Canada income tax 2026: federal rates, CPP, EI and deadlines

Canada’s tax year is the calendar year. You pay federal tax to the CRA plus provincial or territorial tax, based on where you lived on 31 December. Quebec runs its own provincial income tax.

Federal rates 2026

Taxable income	Rate
up to $58,523	14%
$58,523 – $117,045	20.5%
$117,045 – $181,440	26%
$181,440 – $258,482	29%
over $258,482	33%

Basic personal amount (2025): $16,129 if your net income is $177,882 or less, falling to $14,538 above $253,414. The 2026 amount: Needs review.

CPP and EI 2026 (employees)

• CPP: 5.95% on earnings between $3,500 and $74,600 (max $4,230.45). The employer matches. Self-employed pay 11.9%.
• CPP2: 4% on earnings between $74,600 and $85,000 (max $416).
• EI: 1.63% on earnings up to $68,900 (max $1,123.07), or 1.30% in Quebec. Employers pay 1.4 times the employee premium.

Who must file

You owe tax, the CRA asked you to file, you sold capital property, or you want refunds and benefits such as the Canada Child Benefit or the GST/HST credit.

Deadlines for 2025 returns

• File and pay: 30 April 2026
• Self-employed (and their spouse) file by 15 June 2026, but payment is still due 30 April.

2026 returns: expected 30 April 2027. Needs review.

GST/HST

5% GST in AB, BC, MB, NT, NU, QC, SK and YT (some add their own PST or QST). HST: 13% in ON, 14% in NS, 15% in NB, NL and PE.

Moving from India

If you move from India to Canada, both countries’ rules can apply in the year you move.

• Check your Indian status for that year in Residential status. It decides whether India taxes only your Indian income or your worldwide income.
• Savings accounts usually need to change to NRO/NRE accounts. See NRI bank accounts.
• Money you send abroad before you leave falls under the Liberalised Remittance Scheme. See Foreign remittance (LRS).
• If both countries tax the same income, India’s tax treaty with Canada may give relief. Read the treaty text before you rely on it.