Ontario Budget 2024: Key Tax Changes
Building a Better Ontario
Budget 2024 Highlights
- $200 one-time Ontario tax rebate for eligible residents (OSTC top-up)
- Ontario Senior Care at Home Tax Credit maintained and enhanced
- No change to Ontario HST rate (remains 13% blended with 5% federal GST)
- EV charger tax credit extended for home charging equipment
- Ontario Made Manufacturing Investment Tax Credit increased to 10%
- Increased housing supply target of 1.5 million homes by 2031
Provincial Income Tax Rates (2024)
Provincial income tax rates apply on top of federal rates. See our complete tax rate tables for combined federal-provincial rates by income level.
| Taxable Income Bracket | Provincial Rate |
|---|---|
| Up to $51,446 | 5.05% |
| $51,446 – $102,894 | 9.15% |
| $102,894 – $150,000 | 11.16% |
| $150,000 – $220,000 | 12.16% |
| Over $220,000 | 13.16% |
Recent Tax Changes in Detail
$200 Ontario Taxpayer Rebate
Effective: 2024A one-time $200 payment was provided to every Ontario tax filer in 2024. For families with children under 18, an additional $200 per child was provided. The rebate was delivered automatically to individuals who filed a 2023 Ontario income tax return and had no provincial tax owing.
Ontario Senior Care at Home Tax Credit
Effective: 2022 and ongoingThe Ontario Senior Care at Home Tax Credit provides a refundable 25% credit on eligible medical expenses for seniors aged 70 and older, up to $6,000 in expenses ($1,500 maximum credit). The credit is income-tested and phases out for families with net income above $35,000, fully phasing out at $65,000. It supplements but does not replace the federal Medical Expense Tax Credit.
Ontario Made Manufacturing Investment Tax Credit
Effective: March 23, 2023Ontario manufacturers can claim a 10% refundable corporate tax credit on capital expenditures for qualifying manufacturing and processing machinery and equipment. The credit applies to property acquired on or after March 23, 2023 and used primarily in Ontario. Small businesses with taxable capital under $10 million benefit most as they face Ontario's lower corporate rates.
Ontario Surtax Thresholds
Effective: OngoingOntario applies a surtax on provincial income tax above certain thresholds: 20% surtax on provincial tax above $5,315, and an additional 36% surtax on provincial tax above $6,802. These thresholds are not indexed to inflation, meaning bracket creep gradually increases the effective Ontario surtax rate for taxpayers in the affected income ranges.
Official Resources
For the complete budget documents, legislative details, and supplementary information, visit the official Ontario government budget page:
Ontario Budget Documents ↗TaxSimplified summarizes budget measures for informational purposes. Always refer to the official budget documents and the Canada Revenue Agency for authoritative tax guidance. Consult a CPA for personalized tax advice.