What are tax rates in canada

what are tax rates in canada

« on: June 15, 2011, 01:13:05 am »

What are the Income Tax rates in Canada for 2011 ?

These are the rates that an individual will use when completing their 2011 income tax and benefit return. The information may change during the year to reflect updates to the law.

- Federal tax rates for 2011 +

- Provincial/territorial tax rates for 2011

Federal tax rates for 2011 are:

- 15% on the first $41,544 of taxable income, +

- 22% on the next $41,544 of taxable income (on the portion of taxable income between $41,544 and $83,088). +

- 26% on the next $45,712 of taxable income (on the portion of taxable income between $83,088 and $128,800). +

- 29% of taxable income over $128,800.

Federal tax on taxable income "manual calculation" chart

There's a chart in the CRA website which 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.

Provincial/Territorial tax rates for 2011 are:

- 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 2011 tax package.

Here's the combined chart.

Newfoundland and Labrador

- 7.7% on the first $31,904 of taxable income, +

- 12.5% on the next $31,903, +

- 13.3% on the amount over $63,807

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

- 8.79% on the first $29,590 of taxable income, +

- 5.06% on the first $36,146 of taxable income, +

- 7.7% on the next $36,147, +

- 10.5% on the next $10,708, +

- 12.29% on the next $17,786, +

- 14.7% on the amount over $100,787

Yukon

- 7.04% on the first $41,544 of taxable income, +

- 9.68% on the next $41,544, +

- 11.44% on the next $45,712, +

- 12.76% on the amount over $128,800

Northwest Territories

Nunavut

- 4% on the first $39,612 of taxable income, +

- 7% on the next $39,612, +

- 9% on the next $49,576, +

- 11.5% on the amount over $128,800

Source: www.canadavisa.com

Category: Taxes

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