Province guides
Provincial income tax guides 2026
Income tax in Canada has two layers: a federal layer administered by CRA, and a provincial layer administered by each province (or Revenu Québec for Quebec residents). The combined rate you pay depends heavily on which province you live in on December 31 of the tax year. These guides break down the brackets, credits, and rules for four of Canada's largest provinces.
Which province's tax rules apply to you?
Your provincial tax is based on the province where you are resident on December 31 of the tax year — not where you worked, earned income, or lived for most of the year. If you moved provinces during the year, you still file one federal return and one provincial return for the province where you were resident at year-end.
Ontario
Population: 14.9 million
Ontario uses five provincial tax brackets plus a unique surtax system. With over 38% of Canadians living here, Ontario tax rules affect more people than any other province.
Top prov. rate
13.16%
Top combined rate
53.53%
Surtax applies on top of regular provincial tax above $5,710.
British Columbia
Population: 5.5 million
BC has seven provincial brackets and a high top marginal rate, but generous low-income credits like the Climate Action Tax Credit partially offset the burden for lower earners.
Top prov. rate
20.50%
Top combined rate
53.50%
Seven brackets — highest top marginal rate of the four provinces profiled.
Alberta
Population: 4.7 million
Alberta stands out by having no provincial sales tax and a relatively flat income tax structure. Residents pay only the federal 5% GST on most purchases.
Top prov. rate
15%
Top combined rate
48%
No provincial sales tax. Lowest overall tax burden of major provinces.
Quebec
Population: 8.9 million
Quebec runs its own tax administration through Revenu Québec. Residents file two returns each year and have access to unique provincial benefits including generous childcare credits.
Top prov. rate
25.75%
Top combined rate
53.31%
Files two separate tax returns — CRA federal return plus Revenu Québec TP-1.
How provinces compare
| Province | Brackets | Lowest rate | Top rate | Sales tax | Separate return? |
|---|---|---|---|---|---|
| Ontario | 5 + surtax | 5.05% | 13.16% | 13% HST | No |
| British Columbia | 7 | 5.06% | 20.50% | 12% HST | No |
| Alberta | 5 | 10% | 15% | 5% GST only | No |
| Quebec | 4 | 14% | 25.75% | 14.975% QST+GST | Yes — TP-1 |
Combined rates include the 33% federal top rate on income over $246,752. Provincial rates apply to taxable income under provincial rules, which can differ from the federal base. Rates are for the 2026 tax year.