |
| 129,590 | 177,882 | 43,104 | 47.46 | 32.04 | 41.97 | 23.73 |
| 177,882 | 253,414 | 66,023 | 50.22 | 35.85 | 45.15 | 25.11 |
| 253,414 | and over | 103,955 | 53.31 | 40.11 | 48.70 | 26.66 |
| Taxable Income Range ($) | Tax on Bottom of Range (Regular Income) ($) | Rate on Regular Income (%) | Rate on Eligible Dividends (%) | Rate on Ineligible Dividends (%) | Rate on Capital Gains (%) | |
|---|---|---|---|---|---|---|
| From: | To: | |||||
| 0 | 51,306 | 0 | 23.90 | 0.00 | 13.94 | 11.95 |
| 51,306 | 57,375 | 12,262 | 28.50 | 0.00 | 19.23 | 14.25 |
| 57,375 | 102,614 | 13,992 | 34.50 | 7.56 | 26.13 | 17.25 |
| 102,614 | 114,750 | 29,599 | 36.50 | 10.32 | 28.43 | 18.25 |
| 114,750 | 177,882 | 34,029 | 42.00 | 17.91 | 34.75 | 21.00 |
| 177,882 | 190,060 | 60,544 | 45.31 | 22.47 | 38.55 | 22.66 |
| 190,060 | 253,414 | 66,062 | 48.81 | 27.30 | 42.58 | 24.41 |
| 253,414 | and over | 96,982 | 52.50 | 32.40 | 46.83 | 26.25 |
| Taxable Income Range ($) | Tax on Bottom of Range (Regular Income) ($) | Rate on Regular Income (%) | Rate on Eligible Dividends (%) | Rate on Ineligible Dividends (%) | Rate on Capital Gains (%) | |
|---|---|---|---|---|---|---|
| From: | To: | |||||
| 0 | 30,507 | 0 | 23.29 | 0.00 | 14.67 | 11.65 |
| 30,507 | 57,375 | 7,105 | 29.45 | 8.42 | 21.76 | 14.73 |
| 57,375 | 61,015 | 15,018 | 35.45 | 15.98 | 28.66 | 17.73 |
| 61,015 | 95,883 | 16,308 | 37.17 | 18.35 | 30.64 | 18.59 |
| 95,883 | 114,750 | 29,269 | 38.00 | 19.50 | 31.59 | 19.00 |
| 114,750 | 154,650 | 36,438 | 43.50 | 27.09 | 37.92 | 21.75 |
| 154,650 | 177,882 | 53,794 | 47.00 | 31.92 | 41.94 | 23.50 |
| 177,882 | 253,414 | 64,714 | 50.31 | 36.48 | 45.74 | 25.16 |
| 253,414 | and over | 102,710 | 54.00 | 41.58 | 49.99 | 27.00 |
Nova Scotia BPA: Effective for the 2025 tax year, the Nova Scotia BPA is $11,744 for all individuals, as the reduction provision for those with taxable income above $25,000 has been removed.
