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Atlantic Provinces -> Prince Edward Island
Tax Rates - Current Marginal Tax Rates -> Prince Edward Island

Prince Edward Island 2016 and 2017 Personal Marginal Income Tax Rates

The Prince Edward Island tax brackets and personal tax credits are not increased for inflation.  The Federal tax brackets and personal amount are increased for 2017 by an indexation factor of 1.014.  The indexation factors, tax brackets and tax rates have been confirmed to Canada Revenue Agency information.  The PEI 2017 Budget announced that the Basic Personal Amount would be increased by 2% for 2017.  The increased amount is shown below.

Please read the article Understanding the Tables of Personal Income Tax Rates.

Prince Edward Island Personal Income Tax Brackets and Tax Rates Before Surtax

2017 Taxable Income 2017 Tax Rates 2016 Taxable Income 2016 Tax Rates
first $31,984 9.8% first $31,984 9.8%
over $31,984 up to $63,969 13.8% over $31,984 up to $63,969 13.8%
over $63,969 16.7% over $63,969 16.7%

Combined Federal & Prince Edward Island Tax Brackets and Tax Rates Including Surtax

2017 Taxable Income 2017 Marginal Tax Rates 2016 Taxable Income 2016 Marginal Tax Rates
Other
Income
Capital
Gains
Canadian Dividends Other
Income
Capital
Gains
Canadian Dividends
Eligible Non-Eligible Eligible Non-Eligible
first $31,984 24.80% 12.40% -0.99% 13.14% first $31,984 24.80% 12.40% -0.99% 13.14%
over $31,984 up to $45,916 28.80% 14.40% 4.53% 17.82% over $31,984 up to $45,282 28.80% 14.40% 4.53% 17.82%
over $45,916 up to $63,969 34.30% 17.15% 12.12% 24.25% over $45,282 up to $63,969 34.30% 17.15% 12.12% 24.25%
over $63,969 up to $91,831 37.20% 18.60% 16.12% 27.64% over $63,969 up to $90,563 37.20% 18.60% 16.12% 27.64%
over $91,831 up to $98,316 42.70% 21.35% 23.71% 34.08% over $90,563 up to $98,316 42.70% 21.35% 23.71% 34.08%
over $98,316 up to $142,353 44.37% 22.19% 24.56% 35.68% over $98,316 up to $140,388 44.37% 22.19% 24.56% 35.68%
over $142,353 up to $202,800 47.37% 23.69% 28.70% 39.19% over $140,388 up to $200,000 47.37% 23.69% 28.70% 39.19%
over $202,800 51.37% 25.69% 34.22% 43.87% over $200,000 51.37% 25.69% 34.22% 43.87%

Marginal tax rate for dividends is a % of actual dividends received (not grossed-up amount).
Marginal tax rate for capital gains is a % of total capital gains (not taxable capital gains).
Gross-up rate for eligible dividends is 38%, and for non-eligible dividends is 17%.
For more information see Prince Edward Island dividend tax credits.

Prince Edward Island Surtaxes

2017 2016
Surtax rate (included in above rates) 10% Surtax rate (included in above rates) 10%
Surtax is on PE tax greater than $12,500 Surtax is on PE tax greater than $12,500
Person with only basic personal amount - surtax starts at taxable income of $98,316 Person with only basic personal amount - surtax starts at taxable income of $98,316

The surtax is calculated based on the net tax payable after deducting personal tax credits.

Prince Edward Island Basic Personal Amount

2017 Personal Amount 2017 Tax Rate 2016 Personal Amount 2016 Tax Rate
$8,160 9.8% $8,000 9.8%

Federal Basic Personal Amount

2017 Personal Amount 2017 Tax Rate 2016 Personal Amount 2016 Tax Rate
$11,635 15% $11,474 15%

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Revised: September 20, 2017

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