Personal Income Tax Rates For Canadians 2012

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Federal tax rates for 2012

• 15% on the first $42,707 of taxable income, +
• 22% on the next $42,707 of taxable income (on the portion of taxable income over $42,707 up to $85,414), +
• 26% on the next $46,992 of taxable income (on the portion of taxable income over $85,414 up to $132,406), +
• 29% of taxable income over $132,406.

The chart below reproduces the first calculation that has to be made on page 2 of Schedule 1 of the tax package to calculate net federal tax. Page 1 is used to calculate federal non-refundable tax credits.

Federal tax on taxable income manual calculation chart

	Use this column if your taxable income is$42,707 or less	Use this column if your taxable income is more than $42,707, but not more than $85,414	Use this column if your taxable income is more than $85,414, but not more than $132,406	Use this column if your taxable income is more than $132,406
Enter your taxable income from line 260 of your return					1
Base amount	−        0	−     42,707	−    85,414	−  132,406	2
Line 1 minus line 2 (this amount cannot be negative)	=	=	=	=	3
Federal tax rate	×    15%	×      22%	×      26%	×      29%	4
Multiply the amount on line 3 by the tax rate on line 4	=	=	=	=	5
Tax on the amount from line 2	+       0	+      6,406	+    15,802	+    28,020	6
Add lines 5 and 6	=	=	=	=	7

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Provincial/territorial tax rates for 2012

Under the current tax on income method, tax for all provinces (except Quebec) and territories is calculated the same way as federal tax.
Form 428 is used to calculate this provincial or territorial tax. Provincial or territorial specific non-refundable tax credits are also calculated on Form 428.
For complete details, see the provincial or territorial information and forms in your 2012 tax package.

Provincial/territorial tax rates (combined chart)

Provinces/territories	Rate(s)
Newfoundland and Labrador	7.7% on the first $32,893 of taxable income, + 12.5% on the next $32,892, + 13.3% on the amount over $65,785
Prince Edward Island	9.8% on the first $31,984 of taxable income, + 13.8% on the next $31,985, + 16.7% on the amount over $63,969
Nova Scotia	8.79% on the first $29,590 of taxable income, + 14.95% on the next $29,590, + 16.67% on the next $33,820, + 17.5% on the next $57,000, + 21% on the amount over $150,000
New Brunswick	9.1% on the first $38,190 of taxable income, + 12.1% on the next $38,190, + 12.4% on the next $47,798, + 14.3% on the amount over $124,178
Quebec	See Income tax rates (Revenu Québec Web site).
Ontario	5.05% on the first $39,020 of taxable income, + 9.15% on the next $39,023, + 11.16% on the amount over $78,043
Manitoba	10.8% on the first $31,000 of taxable income, + 12.75% on the next $36,000, + 17.4% on the amount over $67,000
Saskatchewan	11% on the first $42,065 of taxable income, + 13% on the next $78,120, + 15% on the amount over $120,185
Alberta	10% of taxable income
British Columbia	5.06% on the first $37,013 of taxable income, + 7.7% on the next $37,015, + 10.5% on the next $10,965, + 12.29% on the next $18,212, + 14.7% on the amount over $103,205
Yukon	7.04% on the first $42,707 of taxable income, + 9.68% on the next $42,707, + 11.44% on the next $46,992, + 12.76% on the amount over $132,406
Northwest Territories	5.9% on the first $38,679 of taxable income, + 8.6% on the next $38,681, + 12.2% on the next $48,411, + 14.05% on the amount over $125,771
Nunavut	4% on the first $40,721 of taxable income, + 7% on the next $40,721, + 9% on the next $50,964, + 11.5% on the amount over $132,406