| Taxable Income Range ($) | Tax on Bottom of Range (Regular Income) ($) | Rate on Regular Income (%) | Rate on Eligible Dividends (%) | Rate on Ineligible Dividends (%) | Rate on Capital Gains (%) | |
|---|---|---|---|---|---|---|
| From: | To: | |||||
| 0 | 33,328 | 0 | 24.00 | 0.00 | 15.72 | 12.00 |
| 33,328 | 57,375 | 7,999 | 27.97 | 4.10 | 20.28 | 13.99 |
| 57,375 | 64,656 | 14,725 | 33.97 | 11.66 | 27.18 | 16.99 |
| 64,656 | 105,000 | 17,198 | 37.10 | 15.98 | 30.78 | 18.55 |
| 105,000 | 114,750 | 32,166 | 38.12 | 17.39 | 31.95 | 19.06 |
| 114,750 | 140,000 | 35,882 | 43.62 | 24.98 | 38.28 | 21.81 |
| 140,000 | 177,882 | 46,896 | 45.00 | 26.88 | 39.87 | 22.50 |
| 177,882 | 253,414 | 63,943 | 48.31 | 31.44 | 43.67 | 24.16 |
| 253,414 | and over | 100,429 | 52.00 | 36.54 | 47.92 | 26.00 |
| Taxable Income Range ($) | Tax on Bottom of Range (Regular Income) ($) | Rate on Regular Income (%) | Rate on Eligible Dividends (%) | Rate on Ineligible Dividends (%) | Rate on Capital Gains (%) | |
|---|---|---|---|---|---|---|
| From: | To: | |||||
| 0 | 44,192 | 0 | 23.20 | 3.31 | 12.62 | 11.60 |
| 44,192 | 57,375 | 10,253 | 29.00 | 11.32 | 19.29 | 14.50 |
| 57,375 | 88,382 | 14,076 | 35.00 | 18.88 | 26.19 | 17.50 |
| 88,382 | 114,750 | 24,928 | 36.30 | 20.67 | 27.68 | 18.15 |
| 114,750 | 157,792 | 34,500 | 41.80 | 28.26 | 34.01 | 20.90 |
| 157,792 | 177,882 | 52,491 | 43.80 | 31.02 | 36.31 | 21.90 |
| 177,882 | 220,910 | 61,291 | 47.11 | 35.58 | 40.11 | 23.56 |
| 220,910 | 253,414 | 81,559 | 49.11 | 38.34 | 42.41 | 24.56 |
| 253,414 | 282,214 | 97,520 | 52.80 | 43.44 | 46.66 | 26.40 |
| 282,214 | 564,429 | 112,727 | 53.80 | 44.82 | 47.81 | 26.90 |
| 564,429 | 1,128,858 | 264,558 | 54.30 | 45.51 | 48.38 | 27.15 |
| 1,128,858 | and over | 571,043 | 54.80 | 46.20 | 48.96 | 27.40 |
| Taxable Income Range ($) | Tax on Bottom of Range (Regular Income) ($) | Rate on Regular Income (%) | Rate on Eligible Dividends (%) | Rate on Ineligible Dividends (%) | Rate on Capital Gains (%) | |
|---|---|---|---|---|---|---|
| From: | To: | |||||
| 0 | 57,375 | 0 | 20.90 | 0.00 | 12.88 | 10.45 |
| 57,375 | 114,750 | 11,991 | 29.50 | 7.56 | 22.77 | 14.75 |
| 114,750 | 177,882 | 28,917 | 36.90 | 15.15 | 31.28 | 18.45 |
| 177,882 | 253,414 | 52,213 | 42.24 | 20.97 | 37.43 | 21.12 |
| 253,414 | 500,000 | 84,118 | 45.80 | 25.89 | 41.52 | 22.90 |
| 500,000 | and over | 197,054 | 48.00 | 28.92 | 44.05 | 24.00 |
Yukon BPA: For taxpayers with net income of $177,882 or less, the Yukon BPA is $16,129, which comprises of a base amount of $14,538, plus an additional $1,591. For those with net income above this threshold, the additional BPA of $1,591 is gradually reduced and becomes nil once net income reaches $253,414.
