Apply the 2026 federal brackets (14% to 33%) to your income, subtract deductions and federal credits, and see federal tax, average and marginal rates.
This calculator applies the 2026 federal tax brackets published by the CRA: 14% up to $58,523, 20.5% to $117,045, 26% to $181,440, 29% to $258,482 and 33% above. It calculates federal tax only. Provincial or territorial tax (or Quebec tax on the TP-1) comes on top; see the provincial brackets guide.
How to fill it in: enter total income, then deductions that reduce taxable income. For the credits field, add up your federal credit amounts and multiply by 14%. Most employees have at least the basic personal amount ($16,452), base CPP, EI and the Canada employment amount ($1,501).
Formula: taxable income = income − deductions; tax = sum of each slice × its rate − credits (not below zero).
Worked example (illustrative, 2026): an employee earning $75,000 deducts $727 of enhanced CPP and CPP2, so taxable income is $74,273. Tax before credits is $58,523 × 14% + $15,750 × 20.5% = $11,421.97. Credits are ($16,452 + $3,519.45 CPP base + $1,123.07 EI + $1,501) × 14% = $3,163.37, so federal tax is $8,258.60. The full gross-to-net example, with Ontario tax, is in the take-home pay guide.
Limits: the basic personal amount shrinks for net income above $181,440, which this tool does not adjust. Dividend tax credits, the Quebec abatement (16.5%), the OAS recovery tax and refundable credits are not included. General information, not tax advice.
2026 Brackets, Credits and Rules
The 2026 basic personal amount ($16,452), how non-refundable credits are valued at 14%, and the age, pension, medical, donation, caregiver and home buyers' credits.
2026 Brackets, Credits and Rules
The 2026 federal income tax brackets and rates, how the cut from 15% to 14% works, cumulative tax at each threshold and worked examples at $40k, $90k and $150k.
