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Tax Rates -> CurrentMarginal Tax Rates -> Canada Personal Income Tax Brackets and TaxRates
Income Tax Act s. 117, 117.1, 121
The Federal tax brackets and personal tax credit amounts are increased for 2024 by an indexation factor of1.047 (a 4.7% increase).
See Indexationof the Personal Income Tax System for how the indexation factors arecalculated.
The federal indexation factors, tax brackets and tax rates for 2024 havebeen confirmed to Canada Revenue Agency(CRA) information.
In order to determine the total tax rate paid in your province or territory, see the combined marginal tax rates for yourprovince or territory. If you are not a resident of Canada, see WhoPays Tax in Canada and on What Income?
Tax Tip: read the article Understanding the Tables of Personal Income Tax Rates,especially if you are trying to compare the rates below to the marginal taxrates in the Basic Tax Calculator or the Detailed Tax Calculators.
| TaxTips.ca - Canadian Tax Rates - Federal | |||||||||
| 2024 Taxable Income(1) | Canada 2024 Marginal Tax Rates | 2023 Taxable Income(1) | Canada 2023 Marginal Tax Rates | ||||||
| Other Income | Capital Gains | Canadian Dividends | Other Income | Capital Gains | Canadian Dividends | ||||
| Eligible | Non-Eligible | Eligible | Non-Eligible | ||||||
| first $55,867 | 15.00% | 7.50% | -0.03% | 6.87% | first $53,359 | 15.00% | 7.50% | -0.03% | 6.87% |
| over $55,867 up to $111,733 | 20.50% | 10.25% | 7.56% | 13.19% | over $53,359 up to $106,717 | 20.50% | 10.25% | 7.56% | 13.19% |
| over $111,733 up to $173,205 | 26.00% | 13.00% | 15.15% | 19.52% | over $106,717 up to $165,430 | 26.00% | 13.00% | 15.15% | 19.52% |
| over $173,205 up to $246,752 | 29.32% | 14.66% | 19.73% | 23.34% | over $165,430 up to $235,675 | 29.32% | 14.66% | 19.73% | 23.34% |
| over $246,752 | 33.00% | 16.50% | 24.81% | 27.57% | over $235,675 | 33.00% | 16.50% | 24.81% | 27.57% |
| Marginal tax rate for dividends is a % of actual dividends received (not grossed-up taxable amount). Marginal tax rate for capital gains is a % of total capital gains (not taxable capital gains). Gross-up rate for eligible dividends is 38%, and for non-eligible dividends is 15%. For more information see dividend tax credits. Copyright © 2002 Boat Harbour Investments Ltd. | |||||||||
| TaxTips.ca Federal Basic Personal Amount | |||||||||
| 2024 Personal Amounts (1) | 2024 Tax Rate | 2023 Personal Amounts (1) | 2023 Tax Rate | ||||||
| Minimum | $14,156 | 15% | Minimum | $13,520 | 15% | ||||
| Maximum | 15,705 | 15% | Maximum | 15,000 | 15% | ||||
(1) The personal amount for 2023 and 2024 is increasedfederally and for Yukon: - for 2024: from $14,156 to $15,705 for taxpayers with net income(line 23600) of $173,205 or less. For incomes above this threshold, the additionalamount of $1,549 is reduced until it becomes zero at net income of $246,752. - for 2023: from $13,521 to $15,000 for taxpayers with net income(line 23600) of $165,430 or less. For incomes above this threshold, the additionalamount of $1,479 is reduced until it becomes zero at net income of $235,675.
The minimum and maximum personal amounts for 2024 are indexed from the 2023amounts. See EnhancedBasic Personal Amount.
Themarginal tax rates in blue above have been adjusted to reflect these changes.The table of marginal tax rates assume that line 23600 net income is equal to taxableincome for this purpose.
For 2024, the marginal rate for $173,205 to $246,752 is 29.32% because of theabove-noted personal amount reduction through this tax bracket. The additional0.32% is calculated as 15% x ($15,705 - $14,156) / ($246,752 - $173,205).
For 2023, the marginal rate for $165,430 to $235,675 is 29.32% because of theabove-noted personal amount reduction through this tax bracket. The additional0.32% is calculated as 15% x ($15,000 - $13,520) / ($235,675 - $165,430).
Since the minimum and maximum amounts are being indexed at the same rate for2024 and later years, the marginal tax rate for the 4th tax bracket will remainat 29.32% in later years.
Copyright © 2002 Boat Harbour Investments Ltd.
Revised: January 23, 2024