| Taxable Income Range ($) | Tax on Bottom of Range (Regular Income) ($) | Rate on Regular Income (%) | Rate on Eligible Dividends (%) | Rate on Ineligible Dividends (%) | Rate on Capital Gains (%) | |
|---|---|---|---|---|---|---|
| From: | To: | |||||
| 0 | 51,964 | 0 | 20.40 | 0.00 | 6.29 | 10.20 |
| 51,964 | 57,375 | 10,601 | 23.10 | 0.00 | 9.28 | 11.55 |
| 57,375 | 103,930 | 11,851 | 29.10 | 7.56 | 16.18 | 14.55 |
| 103,930 | 114,750 | 25,398 | 32.70 | 8.53 | 20.32 | 16.35 |
| 114,750 | 168,967 | 28,936 | 38.20 | 16.12 | 26.65 | 19.10 |
| 168,967 | 177,882 | 49,647 | 40.05 | 18.67 | 28.77 | 20.03 |
| 177,882 | 253,414 | 53,218 | 43.36 | 23.23 | 32.57 | 21.68 |
| 253,414 | and over | 85,965 | 47.05 | 28.33 | 36.82 | 23.53 |
| Taxable Income Range ($) | Tax on Bottom of Range (Regular Income) ($) | Rate on Regular Income (%) | Rate on Eligible Dividends (%) | Rate on Ineligible Dividends (%) | Rate on Capital Gains (%) | |
|---|---|---|---|---|---|---|
| From: | To: | |||||
| 0 | 54,707 | 0 | 18.50 | 0.00 | 7.89 | 9.25 |
| 54,707 | 57,375 | 10,121 | 21.50 | 2.06 | 11.34 | 10.75 |
| 57,375 | 109,413 | 10,694 | 27.50 | 9.62 | 18.24 | 13.75 |
| 109,413 | 114,750 | 25,005 | 29.50 | 12.38 | 20.54 | 14.75 |
| 114,750 | 177,881 | 26,579 | 35.00 | 19.97 | 26.87 | 17.50 |
| 177,881 | 253,414 | 48,675 | 40.81 | 27.98 | 33.54 | 20.41 |
| 253,414 | and over | 79,497 | 44.50 | 33.08 | 37.79 | 22.25 |
| Taxable Income Range ($) | Tax on Bottom of Range (Regular Income) ($) | Rate on Regular Income (%) | Rate on Eligible Dividends (%) | Rate on Ineligible Dividends (%) | Rate on Capital Gains (%) | |
|---|---|---|---|---|---|---|
| From: | To: | |||||
| 0 | 57,375 | 0 | 21.46 | --- | --- | 10.73 |
| 57,375 | 114,750 | 12,313 | 30.34 | --- | --- | 15.17 |
| 114,750 | 177,882 | 29,720 | 38.48 | --- | --- | 19.24 |
| 177,882 | 253,414 | 54,013 | 42.92 | --- | --- | 21.46 |
| 253,414 | and over | 86,432 | 48.84 | --- | --- | 24.42 |
2025 personal tax quick estimate table
The estimates include only the federal and provincial BPA tax credits.
The following are not included in the estimates: low-income tax reductions, refundable provincial/territorial credits, the Ontario Health Premium, the contribution to the Health Services Fund (Québec), and the premium payable under the Québec Prescription Drug Insurance Plan.
| Regular Income Level | BC | AB | SK | MB | ON | QC |
|---|---|---|---|---|---|---|
| 10,000 | - | - | - | - | - | - |
| 15,000 | 105 | - | - | - | 114 | - |
| 20,000 | 919 | 561 | 615 | 1,017 | 928 | 669 |
| 25,000 | 1,897 | 1,500 | 1,865 | 2,282 | 1,905 | 1,974 |
| 30,000 | 2,875 | 2,625 | 3,115 | 3,547 | 2,883 | 3,279 |
