2016 TAX FACTS
Mackenzie Tax & Estate Planning
Tax Brackets
The rates below are the combined federal and provincial marginal rates, including all surtaxes. It is assumed that the only credits claimed are the basic personal amount and
the low income tax reduction (where applicable). These rates are correct as at January 1, 2016 and do not reflect changes resulting from federal or provincial announcements
after that date with the exception of the 2016-2017 New Brunswick provincial budget.
British Columbia 2016
Taxable
Income
$ – 11,474
11,474 to 19,171
19,171 to 31,628
31,628 to 38,210
38,210 to 45,282
45,282 to 76,421
76,421 to 87,741
87,741 to 90,563
90,563 to 106,543
106,543 to 140,388
140,388 to 200,000
200,000 and over
Ontario 2016
Interest and
Regular Income
–
15.00
23.56
20.06
22.70
28.20
31.00
32.79
38.29
40.70
43.70
47.70
Marginal Tax Rates (%)
Capital
Non-eligible
Eligible Canadian
Gains Canadian Dividends
Dividends
–
–
–
7.50
5.24
-0.03
11.78
11.78
-2.02
10.03
8.27
-6.85
11.35
11.36
-3.20
14.10
17.79
4.39
15.50
21.07
8.25
16.40
23.16
10.72
19.15
29.60
18.31
20.35
32.42
21.64
21.85
35.93
25.78
23.85
40.61
31.30
Interest and
Regular Income
–
15.00
25.00
30.50
36.00
38.00
41.00
42.00
47.00
48.00
Marginal Tax Rates (%)
Non-eligible
Eligible Canadian
Capital
Gains Canadian Dividends
Dividends
–
–
–
7.50
5.24
-0.03
12.50
13.33
-0.03
15.25
19.77
7.56
18.00
26.20
15.15
19.00
28.54
17.91
20.50
32.05
22.05
21.00
33.22
23.43
23.50
39.07
30.33
24.00
40.24
31.71
Alberta 2016
Taxable
Income
$ – 11,474
11,474 to 18,451
18,451 to 45,282
45,282 to 90,563
90,563 to 125,000
125,000 to 140,388
140,388 to 150,000
150,000 to 200,000
200,000 to 300,000
300,000 and over
Saskatchewan 2016
Taxable
Income
$ – 11,474
11,474 to 15,843
15,843 to 44,601
44,601 to 45,282
45,282 to 90,563
90,563 to 127,430
127,430 to 140,388
140,388 to 200,000
200,000 and over
Interest and
Regular Income
–
15.00
26.00
28.00
33.50
39.00
41.00
44.00
48.00
Marginal Tax Rates (%)
Capital
Non-eligible
Eligible Canadian
Gains Canadian Dividends
Dividends
–
–
–
7.50
5.24
-0.03
13.00
14.32
-0.03
14.00
16.66
2.73
16.75
23.10
10.32
19.50
29.53
17.91
20.50
31.87
20.67
22.00
35.38
24.81
24.00
40.06
30.33
Interest and
Regular Income
–
15.00
34.80
25.80
27.75
33.25
37.90
43.40
46.40
50.40
Marginal Tax Rates (%)
Capital
Non-eligible
Eligible Canadian
Gains Canadian Dividends
Dividends
–
–
–
7.50
5.24
-0.03
17.40
27.44
16.25
12.90
16.90
3.83
13.88
19.19
6.53
16.63
25.63
14.12
18.95
31.07
20.53
21.70
37.50
28.12
23.20
41.01
32.26
25.20
45.69
37.78
Manitoba 2016
Taxable
Income
$ – to 11,474
11,474 to 15,411
15,411 to 22,944
22,944 to 31,000
31,000 to 45,282
45,282 to 67,000
67,000 to 90,563
90,563 to 140,388
140,388 to 200,000
200,000 and over
Taxable
Income
$ – 11,474
11,474 to 14,586
14,586 to 19,159
19,159 to 41,536
41,536 to 45,282
45,282 to 73,145
73,145 to 83,075
83,075 to 86,176
86,176 to 90,563
90,563 to 140,388
140,388 to 150,000
150,000 to 200,000
200,000 to 220,000
220,000 and over
Interest and
Regular Income
–
15.00
25.10
20.05
24.15
29.65
31.48
33.89
37.91
43.41
46.41
47.97
51.97
53.53
Marginal Tax Rates (%)
Non-eligible
Eligible Canadian
Capital
Gains Canadian Dividends
Dividends
–
–
–
5.24
7.50
-0.03
7.02
-13.69
12.55
10.02
6.13
-6.86
12.08
10.93
-1.20
14.83
17.37
6.39
15.74
19.51
8.92
16.95
22.33
12.24
18.96
27.03
17.79
21.71
33.46
25.37
23.21
36.97
