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

Ontario 2022 and 2021 Personal Marginal Income Tax Rates

The Federal tax brackets and personal tax credit amounts are increased for 2022 by an indexation factor of 1.024 (a 2.4% increase).

The Ontario tax brackets and personal tax credit amounts are also increased for 2022 by an indexation factor of 1.024, except for the $150,000 and $220,000 bracket amounts, which are not indexed for inflation.

The indexation factors, tax brackets and tax rates have not yet 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.

Ontario Personal Income Tax Brackets and Tax Rates
2022 Taxable Income 2022 Tax Rates 2021 Taxable Income 2021 Tax Rates
first $46,226 5.05% first $45,142 5.05%
over $46,226 up to $92,454 9.15% over $45,142 up to $90,287 9.15%
over $92,454 up to $150,000 11.16% over $90,287 up to $150,000 11.16%
over $150,000 up to $220,000 12.16% over $150,000 up to $220,000 12.16%
over $220,000 13.16% over $220,000 13.16%

 

Combined Federal & Ontario Tax Brackets and Tax Rates Including Surtaxes
2022 Taxable Income ON 2022 Marginal Tax Rates 2021 Taxable Income ON 2021 Marginal Tax Rates
Other
Income
Capital
Gains
Canadian Dividends Other
Income
Capital
Gains
Canadian Dividends
Eligible Non-Eligible Eligible Non-Eligible
first $46,226 20.05% 10.03% -6.86% 9.24% first $45,142 20.05% 10.03% -6.86% 9.24%
over $46,226 up to $50,197 24.15% 12.08% -1.20% 13.95% over $45,142 up to $49,020 24.15% 12.08% -1.20% 13.95%
over $50,197 up to $81,411 29.65% 14.83% 6.39% 20.28% over $49,020 up to $79,505 29.65% 14.83% 6.39% 20.28%
over $81,411 up to $92,454 31.48% 15.74% 8.92% 22.38% over $79,505 up to $90,287 31.48% 15.74% 8.92% 22.38%
over $92,454 up to $95,906 33.89% 16.95% 12.24% 25.16% over $90,287 up to $93,655 33.89% 16.95% 12.24% 25.16%
over $95,906 up to $100,392 37.91% 18.95% 17.79% 29.78% over $93,655 up to $98,040 37.91% 18.95% 17.79% 29.78%
over $100,392 up to $150,000 43.41% 21.70% 25.38% 36.10% over $98,040 up to $150,000 43.41% 21.70% 25.38% 36.10%
over $150,000 up to $155,625 44.97% 22.48% 27.53% 37.90% over $150,000 up to $151,978 44.97% 22.48% 27.53% 37.90%
over $155,625 up to $220,000 48.35% 24.17% 32.19% 41.79% over $151,978 up to $216,511 48.29% 24.14% 32.11% 41.72%
over $220,000 up to $221,708 49.91% 24.95% 34.34% 43.58% over $216,511 up to $220,000 51.97% 25.98% 37.19% 45.95%
over $221,708 53.53% 26.76% 39.34% 47.74% over $220,000 53.53% 26.76% 39.34% 47.74%
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%.
The surtax is calculated before deducting dividend tax credits.
For more information see Ontario dividend tax credits.
Marginal tax rates do not include the Ontario Health Premium, which increases the above rates by up to 25%.

 

Ontario Surtaxes
2022 2021
Surtax rate (included in above rates) 20% 36% Surtax rate (included in above rates) 20% 36%
Surtax is on ON tax greater than $4,991 $6,387 Surtax is on ON tax greater than $4,874 $6,237
Person with only basic personal amount - surtax starts at taxable income of $81,411 $95,906 Person with only basic personal amount - surtax starts at taxable income of $79,505 $93,655
The 36% surtax is in addition to the 20% surtax, for a total surtax of 56%.
The surtax increases the 13.16% tax rate to 20.53% (13.16% x 1.56).
Surtaxes are calculated before deducting dividend tax credits.

 

Ontario Basic Personal Amount
2022 Personal Amount 2022 Tax Rate 2021 Personal Amount 2021 Tax Rate
$11,141 5.05% $10,880 5.05%
Federal Basic Personal Amount
2022 Personal Amount (1) 2022 Tax Rate 2021 Personal Amount (1) 2021 Tax Rate
$14,398 15% $13,808 15%

(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: October 23, 2021

 

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