| 35,000 | 3,853 | 3,750 | 4,365 | 4,812 | 3,860 | 4,585 |
| 40,000 | 4,831 | 4,875 | 5,615 | 6,077 | 4,838 | 5,890 |
| 45,000 | 5,809 | 6,000 | 6,865 | 7,342 | 5,815 | 7,196 |
| 50,000 | 6,806 | 7,125 | 8,115 | 8,655 | 6,793 | 8,501 |
| 55,000 | 7,916 | 8,250 | 9,395 | 10,017 | 7,857 | 9,894 |
| 60,000 | 9,183 | 9,533 | 10,903 | 11,537 | 9,197 | 11,581 |
| 65,000 | 10,593 | 11,058 | 12,553 | 13,200 | 10,679 | 13,386 |
| 70,000 | 12,003 | 12,583 | 14,203 | 14,862 | 12,162 | 15,192 |
| 75,000 | 13,413 | 14,108 | 15,853 | 16,525 | 13,644 | 16,998 |
| 80,000 | 14,823 | 15,633 | 17,503 | 18,187 | 15,127 | 18,804 |
| 85,000 | 16,233 | 17,158 | 19,153 | 19,850 | 16,609 | 20,610 |
| 90,000 | 17,643 | 18,683 | 20,803 | 21,512 | 18,092 | 22,416 |
| 95,000 | 19,053 | 20,208 | 22,453 | 23,175 | 19,608 | 24,222 |
| 100,000 | 20,504 | 21,733 | 24,103 | 24,837 | 21,182 | 26,028 |
| 110,000 | 23,604 | 24,783 | 27,403 | 28,571 | 24,443 | 29,815 |
| 120,000 | 27,115 | 28,122 | 30,992 | 32,650 | 28,523 | 34,167 |
| 130,000 | 30,944 | 31,722 | 34,842 | 36,990 | 32,864 | 38,746 |
| 140,000 | 34,836 | 35,322 | 38,692 | 41,330 | 37,205 | 43,492 |
| 150,000 | 38,906 | 38,922 | 42,542 | 45,670 | 41,546 | 48,238 |
| (top ON) 220,000 | 69,495 | 67,274 | 72,229 | 77,613 | 74,417 | 82,622 |
| (top federal) 253,414 | 84,901 | 81,525 | 86,866 | 93,503 | 91,069 | 99,403 |
| (top BC) 259,829 | 88,096 | 84,540 | 89,913 | 96,791 | 94,503 | 102,822 |
| (top AB) 362,961 | 143,271 | 133,012 | 138,901 | 149,649 | 149,709 | 157,797 |
| (top YT) 500,000 | 216,587 | 198,791 | 203,994 | 219,032 | 223,065 | 230,845 |
| (top NL) 1,128,858 | 553,026 | 500,642 | 502,702 | 535,976 | 559,690 | 566,058 |
| Top Combined Marginal Rates | ||||||
| Regular Income | 53.50% | 48.00% | 47.50% | 50.40% | 53.53% | 53.31% |
| Dividends — Eligible | 36.54% | 34.31% | 29.64% | 37.78% | 39.34% | 40.11% |
| Dividends — Ineligible | 48.89% | 42.30% | 41.34% | 46.67% | 47.74% | 48.70% |
| Capital Gains | 26.75% | 24.00% | 23.75% | 25.20% | 26.77% | 26.66% |
| Regular Income Level | NB | NS | PEI | NL | YT | NWT | NU |
|---|---|---|---|---|---|---|---|
| 10,000 | - | - | - | - | - | - | - |
| 15,000 | 151 | 286 | 33 | 342 | - | - | - |
| 20,000 | 1,182 | 1,287 | 1,070 | 1,338 | 809 | 689 | 590 |
| 25,000 | 2,377 | 2,451 | 2,270 | 2,498 | 1,854 | 1,709 | 1,515 |
| 30,000 | 3,572 | 3,616 | 3,470 | 3,658 | 2,899 | 2,729 | 2,440 |
| 35,000 | 4,767 | 5,057 | 4,736 | 4,818 | 3,944 | 3,749 | 3,365 |
| 40,000 | 5,962 | 6,530 | 6,134 | 5,978 | 4,989 | 4,769 | 4,290 |
| 45,000 | 7,157 | 8,002 | 7,533 | 7,185 | 6,034 | 5,789 | 5,215 |
| 50,000 | 8,352 | 9,475 | 8,931 | 8,635 | 7,079 | 6,809 | 6,140 |
| 55,000 | 9,717 | 10,947 | 10,330 | 10,085 | 8,124 | 7,911 | 7,074 |