29.51
23.99
38.80
31.67
25.99
43.48
37.19
26.77
45.30
39.34
Interest and
Regular Income
–
12.53
28.53
32.53
37.12
41.12
45.71
47.46
49.97
53.30
Marginal Tax Rates (%)
Non-eligible
Eligible Canadian
Capital
Gains Canadian Dividends
Dividends
–
–
–
6.27
4.38
-0.02
14.27
14.85
5.64
16.27
19.53
11.16
18.56
24.90
17.49
20.56
29.58
23.01
22.86
34.95
29.35
23.73
37.00
31.77
24.99
39.93
35.23
26.65
43.84
39.83
Quebec 2016
Taxable
Income
$ – 11,474
11,474 to 14,438
14,438 to 42,390
42,390 to 45,282
45,282 to 84,780
84,780 to 90,563
90,563 to 103,150
103,150 to 140,388
140,388 to 200,000
200,000 and over
New Brunswick 2016
Taxable
Income
$ – to 11,474
11,474 to 16,286
16,286 to 37,350
37,350 to 40,492
40,492 to 45,282
45,282 to 80,985
80,985 to 90,563
90,563 to 131,664
131,664 to 140,388
140,388 to 150,000
150,000 to 200,000
200,000 and over
Interest and
Regular Income
–
15.00
27.68
24.68
29.82
35.32
37.02
42.52
43.84
46.84
49.30
53.30
Marginal Tax Rates (%)
Non-eligible
Eligible Canadian
Capital
Gains Canadian Dividends
Dividends
–
–
–
7.50
5.24
-0.03
13.84
15.40
0.91
12.34
11.89
-3.23
14.91
17.90
3.86
17.66
24.33
11.45
18.51
26.32
13.80
21.26
32.76
21.39
21.92
34.30
23.21
23.42
37.81
27.35
24.65
40.69
30.74
26.65
45.37
36.26
2016 TAX FACTS
Nova Scotia 2016
Taxable
Income
$ – 11,474
11,474 to 11,893
11,893 to 15,000
15,000 to 21,000
21,000 to 29,590
29,590 to 45,282
45,282 to 59,180
59,180 to 90,563
90,563 to 93,000
93,000 to 140,388
140,388 to 150,000
150,000 to 200,000
200,000 and over
Nunavut 2016
Interest and
Regular Income
–
15.00
23.79
28.79
23.79
29.95
35.45
37.17
42.67
43.50
46.50
50.00
54.00
Marginal Tax Rates (%)
Capital
Non-eligible
Eligible Canadian
Gains Canadian Dividends
Dividends
–
–
–
7.50
5.24
-0.03
11.90
11.42
-0.11
14.40
17.27
6.79
11.90
11.43
-0.11
14.98
18.64
8.39
17.73
25.07
15.98
18.59
27.08
18.35
21.33
33.52
25.94
21.75
34.49
27.09
23.25
38.00
31.23
25.00
42.09
36.06
27.00
46.77
41.58
Interest and
Regular Income
–
9.80
24.80
29.80
24.80
28.80
34.30
37.20
42.70
44.37
47.37
51.37
Marginal Tax Rates (%)
Non-eligible
Eligible Canadian
Capital
Gains Canadian Dividends
Dividends
–
–
–
4.90
7.90
-0.97
12.40
13.14
-1.00
14.90
18.99
5.90
12.40
13.14
-1.00
14.40
17.82
4.52
17.15
24.26
12.11
18.60
27.65
16.12
21.35
34.08
23.71
22.19
35.68
24.57
23.69
39.19
28.71
25.69
43.87
34.22
PEI 2016
Taxable
Income
$ – 10,259
10,259 to 11,474
11,474 to 16,999
16,999 to 21,999
21,999 to 31,984
31,984 to 45,282
45,282 to 63,969
63,969 to 90,563
90,563 to 98,141
98,141 to 140,388
140,388 to 200,000
200,000 and over
Newfoundland & Labrador 2016
Taxable
Income
$ to 11,474
11,474 to 19,031
19,031 to 23,930
23,930 to 35,148
35,148 to 45,282
45,282 to 70,295
70,295 to 90,563
90,563 to 125,500
125,500 to 140,388
140,388 to 175,700
175,700 to 200,000
200,000 and over
Interest and
Regular Income
–
15.00
38.70
22.70
27.50
33.00
33.80
39.30
40.30
43.30
44.30
48.30
Marginal Tax Rates (%)
Non-eligible
Eligible Canadian
Capital
Gains Canadian Dividends
Dividends
–
–
–
7.50
5.24
-0.03
19.35
28.17
25.23
11.35
9.45
3.15
13.75
15.07
9.77
16.50
21.51
17.36
16.90
22.44
18.46
19.65
28.87
26.05
20.15
30.04
27.43
21.65
33.55
31.57
22.15
34.72
32.95
24.15
39.40
38.47
Northwest Territories 2016
Taxable
Income
$ to 11,474
11,474 to 14,081
14,081 to 41,011
41,011 to 45,282
45,282 to 82,024
82,024 to 90,563
90,563 to 133,353
133,353 to 140,388
