Prince Edward Island tax rates 2026
Updated Oct 2026Combined federal + provincial marginal rates. Table mode excludes low-income reductions and the Ontario Health Premium for comparability across provinces — this is the convention used by financial institutions.
Top combined rate
53.00%
Top capital gains rate
26.50%
Top eligible dividend rate
37.92%
| Taxable income | Fed bracket | Prov bracket | Ordinary income | Capital gains | Eligible dividends | Non-eligible dividends |
|---|---|---|---|---|---|---|
| $20k | 14.00% | 9.50% | 23.50% | 11.75% | -2.79% | 15.15% |
| $30k | 14.00% | 9.50% | 23.50% | 11.75% | -2.79% | 15.15% |
| $40k | 14.00% | 13.47% | 27.47% | 13.73% | 2.69% | 19.71% |
| $50k | 14.00% | 13.47% | 27.47% | 13.73% | 2.69% | 19.71% |
| $60k | 20.50% | 13.47% | 33.97% | 16.99% | 11.66% | 27.19% |
| $70k | 20.50% | 16.60% | 37.10% | 18.55% | 15.98% | 30.79% |
| $80k | 20.50% | 16.60% | 37.10% | 18.55% | 15.98% | 30.79% |
| $90k | 20.50% | 16.60% | 37.10% | 18.55% | 15.98% | 30.79% |
| $100k | 20.50% | 16.60% | 37.10% | 18.55% | 15.98% | 30.79% |
| $120k | 26.00% | 17.62% | 43.62% | 21.81% | 24.98% | 38.28% |
| $150k | 26.00% | 19.00% | 45.00% | 22.50% | 26.88% | 39.87% |
| $200k | 29.00% | 19.00% | 49.29% | 24.65% | 32.81% | 44.81% |
| $250k | 29.00% | 20.00% | 49.29% | 24.65% | 32.81% | 44.81% |
| $300k | 33.00% | 20.00% | 53.00% | 26.50% | 37.92% | 49.07% |
| $400k | 33.00% | 20.00% | 53.00% | 26.50% | 37.92% | 49.07% |
| $500k | 33.00% | 20.00% | 53.00% | 26.50% | 37.92% | 49.07% |
Prince Edward Island provincial brackets 2026
| Taxable income | Rate |
|---|---|
| $0 to $33,928 | 9.50% |
| $33,929 to $65,820 | 13.47% |
| $65,821 to $106,890 | 16.60% |
| $106,891 to $142,520 | 17.62% |
| $142,521 to $200,000 | 19.00% |
| Over $200,000 | 20.00% |
Notes
- Rates are marginal — they apply only to each additional dollar of income in that bracket, not to all income.
- The table uses table mode, which excludes low-income reductions, Ontario surtax, and the Ontario Health Premium for clean cross-province comparison.
- Eligible dividends are grossed up 38 % before tax, then receive the federal and provincial dividend tax credits.
- Capital gains are taxed on 50 % of the gain (50 % inclusion rate, confirmed as of March 21 2025).