| 60,000 | 11,299 | 12,577 | 11,886 | 11,693 | 9,395 | 9,223 | 8,307 |
| 65,000 | 13,024 | 14,418 | 13,595 | 13,443 | 10,870 | 10,678 | 9,682 |
| 70,000 | 14,749 | 16,277 | 15,450 | 15,193 | 12,345 | 12,133 | 11,057 |
| 75,000 | 16,474 | 18,135 | 17,305 | 16,943 | 13,820 | 13,588 | 12,432 |
| 80,000 | 18,199 | 19,994 | 19,160 | 18,693 | 15,295 | 15,043 | 13,807 |
| 85,000 | 19,924 | 21,852 | 21,015 | 20,443 | 16,770 | 16,498 | 15,182 |
| 90,000 | 21,649 | 23,711 | 22,870 | 22,214 | 18,245 | 17,953 | 16,557 |
| 95,000 | 23,374 | 25,569 | 24,725 | 24,029 | 19,720 | 19,408 | 17,932 |
| 100,000 | 25,099 | 27,462 | 26,580 | 25,844 | 21,195 | 20,863 | 19,307 |
| 110,000 | 28,697 | 31,262 | 30,341 | 29,474 | 24,145 | 23,992 | 22,068 |
| 120,000 | 32,636 | 35,351 | 34,442 | 33,393 | 27,483 | 27,550 | 25,307 |
| 130,000 | 36,836 | 39,701 | 38,804 | 37,573 | 31,173 | 31,370 | 28,807 |
| 140,000 | 41,036 | 44,051 | 43,166 | 41,753 | 34,863 | 35,190 | 32,307 |
| 150,000 | 45,236 | 48,401 | 47,666 | 45,933 | 38,553 | 39,010 | 35,807 |
| (top ON) 220,000 | 77,076 | 82,530 | 80,558 | 77,829 | 66,632 | 68,087 | 62,752 |
| (top federal) 253,414 | 93,384 | 99,339 | 96,699 | 94,219 | 80,747 | 82,573 | 76,387 |
| (top BC) 259,829 | 96,752 | 102,803 | 100,035 | 97,606 | 83,685 | 85,592 | 79,242 |
| (top AB) 362,961 | 150,896 | 158,495 | 153,663 | 152,867 | 130,919 | 134,115 | 125,135 |
| (top YT) 500,000 | 222,842 | 232,496 | 224,924 | 226,594 | 193,683 | 198,592 | 186,118 |
| (top NL) 1,128,858 | 552,992 | 572,079 | 551,930 | 567,742 | 495,535 | 494,470 | 465,960 |
| Top Combined Marginal Rates | |||||||
| Regular Income | 52.50% | 54.00% | 52.00% | 54.80% | 48.00% | 47.05% | 44.50% |
| Dividends — Eligible | 32.40% | 41.58% | 36.54% | 46.20% | 28.92% | 28.33% | 33.08% |
| Dividends — Ineligible | 46.83% | 49.99% | 47.92% | 48.96% | 44.05% | 36.82% | 37.79% |
| Capital Gains | 26.25% | 27.00% | 26.00% | 27.40% | 24.00% | 23.53% | 22.25% |
| Year | Dollar Contribution Limit(1) | Income Level(2) |
|---|---|---|
| 2024 | $31,560 | $175,333 |
| 2025 | $32,490 | $180,500 |
| 2026 | $33,810 | $187,833 |
| 2027 | Indexed | Indexed |
(1) RRSP contribution limit for a year is the lesser of the dollar limit for that year and 18% of the prior year's earned income, less any pension adjustment for the prior year (reported on your T4).
(2) Earned income is needed in prior year for maximum contribution.
| Year | Defined Benefit RPP(1) | Money Purchase RPP(2) | DPSP(3) |
|---|---|---|---|
| 2024 | $3,610 | $32,490 | $16,245 |
| 2025 | $3,757 | $33,810 | $16,905 |
| 2026 | Indexed | Indexed | Indexed |
(1) Maximum pension benefit per year of service.
