Tax brackets in Canada: Here's what you'll pay in each province on your 2025 tax return

Federal tax brackets in Canada

For the 2025 tax year, as usual, the Canada Revenue Agency has adjusted the federal tax brackets and many credits for inflation, amounting to a 2.7% increase.

Plus, new for 2025, the feds also dropped the lowest tax rate from 15% to 14%, effective July 1. Since the change took effect exactly halfway through the year, the CRA will apply an effective tax rate of 14.5% across your full annual income for 2025.

Here's how the federal brackets and basic personal amount break down for your 2025 return. These generally apply to all taxpayers across the country and only account for the federal portion of your taxes:

• 14.5% on the first $57,375 of taxable income, plus
• 20.5% on the portion over $57,375 up to $114,750, plus
• 26% on the portion over $114,750 up to $177,882, plus
• 29% on the portion over $177,882 up to $253,414, plus
• 33% on anything above $253,414

Every Canadian also gets to claim the basic personal amount (BPA), which is the first small portion of your income that's completely tax-free. The BPA for 2025 maxes out at $16,129 if you made $177,882 or less, and gradually drops to a minimum of $14,538 for incomes of $253,414 or more.

Alberta

Alberta's brand-new 8% tax bracket takes effect in 2025, saving taxpayers up to approximately $750 across the year. That, paired with the highest basic personal amount in the country, officially makes it the cheapest province for low-income earners this year.

Here's a look at the province's income tax brackets, rates and basic personal amount for the 2025 tax year:

• 8% on the first $60,000 of taxable income, plus
• 10% on the portion over $60,000 up to $151,234, plus
• 12% on the portion over $151,234 up to $181,481, plus
• 13% on the portion over $181,481 up to $241,974, plus
• 14% on the portion over $241,974 up to $362,961, plus
• 15% on anything above $362,961
• Basic personal amount: $22,323

And here's how much you'd owe in combined federal and provincial tax at four different incomes, after deducting the BPA but before any other credits or deductions:

• $30,000/year: $2,625
• $60,000/year: $9,533
• $100,000/year: $21,733
• $500,000/year: $198,791

British Columbia

B.C.'s tax brackets favour middle-income earners, with the cheapest rates of any province for $60,000 and $100,000 incomes. Here are the province's income tax brackets, rates and basic personal amount for the 2025 tax year:

• 5.06% on the first $49,279 of taxable income, plus
• 7.7% on the portion over $49,279 up to $98,560, plus
• 10.5% on the portion over $98,560 up to $113,158, plus
• 12.29% on the portion over $113,158 up to $137,407, plus
• 14.7% on the portion over $137,407 up to $186,306, plus
• 16.8% on the portion over $186,306 up to $259,829, plus
• 20.5% on anything above $259,829
• Basic personal amount: $12,932

And here's how much you'd owe in combined federal and provincial tax at four different incomes, after deducting the BPA but before any other credits or deductions:

• $30,000/year: $2,875
• $60,000/year: $9,183
• $100,000/year: $20,504
• $500,000/year: $216,587

Manitoba

Manitoba is the only province where the 2025 tax brackets and maximum basic personal amount remain unchanged from 2024, following a provincial budget decision to freeze the rates indefinitely. However, starting with the 2025 tax year, the BPA is now being gradually reduced starting at an income of $200,000, phasing out entirely for those earning $400,000 or more.

Here are the province's income tax brackets, rates and basic personal amount for the 2025 tax year:

• 10.8% on the first $47,000 of taxable income, plus
• 12.75% on the portion over $47,000 up to $100,000, plus
• 17.4% on anything above $100,000
• Basic personal amount:
  • $15,780 maximum (income of $200,000 or lower)
  • $0 minimum (income of $400,000 or higher)

And here's how much you'd owe in combined federal and provincial tax at four different incomes, after deducting the BPA but before any other credits or deductions:

• $30,000/year: $3,547
• $60,000/year: $11,548
• $100,000/year: $24,848
• $500,000/year: $219,099