140,388 to 200,000
200,000 and over
Interest and
Regular Income
–
15.00
20.90
23.60
29.10
32.70
38.20
40.05
43.05
47.05
Marginal Tax Rates (%)
Non-eligible
Eligible Canadian
Capital
Gains Canadian Dividends
Dividends
–
–
–
7.50
5.24
-0.03
10.45
5.12
-7.76
11.80
8.28
-4.03
14.55
14.72
3.56
16.35
18.93
8.53
19.10
25.36
16.12
20.03
27.53
18.67
21.53
31.04
22.81
23.53
35.72
28.33
Taxable
Income
$ to 11,474
11,474 to 12,947
12,947 to 43,176
43,176 to 45,282
45,282 to 86,351
86,351 to 90,563
90,563 to 140,388
140,388 to 200,000
200,000 and over
Interest and
Regular Income
–
15.00
19.00
22.00
27.50
29.50
35.00
40.50
44.50
Marginal Tax Rates (%)
Non-eligible
Eligible Canadian
Capital
Gains Canadian Dividends
Dividends
–
–
–
7.50
5.24
-0.03
9.50
6.53
-2.11
11.00
10.04
2.03
13.75
16.47
9.62
14.75
18.81
12.38
17.50
25.25
19.97
20.25
31.68
27.56
22.25
36.36
33.08
Interest and
Regular Income
–
16.28
24.40
21.40
29.50
36.90
41.80
45.80
48.00
Marginal Tax Rates (%)
Non-eligible
Eligible Canadian
Capital
Gains Canadian Dividends
Dividends
–
–
–
8.14
6.00
-2.40
12.20
12.57
-7.76
10.70
9.06
-11.90
14.75
18.54
-0.72
18.45
27.19
9.49
20.90
32.93
16.25
22.90
37.61
21.77
24.00
40.18
24.81
Yukon 2016
Taxable
Income
$ to 11,474
11,474 to 16,470
16,470 to 24,999
24,999 to 45,282
45,282 to 90,563
90,563 to 140,388
140,388 to 200,000
200,000 to 500,000
500,000 and over
Dividend Taxation
Dividends received by individuals from Canadian corporations are taxed based on a
“gross-up” value and a corresponding tax credit. The gross-up and tax credit varies
depending on the type of dividend; i.e., whether “eligible” (dividends paid after
2005 from public companies and private companies where the underlying income is
subject to the general corporate tax rate) or “non-eligible” (a dividend from a private
Canadian corporation where the related underlying income is investment income or
income subject to the small business rate).
The following table summarizes the amount of eligible and non-eligible dividends
that may be received without incurring tax in 2016, assuming no other income or
deductions other than the basic personal exemption and dividend tax credit. Note
however that AMT may be triggered in some cases.
Province
Alberta
British Columbia
Manitoba
New Brunswick
Newfoundland and Labrador
Nova Scotia
Ontario*
Prince Edward Island
Quebec**
Saskatchewan
Eligible Dividends
$55,685
$55,685
$24,270
$55,685
$21,350
$30,505
$53,000
$44,670
$35,830
$55,685
Non-eligible Dividends
$22,795
$22,655
$13,745
$20,330
$19,650
$14,910
$32,845
$12,730
$22,055
$19,190
*Does not include Ontario Health Premium **Does not include Quebec Health Services Fund
Other Tax Facts
2016 CPP Premiums:
2016 Quebec QPP Premiums:
Employee (4.95%): $2,544.30 Self-employed (9.90%):
$5,088.60
Employee (5.325%): $2,737.05 Self-employed (10.65%):
$5,474.10
Maximum pensionable earnings: $54,900 Maximum CPP retirement benefit: $1,092.50
2016 EI Premiums:
Employee (1.88%): $955.04 Employer (2.63%): $1,337.06
2016 Quebec EI Premiums:
Employee (1.52%): $772.16 Employer (2.13%): $1,081.02
02323
For more information, please visit mackenzieinvestments.com/taxandestate
Telephone: 1-888-653-7070 Fax: 1-866-766-6623
180 Queen Street West, Toronto, ON M5V 3K1
mackenzieinvestments.com/taxandestate
TE1012 1/16
Old Age Security:
Maximum OAS benefit: $570.52 Clawback income threshold: $73,637 – $119,398