(2) Annual contribution limit. Employee and employer contributions cannot exceed the lesser of the annual limit and 18% of the employee's compensation for the year.
(3) The DPSP limit is one-half of the money purchase RPP annual contribution limit. Employer contributions cannot exceed the lesser of the annual limit and 18% of an employee's compensation for the year.
| Jurisdiction | Maximum Yearly Insurable Earnings | Employee's Premium Rate | Employer's Premium Rate | Maximum Yearly Employee Premium | Maximum Yearly Employer Premium |
|---|---|---|---|---|---|
| All provinces and territories except Québec | $65,700 | 1.64% | 2.296% | $1,077.48 | $1,508.47 |
| Québec | $65,700 | 1.31% | 1.834% | $860.67 | $1,204.94 |
| Type of worker | Maximum Yearly Insurable Earnings | Employee's / Individual's Premium Rate | Employer's Premium Rate | Maximum Yearly Employee / Individual Premium | Maximum Yearly Employer Premium |
|---|---|---|---|---|---|
| Salaried | $98,000 | 0.494% | 0.692% | $484.12 | $678.16 |
| Self-employed | $98,000 | 0.878% | N/A | $860.44 | N/A |
| Maximum Pensionable Earnings | Basic Exemption | Maximum Contributory Earnings | Employee and Employer Rate | Maximum Employee / Employer Contribution | Maximum Self-Employed Contribution |
|---|---|---|---|---|---|
| $71,300 | $3,500 | $67,800 | CPP 5.95% / QPP 6.40% | CPP $4,034.10 / QPP $4,339.20 | CPP $8,068.20 / QPP $8,678.40 |
| Second Additional Contribution | Maximum Pensionable Earnings | Additional Maximum Annual Pensionable Earnings | Employee and Employer Rate | Maximum Employee / Employer Contribution | Maximum Self-Employed Contribution |
|---|---|---|---|---|---|
| CPP2/QPP2 | $71,300 | $81,200 | 4.00% | $396.00 | $792.00 |
*Québec employers deduct the Québec Pension Plan (QPP) contributions instead of CPP contributions. Earnings and exemption amounts are the same as above; employee/employer rates are 6.40% for maximum employee/employer contribution of $4,339.20 and maximum self-employed contribution of $8,678.40, second additional contribution rates and amounts are the same as above.
2025 corporate income tax facts and figures
The rates shown are nominal tax rates as at July 1, 2025. Add federal and provincial/territorial rates to get a combined rate. Rate and amount changes are set out in the notes and should be prorated for taxation years that straddle the effective dates (except where noted).
| Jurisdiction | Canadian-Controlled Private Corporations (CCPCs) | Other Corporations | |||
|---|---|---|---|---|---|
| Active Business Income (ABI) | Investment Income | Manufacturing & Processing | Other | ||
| Rate | Income Limit | ||||
| Federal | 9.00%/4.50% | $500,000 | 38.67% | 15.00%/7.50% | 15.00% |
| British Columbia | 2.00 | 500,000 | 12.00 | 12.00 | 12.00 |
| Alberta | 2.00 | 500,000 | 8.00 | 8.00 | 8.00 |
| Saskatchewan | 1.00 | 600,000 | 12.00 | 10.00 | 12.00 |
| Manitoba | 0.00 | 500,000 | 12.00 | 12.00 | 12.00 |
| Ontario | 3.20 | 500,000 | 11.50 | 10.00 | 11.50 |
| Québec | 3.20 | 500,000 | 11.50 | 11.50 | 11.50 |
| New Brunswick | 2.50 | 500,000 | 14.00 | 14.00 | 14.00 |
| Nova Scotia | 1.50 | 700,000 | 14.00 | 14.00 | 14.00 |
| Prince Edward Island | 1.00 | 600,000 | 15.00 | 15.00 | 15.00 |
| Newfoundland & Labrador | 2.50 | 500,000 | 15.00 | 15.00 | 15.00 |
| Yukon | 0.00 | 500,000 | 12.00 | 2.50 | 12.00 |
| Northwest Territories | 2.00 | 500,000 | 11.50 | 11.50 | 11.50 |
| Nunavut | 3.00 | 500,000 | 12.00 | 12.00 | 12.00 |
Note of changes (2024 and later years):
Federal
- The business limit is phased out for Canadian-controlled private corporations (CCPCs) based on the greater of two components:
- For corporations that have taxable capital employed in Canada of more than $10 million, the business limit is reduced on a straight-line basis and is eliminated when taxable capital reaches $50 million.
