Atlantic Provinces -> Newfoundland & Labrador ->
Tax Rates -> 2020 and 2021 Tax Rates -> Newfoundland & Labrador
Newfoundland & Labrador 2021 and 2020 Personal Marginal Income Tax Rates
Newfoundland and Labrador Income Tax Act, 2000 s. 6.1, 7, 9
The Federal tax brackets and personal tax credit amounts are increased for 2021 by an indexation factor of 1.010.
The NL tax brackets and personal tax credit amounts are increased for 2021 by an indexation factor of 1.004.
The NL 2021 Budget increased tax rates for taxable incomes over $135,973 and added 3 new tax brackets, beginning January 1, 2022.
The indexation factors, tax brackets and tax rates have been confirmed to Canada Revenue Agency information.
The tax rates do not include the NL Deficit Reduction Levy, which can add 10% to the marginal tax rate at various levels of taxable income over $50,000. 2020 is the last year for this levy, unless legislation is tabled to extend it. See the effect of the Deficit Reduction Levy by using our Detailed Canadian Tax and RRSP Savings Calculator.
Tax Tip: read the article Understanding the Tables of Personal Income Tax Rates, especially if you are trying to compare the rates below to the marginal tax rates in the Basic Tax Calculator.
| Newfoundland & Labrador Personal Income Tax Brackets and Tax Rates | |||
| 2021 Taxable Income | 2021 Tax Rates | 2020 Taxable Income | 2020 Tax Rates |
| first $38,081 | 8.7% | first $37,929 | 8.7% |
| over $38,081 up to $76,161 | 14.5% | over $37,929 up to $75,858 | 14.5% |
| over $76,161 up to $135,973 | 15.8% | over $75,858 up to $135,432 | 15.8% |
| over $135,973 up to $190,363 | 17.3% | over $135,432 up to $189,604 | 17.3% |
| over $190,363 | 18.3% | over $189,604 | 18.3% |
| Combined Federal & Newfoundland & Labrador Tax Brackets and Tax Rates | |||||||||
| 2021 Taxable Income | 2021 Marginal Tax Rates | 2020 Taxable Income | 2020 Marginal Tax Rates | ||||||
| Other Income |
Capital Gains |
Canadian Dividends | Other Income |
Capital Gains |
Canadian Dividends | ||||
| Eligible | Non-Eligible | Eligible | Non-Eligible | ||||||
| first $38,081 | 23.70% | 11.85% | 4.53% | 12.85% | first $37,929 | 23.70% | 11.85% | 4.53% | 12.85% |
| over $38,081 up to $49,020 | 29.50% | 14.75% | 12.53% | 19.52% | over $37,929 up to $48,535 | 29.50% | 14.75% | 12.53% | 19.52% |
| over $49,020 up to $76,161 | 35.00% | 17.50% | 20.12% | 25.84% | over $48,535 up to $75,858 | 35.00% | 17.50% | 20.12% | 25.84% |
| over $76,161 up to $98,040 | 36.30% | 18.15% | 21.91% | 27.34% | over $75,858 up to $97,069 | 36.30% | 18.15% | 21.91% | 27.34% |
| over $98,040 up to $135,973 | 41.80% | 20.90% | 29.50% | 33.66% | over $97,069 up to $135,432 | 41.80% | 20.90% | 29.50% | 33.66% |
| over $135,973 up to $151,978 | 43.30% | 21.65% | 31.57% | 35.39% | over $135,432 up to $150,473 | 43.30% | 21.65% | 31.57% | 35.39% |
| over $151,978 up to $190,363(1) | 46.62% | 23.31% | 36.16% | 39.21% | over $150,473 up to $189,604(1) | 46.52% | 23.26% | 36.02% | 39.09% |
| over $190,363 up to $216,511(1) | 47.62% | 23.81% | 37.54% | 40.36% | over $189,604 up to $214,368(1) | 47.52% | 23.76% | 37.40% | 40.24% |
| over $216,511 | 51.30% | 25.65% | 42.61% | 44.59% | over $214,368 | 51.30% | 25.65% | 42.61% | 44.59% |
|
Marginal tax rate for dividends is a % of actual
dividends received (not grossed-up taxable 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 15%. For more information see NL dividend tax credits. |
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| Newfoundland & Labrador Basic Personal Amount | |||||||||
| 2021 Personal Amount | 2021 Tax Rate | 2020 Personal Amount | 2020 Tax Rate | ||||||
| $9,536 | 8.7% | $9,498 | 8.7% | ||||||
| Federal Basic Personal Amount | |||||||||
| 2021 Personal Amount (1) | 2021 Tax Rate | 2020 Personal Amount (1) | 2020 Tax Rate | ||||||
| $13,808 | 15% | $13,229 | 15% | ||||||
(1) See the federal tax rates page for information on the federal personal amount increase. The marginal tax rates above have been adjusted to reflect these changes.
Copyright © 2002 Boat Harbour Investments Ltd.
Revised: October 26, 2023