TaxTips.ca
Canadian Tax and
Financial Information
Alberta Personal Tax Rates

Ads keep this website free for you.
TaxTips.ca does not research or endorse any product or service appearing in ads on this site.  Before making a major financial decision you  should consult a qualified professional.

Looking for US tax information?
See
USTaxTips.net

Need an accounting, tax or financial advisor? Look in our Directory.      Stay Connected with TaxTips.ca!      Internet Explorer - Use compatibility view for calculators to work properly!

Home
What's New
Calculators
Personal Tax
Business
Sales Taxes
Free in 30!
Financial Planning
RRSP RRIF TFSA
Real Estate
Stocks Bonds etc.
Seniors
Disabilities
Canada
Alberta
British Columbia
Manitoba
Ontario
Quebec
Saskatchewan
Atlantic Provinces
Territories
Federal Budget
Provincial Budgets
Statistics etc.
Glossary
Site Map
Directory
Advertise With Us
Contact Us/About Us
Links & Resources



Alberta
Tax Rates -> Current Marginal Tax Rates -> Alberta Personal Income Tax Rates

Alberta 2015 and 2016 Personal Marginal Income Tax Rates

Please read the article Understanding the Tables of Personal Income Tax Rates.

The Alberta government introduced new tax brackets and rates effective October 1, 2015.  Bill 2, the legislation enacting the new tax brackets and rates, received Royal Assent on June 29, 2015.  The Alberta 2015 rates in the table below are prorated, and will be rates reflected on the 2015 income tax forms.  This means that the higher rates (see 2016 rates) will only affect 25% of the income earned in 2015, no matter when in the year the income was earned.  The Alberta tax bracket thresholds are not indexed for 2016, but will be indexed for 2017 and later years.

The Federal tax rates for 2016 are as per Bill C-2 tabled in December 2015.  The tax brackets and personal amounts were increased for 2016 by an indexation factor of 1.013.  The indexation factors, tax brackets and tax rates have been confirmed to Canada Revenue Agency information.

The 2016 marginal tax rate for non-eligible dividends reflects the rate that is in effect automatically due to the change in the gross-up rate for 2016.  The Alberta government has stated that amendments will be introduced in fall 2015 so that small business shareholders will not pay higher taxes on dividend income in 2016.  They also announced that, since the July 1st corporate tax increase means that Alberta's tax on eligible dividends is no longer fully integrated, the dividend tax credit for eligible dividends would be reviewed, with the results of the review to be announced in Budget 2016.

Alberta (AB) Personal Income Tax Brackets and Tax Rates

2016 Taxable Income 2016 Tax Rates 2015 Taxable Income 2015 Tax Rates
first $125,000 10% first $125,000 10.00%
over $125,000 up to $150,000 12% over $125,000 up to $150,000 10.50%
over $150,000 up to $200,000 13% over $150,000 up to $200,000 10.75%
over $200,000 up to $300,000 14% over $200,000 up to $300,000 11.00%
over $300,000 15% over $300,000 11.25%

Combined Federal & Alberta Tax Brackets and Tax Rates

2016 Taxable Income 2016 Marginal Tax Rates 2015 Taxable Income 2015 Marginal Tax Rates
Other
Income
Capital
Gains
Canadian Dividends Other
Income
Capital
Gains
Canadian Dividends
Eligible Non-Eligible Eligible Non-Eligible
first $45,282 25.0% 12.50% -0.03% 13.33% first $44,701 25.00% 12.50% -0.03% 12.84%
over $45,282 up to $90,563 30.5% 15.25% 7.56% 19.77% over $44,701 up to $89,401 32.00% 16.00% 9.63% 21.10%
over $90,563 up to $125,000 36.0% 18.00% 15.15% 26.20% over $89,401 up to $125,000 36.00% 18.00% 15.15% 25.82%
over $125,000 up to $140,388 38.0% 19.00% 17.91% 28.54% over $125,000 up to $138,586 36.50% 18.25% 15.84% 26.41%
over $140,388 up to $150,000 41.0% 20.50% 22.05% 32.05% over $138,586 up to $150,000 39.50% 19.75% 19.98% 29.95%
over $150,000 up to $200,000 42.0% 21.00% 23.43% 33.22% over $150,000 up to $200,000 39.75% 19.88% 20.33% 30.25%
over $200,000 up to $300,000 47.0% 23.50% 30.33% 39.07% over $200,000 up to $300,000 40.00% 20.00% 20.67% 30.54%
over $300,000 48.0% 24.00% 31.71% 40.24% over $300,000 40.25% 20.13% 21.02% 30.84%

Marginal tax rate for dividends is a % of actual dividends received (not grossed-up 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 17% in 2016, 18% in 2015.
2016 non-eligible dividend rates reflect the dividend tax credit rate as per Alberta's October 2015 Bill 4.
For more information see Alberta dividend tax credits.

Alberta Basic Personal Amount

2016 Personal Amount 2016 Tax Rate 2015 Personal Amount 2015 Tax Rate
$18,451 10% $18,214 10%

Federal Basic Personal Amount

2016 Personal Amount 2016 Tax Rate 2015 Personal Amount 2015 Tax Rate
$11,474 15% $11,327 15%

Revised: March 20, 2016

Copyright © 2002 - 2016 Boat Harbour Investments Ltd. All Rights Reserved  See Reproduction of information from TaxTips.ca

Facebook  | Twitter  |  Google + |  Monthly Newsletter Sign-up  What’s New E-mail Notification RSS News Feed
The information on this site is not intended to be a substitute for professional advice.  Each person's situation differs, and a professional advisor can assist you in using the information on this web site to your best advantage.
Please see our legal disclaimer regarding the use of information on our site, and our Privacy Policy regarding information that may be collected from visitors to our site.