- For corporations that earned more than $50,000 of passive investment income in a year, the business limit is reduced by $5 for every $1 of investment income earned and is eliminated when investment income earned reaches $150,000. Ontario and New Brunswick are not implementing the investment income restriction to the provincial business limit.
- The corporate tax rates are temporarily reduced for qualifying companies involved in zero-emission technology manufacturing or process activities. The tax rates on zero-emission technology manufacturing profits would be 4.5% where that income would otherwise be taxed at the 9% small business tax rate, and 7.5% where that income would otherwise be taxed at the 15% general corporate tax rate. The reduced tax rates apply to taxation years that begin after 2021 and are legislated to be gradually phased out in taxation years that begin in 2032, and to be fully phased out for taxation years that begin after 2034.
- 30.67% of investment income is eligible for a refund at the rate of 38.33% of dividends paid.
- The federal rate on personal services business income is 33.0%.
- An additional tax applies to bank and life insurer groups of 1.5% on taxable income over $100 million, which increases the tax rate from 15% (in the chart above) to 16.5%. The $100 million taxable income exemption must be shared amongst group members.
Saskatchewan
- Rate on ABI up to the business limit temporarily decreased from 2% to 0% effective Oct. 1, 2020. This rate increased to 1% effective July 1, 2023 and was scheduled to increase to 2% effective July 1, 2024; however, legislation has been passed to maintain the 1% rate indefinitely.
Québec
- Corporations must either meet the minimum number of remunerated hours test or operate in the manufacturing or primary (MOP) industries to access the small business deduction (SBD).
- To meet the remunerated hours test, the corporation must have paid its employees for at least 5,500 hours per year in its current or previous taxation year. Where the number of hours worked falls below this threshold, the SBD rate will be reduced linearly when the number of hours paid per year falls between 5,000 and 5,500 hours. Where the hours are less than 5,000, no SBD will be available.
- SMBs in the MOP industries that do not meet the remunerated hours test can benefit from the full SBD rate if 50% or more of their activities are in the MOP sector. Where this proportion is between 25% and 50%, the SBD rate will be reduced.
- If a corporation in the MOP sector meets both the minimum proportion of activities test (over 25%) and the minimum number of remunerated hours test (over 5,000 hours), the SBD rate is equal to the greater of the rates calculated under the two tests.
Nova Scotia
- The rate on ABI up to the business limit decreased from 2.5% to 1.5%, and the small business deduction limit increased from $500,000 to $700,000, both effective April 1, 2025.
Prince Edward Island
- The general corporate tax rate decreased from 16% to 15%, and the small business deduction limit increased from $500,000 to $600,000, both effective July 1, 2025.
Newfoundland and Labrador
- The rate on ABI up to the business limit reduced from 3% to 2.5% effective January 1, 2024.