New Brunswick

Here are New Brunswick's provincial tax brackets, rates and basic personal amount for the 2025 tax year:

• 9.4% on the first $51,306 of taxable income, plus
• 14% on the portion over $51,306 up to $102,614, plus
• 16% on the portion over $102,614 up to $190,060, plus
• 19.5% on anything above $190,060
• Basic personal amount: $13,396

And here's how much you'd owe in combined federal and provincial tax at four different incomes, after deducting the BPA but before any other credits or deductions:

• $30,000/year: $3,572
• $60,000/year: $11,299
• $100,000/year: $25,099
• $500,000/year: $222,842

Newfoundland and Labrador

Here are Newfoundland and Labrador's provincial tax brackets, rates and basic personal amount for the 2025 tax year:

• 8.7% on the first $44,192 of taxable income, plus
• 14.5% on the portion over $44,192 up to $88,382, plus
• 15.8% on the portion over $88,382 up to $157,792, plus
• 17.8% on the portion over $157,792 up to $220,910, plus
• 19.8% on the portion over $220,910 up to $282,214, plus
• 20.8% on the portion over $282,214 up to $564,429, plus
• 21.3% on the portion over $564,429 up to $1,128,858, plus
• 21.8% on anything above $1,128,858
• Basic personal amount: $11,067

And here's how much you'd owe in combined federal and provincial tax at four different incomes, after deducting the BPA but before any other credits or deductions:

• $30,000/year: $3,658
• $60,000/year: $11,693
• $100,000/year: $25,844
• $500,000/year: $226,594

Northwest Territories

Here are the Northwest Territories' territorial tax brackets, rates and basic personal amount for the 2025 tax year:

• 5.9% on the first $51,964 of taxable income, plus
• 8.6% on the portion over $51,964 up to $103,930, plus
• 12.2% on the portion over $103,930 up to $168,967, plus
• 14.05% on anything above $168,967
• Basic personal amount: $17,842

And here's how much you'd owe in combined federal and provincial tax at four different incomes, after deducting the BPA but before any other credits or deductions:

• $30,000/year: $2,729
• $60,000/year: $9,223
• $100,000/year: $20,863
• $500,000/year: $198,592

Nova Scotia

Nova Scotia made some big moves for 2025, including a generous indexation of 3.1% to its brackets and credits — the largest increase in the country this year. The province also expanded access to its enhanced basic personal amount (which was previously limited to low-income earners), so now all taxpayers can claim the full amount.

Here are Nova Scotia's provincial tax brackets, rates and basic personal amount for the 2025 tax year:

• 8.79% on the first $30,507 of taxable income, plus
• 14.95% on the portion over $30,507 up to $61,015, plus
• 16.67% on the portion over $61,015 up to $95,883, plus
• 17.5% on the portion over $95,883 up to $154,650, plus
• 21% on anything above $154,650
• Basic personal amount: $11,744

And here's how much you'd owe in combined federal and provincial tax at four different incomes, after deducting the BPA but before any other credits or deductions:

• $30,000/year: $3,616
• $60,000/year: $12,577
• $100,000/year: $27,462
• $500,000/year: $232,496

Nunavut

Nunavut is the lowest-taxed region in Canada across all four income levels we looked at, with Nunavummiut saving anywhere from $1,200 to over $67,400 per year compared to those in the highest-tax provinces.

Here are the territory's income tax brackets, rates and basic personal amount for the 2025 tax year:

• 4% on the first $54,707 of taxable income, plus
• 7% on the portion over $54,707 up to $109,413, plus
• 9% on the portion over $109,413 up to $177,881, plus
• 11.5% on anything above $177,881
• Basic personal amount: $19,274

And here's how much you'd owe in combined federal and provincial tax at four different incomes, after deducting the BPA but before any other credits or deductions:

• $30,000/year: $2,440
• $60,000/year: $8,307
• $100,000/year: $19,307
• $500,000/year: $186,118

Ontario

Ontario has some of the cheapest provincial taxes in Canada, especially for higher-income earners. While B.C. still has lower rates for middle incomes, Ontario officially becomes the cheapest province once you start making around $150,000 or more.

