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2010 Canadian Income Tax Rates | Personal Income Tax Rates Canada

2010 Canadian Income Tax Rates | Personal Income Tax Rates Canada

Both the federal and provincial governments have imposed income taxes on individuals and the federal government charges the bulk of income taxes with the provinces charging a somewhat lower percentage. Income taxes throughout Canada are progressive with the high income residents paying a higher percentage than the low income residents.

Federal Income Tax Rates for the Year 2010:
  • 15% on the first $40,970 of taxable income, +
  • 22% on the next $40,971 of taxable income (on the portion of taxable income between $40,970 and $81,941), +
  • 26% on the next $45,080 of taxable income (on the portion of taxable income between $81,941 and $127,021), +
  • 29% of taxable income over $127,021


Canadian personal income tax can be deferred in a Registered Retirement Savings Plan (RRSP) and tax sheltered savings accounts (which may include mutual funds and other financial instruments) that are intended to help individuals save for their retirement.

Provincial Income Tax Rates for the Year 2010:

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 2010 tax package.

Provincial / Territorial tax rates (combined chart)
Provinces / Territories Rate(s)
Newfoundland and Labrador 7.7% on the first $31,278 of taxable income, +
12.8% on the next $31,278, +
15.5% on the amount over $62,556
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 amount over $93,000
New Brunswick 9.3% on the first $36,422 of taxable income, +
12.5% on the next $36,422, +
13.3% on the next $45,584, +
14.3% on the amount over $118,427
Ontario 5.05% on the first $37,106 of taxable income, +
9.15% on the next $37,108, +
11.16% on the amount over $74,214
Manitoba 10.8% on the first $31,000 of taxable income, +
13% on the next $36,000, +
17.4% on the amount over $67,000
Saskatchewan 11% on the first $40,354 of taxable income, +
13% on the next $74,943, +
15% on the amount over $115,297
Alberta 10% of taxable income
British Columbia 5.06% on the first $35,859 of taxable income, +
7.7% on the next $35,860, +
10.5% on the next $10,623, +
12.29% on the next $17,645, +
14.7% on the amount over $99,987
Yukon 7.04% on the first $40,970 of taxable income, +
9.68% on the next $40,971, +
11.44% on the next $45,080, +
12.76% on the amount over $127,021
Northwest Territories 5.9% on the first $37,106 of taxable income, +
8.6% on the next $37,108, +
12.2% on the next $46,442, +
14.05% on the amount over $120,656
Nunavut 4% on the first $39,065 of taxable income, +
7% on the next $39,065, +
9% on the next $48,891, +
11.5% on the amount over $127,021