Canada Income Tax Calculator

Calculate your take-home salary and tax brackets in Canada (CAD)

Canada Take Home Salary Calculator

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Lowest Tax Rate

15%

Average Tax Rate

24.7%

Highest Tax Rate

33%

Understanding Canada's Tax System

The Canada income tax system uses a progressive tax rate structure with 5 different tax brackets for 2024. The tax rates range from 15% to 33%, with an average rate of 24.7%.

Tax Brackets Breakdown

Here's a detailed breakdown of the tax brackets in Canada:

Bracket 115%
From

CA$0

To

CA$55,867

Bracket 220.5%
From

CA$55,868

To

CA$111,733

Bracket 326%
From

CA$111,734

To

CA$173,205

Bracket 429%
From

CA$173,206

To

CA$246,752

Bracket 533%
From

CA$246,753

To

∞

How Progressive Tax Works in Canada

In Canada, like many countries, the tax system is progressive. This means you don't pay the highest rate on all your income. Instead, you pay different rates on different portions of your income. For example:

  • 1You only pay 15% on the first CA$55,867
  • 2Then 20.5% on the next portion, and so on
  • 3The highest rate of 33% only applies to income above CA$246,752

Additional Information

This calculator provides a basic estimate of your income tax in Canada. Please note that:

  • These are 2024 tax rates from Canada Revenue Agency
  • The calculation doesn't include regional or municipal taxes
  • Social security contributions and other deductions are not included
  • Tax credits and deductions may reduce your actual tax burden

Source: Canada Revenue Agency