Here are Ontario's provincial tax brackets, rates and basic personal amount for the 2025 tax year:

• 5.05% on the first $52,886 of taxable income, plus
• 9.15% on the portion over $52,886 up to $105,775, plus
• 11.16% on the portion over $105,775 up to $150,000, plus
• 12.16% on the portion over $150,000 up to $220,000, plus
• 13.16% on anything above $220,000
• Basic personal amount: $12,747

And here's how much you'd owe in combined federal and provincial tax at four different incomes, after deducting the BPA but before any other credits or deductions:

• $30,000/year: $2,883
• $60,000/year: $9,197
• $100,000/year: $21,057
• $500,000/year: $194,827

Prince Edward Island

While P.E.I.'s brackets and credits aren't indexed to inflation, a bunch of factors still got a pretty major boost for 2025.

As announced in the province's 2024 budget, P.E.I. adjusted all five of its personal income tax rates for 2025, lowering the first four and raising the top one. The province also boosted the basic personal amount by over 8% and raised the income thresholds on the first three tax brackets.

Here are P.E.I.'s new provincial tax brackets, rates and basic personal amount for the 2025 tax year:

• 9.5% on the first $33,328 of taxable income, plus
• 13.47% on the portion over $33,328 up to $64,656, plus
• 16.6% on the portion over $64,656 up to $105,000, plus
• 17.62% on the portion over $105,000 up to $140,000, plus
• 19% on anything above $140,000
• Basic personal amount: $14,650

And here's how much you'd owe in combined federal and provincial tax at four different incomes, after deducting the BPA but before any other credits or deductions:

• $30,000/year: $3,470
• $60,000/year: $11,886
• $100,000/year: $26,580
• $500,000/year: $224,924

Quebec

Quebec has the highest personal income tax rates in the country and ends up with the most expensive overall tax bill at three of the four income levels we looked at — only missing the top spot at $30,000 because its BPA is higher than in some other provinces.

Here are the province's income tax brackets, rates and basic personal amount for the 2025 tax year:

• 14% on the first $53,255 of taxable income, plus
• 19% on the portion over $53,255 up to $106,495, plus
• 24% on the portion over $106,495 up to $129,590, plus
• 25.75% on anything above $129,590
• Basic personal amount: $18,571

And here's how much you'd owe in combined federal and provincial tax at four different incomes, after deducting the BPA but before any other credits or deductions:

• $30,000/year: $3,611
• $60,000/year: $12,656
• $100,000/year: $28,456
• $500,000/year: $253,560

Saskatchewan

Here are Saskatchewan's provincial tax brackets, rates and basic personal amount for the 2025 tax year:

• 10.5% on the first $53,463 of taxable income, plus
• 12.5% on the portion over $53,463 up to $152,750, plus
• 14.5% on anything above $152,750
• Basic personal amount: $19,491

And here's how much you'd owe in combined federal and provincial tax at four different incomes, after deducting the BPA but before any other credits or deductions:

• $30,000/year: $3,115
• $60,000/year: $10,903
• $100,000/year: $24,103
• $500,000/year: $203,994

Yukon

Here are Yukon's territorial tax brackets, rates and basic personal amount for the 2025 tax year:

• 6.4% on the first $57,375 of taxable income, plus
• 9% on the portion over $57,375 up to $114,750, plus
• 10.9% on the portion over $114,750 up to $177,882, plus
• 12.8% on the portion over $177,882 up to $500,000, plus
• 15% on anything above $500,000
• Basic personal amount:
  • $16,129 maximum (income of $177,882 or lower)
  • $14,538 minimum (income of $253,414 or higher)

And here's how much you'd owe in combined federal and provincial tax at four different incomes, after deducting the BPA but before any other credits or deductions:

• $30,000/year: $2,899
• $60,000/year: $9,395
• $100,000/year: $21,195
• $500,000/year: $193,683