The NL tax brackets and personal tax credit amounts are increased for 2026 by an indexation factor of 1.011 (1.1% increase).
The Federal tax brackets and personal tax credit amounts are increased for 2026 by an indexation factor of 1.02 (2% increase).
There was a change of government in the October 2025 election, and the newly-elected PC government (with a majority) has said they will increase the basic personal exemption to $15,000.
See Indexation of the Personal Income Tax System for how the indexation factors are calculated.
The Federal and NL indexation factors, tax brackets and tax rates for 2026 have been confirmed to Canada Revenue Agency information.
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 or the Detailed Tax Calculators, or to calculate your own marginal tax rate.
| TaxTips.ca - Newfoundland & Labrador Tax Rates | |||||||||||
| 2026 Taxable Income | 2026 Tax Rates | 2025 Taxable Income | 2025 Tax Rates | ||||||||
| first $44,678 | 8.7% | first $44,192 | 8.7% | ||||||||
| over $44,678 up to $89,354 | 14.5% | over $44,192 up to $88,382 | 14.5% | ||||||||
| over $89,354 up to $159,528 | 15.8% | over $88,382 up to $157,792 | 15.8% | ||||||||
| over $159,528 up to $223,340 | 17.8% | over $157,792 up to $220,910 | 17.8% | ||||||||
| over $223,340 up to $285,319 | 19.8% | over $220,910 up to $282,214 | 19.8% | ||||||||
| over $285,319 up to $570,638 | 20.8% | over $282,214 up to $564,429 | 20.8% | ||||||||
| over $570,638 up to $1,141,275 | 21.3% | over $564,429 up to $1,128,858 | 21.3% | ||||||||
| over $1,141,275 | 21.8% | over $1,128,858 | 21.8% | ||||||||
| TaxTips.ca - Combined Federal & Newfoundland & Labrador Tax Brackets and Tax Rates | |||||||||
| 2026 Taxable Income (1) | NL 2026 Marginal Tax Rates | 2025 Taxable Income (1) | NL 2025 Marginal Tax Rates | ||||||
| Other Income |
Capital Gains | Canadian Dividends | Other Income |
Capital Gains | Canadian Dividends | ||||
| Eligible | Non-Eligible | Eligible | Non-Eligible | ||||||
| first $44,678 | 22.70% | 11.35% | 1.90% | 12.04% | first $44,192 | 23.20% | 11.60% | 2.59% | 12.62% |
| over $44,678 up to $58,523 | 28.50% | 14.25% | 9.91% | 18.71% | over $44,192 up to $57,375 | 29.00% | 14.50% | 10.60% | 19.29% |
| over $58,523 up to $89,354 | 35.00% | 17.50% | 18.88% | 26.19% | over $57,375 up to $88,382 | 35.00% | 17.50% | 18.88% | 26.19% |
| over $89,354 up to $117,045 | 36.30% | 18.15% | 20.67% | 27.68% | over $88,382 up to $114,750 | 36.30% | 18.15% | 20.67% | 27.68% |
| over $117,045 up to $159,528 | 41.80% | 20.90% | 28.26% | 34.01% | over $114,750 up to $157,792 | 41.80% | 20.90% | 28.26% | 34.01% |
| over $159,528 up to $181,440 | 43.80% | 21.90% | 31.02% | 36.31% | over $157,792 up to $177,882 | 43.80% | 21.90% | 31.02% | 36.31% |
| over $181,440 up to $223,340 | 47.09% | 23.55% | 35.56% | 40.09% | over $177,882 up to $220,910 | 47.11% | 23.56% | 35.59% | 40.12% |
| over $223,340 up to $258,482 | 49.09% | 24.55% | 38.32% | 42.39% | over $220,910 up to $253,414 | 49.11% | 24.56% | 38.35% | 42.42% |
| over $258,482 up to $285,319 | 52.80% | 26.40% | 43.44% | 46.66% | over $253,414 up to $282,214 | 52.80% | 26.40% | 43.44% | 46.66% |
| over $285,319 up to $570,638 | 53.80% | 26.90% | 44.82% | 47.81% | over $282,214 up to $564,429 | 53.80% | 26.90% | 44.82% | 47.81% |
| over $570,638 up to $1,141,275 | 54.30% | 27.15% | 45.51% | 48.38% | over $564,429 up to $1,128,858 | 54.30% | 27.15% | 45.51% | 48.38% |
| over $1,141,275 | 54.80% | 27.40% | 46.20% | 48.96% | over $1,128,858 | 54.80% | 27.40% | 46.20% | 48.96% |
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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. Copyright © 2002 Boat Harbour Investments Ltd. |
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TaxTips.ca Newfoundland & Labrador Basic Personal Amount |
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| 2026 Personal Amount | 2026 Tax Rate | 2025 Personal Amount | 2025 Tax Rate | ||||||
| $11,188 | 8.7% | $11,067 | 8.7% | ||||||
| Federal Basic Personal Amount | |||||||||
| 2026
Personal Amount (1) Minimum / Maximum |
2026 Tax Rate | 2025
Personal Amount (1) Minimum / Maximum |
2025 Tax Rate | ||||||
| $14,829 | $16,452 | 14.0% | $14,538 | $16,129 | 14.5% | ||||
(1) See the federal tax rates page for information on the enhanced federal personal amount, which increases the marginal tax rates for taxable incomes in the second highest federal tax bracket. The marginal tax rates in blue above have been adjusted to reflect these changes.
Copyright © 2002 Boat Harbour Investments Ltd.
Revised: November 25, 2025