How this calculator works
Enter employment income and choose a province or territory. The calculator applies the 2026 federal bracket table published by the Canada Revenue Agency, subtracts the federal basic personal amount as a non-refundable credit at 14%, then applies the province's or territory's own 2026 bracket table and subtracts its basic personal amount at the province's lowest rate. The federal amount is $16,452, reduced to $14,829 for income above $258,482. The result is the tax before income tax deducted at source, and it assumes the whole of the income is ordinary employment income earned in the province shown. Out of scope: the Canada Employment Amount, the age amount, the pension income amount, the spouse or eligible dependant amount, the disability amount, tuition and medical credits, any deduction such as RRSP or union dues, provincial surtaxes and tax reductions, provincial high income phase-outs of the basic personal amount, the federal abatement, the Canada Workers Benefit, the GST/HST credit, the Canada Child Benefit and every other benefit. Quebec files its own return and is not offered here. This is not a tax return.
Formula
Federal tax = bracket tax on employment income minus 0.14 x federal basic personal amount, floored at zero. Provincial tax = bracket tax minus the province's lowest rate x its basic personal amount, floored at zero. Combined tax = federal tax + provincial tax. Marginal rate = the federal rate in the highest band reached plus the provincial rate in the highest band reached. Effective rate = combined tax / employment income.
Worked example
On $85,000 of employment income in Ontario, the federal bracket tax is $58,523 x 14% plus $26,477 x 20.5%, which is $13,621.01. The federal credit is $16,452 x 14%, or $2,303.28, leaving $11,317.73. Ontario charges $53,891 x 5.05% plus $31,109 x 9.15%, or $5,567.97, and its credit is $12,989 x 5.05%, or $655.94, leaving $4,912.02. Combined tax is $16,229.75, the marginal rate is 20.5% plus 9.15%, or 29.65%, and the effective rate is 19.09%.
Frequently asked questions
Which tax year does this use?
2026. The federal and provincial bracket tables are the ones the CRA publishes for the 2026 tax year, and the basic personal amounts are the January 2026 payroll figures. Tax returns for 2026 are filed in 2027.
Why is my actual tax lower?
This page applies only the basic personal amount. Payroll deductions and a tax return also apply the Canada Employment Amount, CPP and EI credits, and any deduction or credit you are entitled to, all of which reduce the result.
Why is Quebec missing?
Quebec administers its own income tax under a separate statute with its own brackets, its own amounts and a federal abatement. Those figures are not on this page's sources, so Quebec is out of scope rather than estimated.
Is the marginal rate the rate on all my income?
No. The marginal rate applies to the next dollar earned. The effective rate, the combined tax divided by income, is the average across all of it.