2025 employer payroll tax
The following jurisdictions levy an employer payroll tax on remuneration for individuals employed in that jurisdiction. Tax rates for 2025 are listed below. This chart does not include workers' safety and compensation board premiums, Quebec's contribution related to labour standards, and Quebec's contribution to the Workforce Skills Development and Recognition Fund (WSDRF). This chart also does not include certain other taxes paid by employees as a payroll deduction in Northwest Territories, Nunavut, and Québec.
| Jurisdiction | Payroll Tax Rates (%) | Notes |
|---|---|---|
| MB | 0 - 4.3 | Manitoba Health and Post Secondary Education Tax Levy: Payroll of $0 to $2.25 million, no tax; from $2.25 million to $4.5 million, 4.3% of payroll over $2.25 million; over $4.5 million, 2.15% of total payroll. Associated corporations and certain corporate partnerships are deemed to be a single employer for purposes of the exemption. |
| ON | 0 - 1.95 | Ontario Employer Health Tax: Rate of tax is 0.98% for taxable remuneration that does not exceed $200,000 and 1.95% for taxable remuneration over $400,000 (graduated rates apply for payrolls between the thresholds). The tax rate to use is based on the level of Ontario payroll before deducting any tax exemption. The general exemption for eligible employers is $1 million. This exemption is indexed every five years and the next scheduled adjustment for inflation will be January 1, 2029. Private sector employers with annual Ontario payrolls over $5 million, including groups of associated employers, are not eligible for the exemption. However, eligible employers who are registered charities can claim the exemption even if their payroll exceeds $5 million. Special rules apply to eligible employers who are registered charities. |
| QC | 1.25 - 4.26 or 1.65 - 4.26 | Quebec Contribution to the Health Services Fund: Rate of tax is 4.26% unless the employer qualifies for a reduced contribution rate. An employer that is not in the public-sector and has total payroll of less than the total payroll threshold applicable for the year, which is $7.8 million, is eligible for a reduced rate. For employers whose total payroll is more than 50% attributable to activities in the primary and manufacturing sectors, the rate is 1.25% for payrolls of $1 million or less. The rate rises linearly from 1.25% to 4.26% where payroll is between $1 million and $7.8 million. All employers other than public sector employers and employers in the primary and manufacturing sectors described above will pay a rate of 1.65% for payrolls of $1 million or less. The rate rises linearly to 4.26% where payroll is between $1 million and $7.8 million. Associated employers must be considered when determining total payroll. |
| NL | 0 - 2.0 | Newfoundland and Labrador Health and Post Secondary Education Tax: Rate of tax is 2% on payrolls over $2 million. Associated employers must share the exemption threshold. |
| BC | 0 - 5.85 | British Columbia Employer Health Tax: Payroll of $0 to $1 million, no tax; from $1 million to $1.5 million, 5.85% of payroll between $1 million and $1.5 million; over $1.5 million, 1.95% of total payroll. Associated employers with combined payroll between $1 million and $1.5 million must share the $1 million exemption. If combined payroll of the associated employers exceeds $1.5 million, no exemption is available to any of the employers. |
| Jurisdiction | Sales Tax Rates (%) | Combined Rates (%) | Notes |
|---|---|---|---|
| Federal | 5.0 | -- | -- |
| BC | 7.0 | 12.0 | -- |
| SK | 6.0 | 11.0 | -- |
| MB | 7.0 | 12.0 | Manitoba previously announced a reduction to its sales tax rate from 7% to 6% effective July 1, 2020; however, this reduction has been deferred until further notice. |
| ON | 8.0 | 13.0 | Ontario harmonized its sales tax system with the 5% GST to produce a combined federal/provincial rate of 13%. |
| QC | 9.975 | 14.975 | The Québec system is harmonized with the GST though two separate tax systems remain — the GST and the QST. |
| NS | 9.0 | 14.0 | Nova Scotia has a harmonized sales tax system, which includes the 5% federal portion and the provincial portion. Effective April 1, 2025, the provincial portion decreased from 10% to 9%, thus resulting in a combined federal/provincial rate of 14%. |
| NB, PEI, NL | 10.0 | 15.0 | New Brunswick, Prince Edward Island, and Newfoundland and Labrador harmonized their sales tax system with the 5% GST to produce a combined federal/provincial rate of 15%. |
| AB, YT, NWT, NU | 0.0 | 5.0 | -- |
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