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Personal Income Tax  ->  Tax Rates   ->   2016 & 2017 Marginal Tax Rates -> Canada Federal 2016 & 2017 Personal Income Tax Brackets and Tax Rates

Canada - Federal 2016 and 2017 Tax Brackets and Marginal Tax Rates

Income Tax Act s. 117, 117.1

The tax brackets in s. 117(2) of the Income Tax Act (ITA) are replaced with all 2016 tax brackets: $45,282, $90,563, $140,388 and $200,000. This is so that indexation in subsequent years will be applied to dollar amounts that are all from the same year.

The Federal tax brackets and personal amount are increased for 2017 by an indexation factor of 1.014.  The indexation factors, tax brackets and tax rates have been confirmed to Canada Revenue Agency information.

In order to determine the total tax rate paid in your province, see the combined marginal tax rates for your province.  If you are not a resident of Canada, see Who Pays Tax in Canada and on What Income?

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

Federal Personal Income Tax Brackets and Tax Rates
2017 Taxable Income 2017 Marginal Tax Rates 2016 Taxable Income 2016 Marginal Tax Rates
Other
Income		 Capital
Gains		 Canadian Dividends Other
Income		 Capital
Gains		 Canadian Dividends
Eligible Non-Eligible Eligible Non-Eligible
first $45,916 15.0% 7.50% -0.03% 5.24% first $45,282 15.0% 7.50% -0.03% 5.24%
over $45,916 up to $91,831 20.5% 10.25% 7.56% 11.67% over $45,282 up to $90,563 20.5% 10.25% 7.56% 11.67%
over $91,831 up to $142,353 26.0% 13.00% 15.15% 18.11% over $90,563 up to $140,388 26.0% 13.00% 15.15% 18.11%
over $142,353 up to $202,800 29.0% 14.50% 19.29% 21.62% over $140,388 up to $200,000 29.0% 14.50% 19.29% 21.62%
over $202,800 33.0% 16.50% 24.81% 26.30% over $200,000 33.0% 16.50% 24.81% 26.30%
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%.
For more information see dividend tax credits.

Federal Basic Personal Amount
2017 Personal Amount 2017 Tax Rate 2016 Personal Amount 2016 Tax Rate
$11,635 15% $11,474 15%
 

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Revised: May 19, 2025

 

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