Ontario -> Tax Rates -> 2015 & 2016 Tax Rates -> Ontario 2015 & 2016 Income Tax Rates
Ontario 2015 and 2016 Personal Marginal Income Tax Rates
The Federal tax rates for 2016 are as per Bill C-2 tabled in December 2015. The Ontario tax brackets, personal amount and surtax amounts were increased for 2016 by an indexation factor of 1.015, except for the $150,000 and $220,000 amounts, which are not indexed, as per the ON 2014 budget. The Federal tax brackets and personal amount were increased for 2016 by an indexation factor of 1.013. The indexation factors, tax brackets and tax rates have been confirmed to Canada Revenue Agency information.
The 2016 marginal tax rate for non-eligible dividends reflects the rate that is in effect automatically due to the change in the gross-up rate for 2016. The Ontario 2016 Budget confirmed that they would not make a legislative change to this, but indicated that they would review the rate for 2017 and later years.
Please read the article Understanding the Tables of Personal Income Tax Rates.
Ontario Personal Income Tax Brackets and Tax Rates |
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| 2016 Taxable Income | 2016 Tax Rates | 2015 Taxable Income | 2015 Tax Rates | ||||||
| first $41,536 | 5.05% | first $40,922 | 5.05% | ||||||
| over $41,536 up to $83,075 | 9.15% | over $40,922 up to $81,847 | 9.15% | ||||||
| over $83,075 up to $150,000 | 11.16% | over $81,847 up to $150,000 | 11.16% | ||||||
| over $150,000 up to $220,000 | 12.16% | over $150,000 up to $220,000 | 12.16% | ||||||
| over $220,000 | 13.16% | over $220,000 | 13.16% | ||||||
Combined Federal & Ontario Tax Brackets and Tax Rates Including Surtaxes |
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| 2016 Taxable Income | 2016 Marginal Tax Rates | 2015 Taxable Income | 2015 Marginal Tax Rates | ||||||
| Other Income |
Capital Gains |
Canadian Dividends | Other Income |
Capital Gains |
Canadian Dividends | ||||
| Eligible | Non-Eligible | Eligible | Non-Eligible | ||||||
| first $41,536 | 20.05% | 10.03% | -6.86% | 6.13% | first $40,922 | 20.05% | 10.03% | -6.86% | 5.35% |
| over $41,536 up to $45,282 | 24.15% | 12.08% | -1.20% | 10.93% | over $40,922 up to $44,701 | 24.15% | 12.08% | -1.20% | 10.19% |
| over $45,282 up to $73,145 | 29.65% | 14.83% | 6.39% | 17.37% | over $44,701 up to $72,064 | 31.15% | 15.58% | 8.46% | 18.45% |
| over $73,145 up to $83,075 | 31.48% | 15.74% | 8.92% | 19.51% | over $72,064 up to $81,847 | 32.98% | 16.49% | 10.99% | 20.61% |
| over $83,075 up to $86,176 | 33.89% | 16.95% | 12.24% | 22.33% | over $81,847 up to $84,902 | 35.39% | 17.70% | 14.31% | 23.45% |
| over $86,176 up to $90,563 | 37.91% | 18.95% | 17.79% | 27.03% | over $84,902 up to $89,401 | 39.41% | 19.70% | 19.86% | 28.19% |
| over $90,563 up to $140,388 | 43.41% | 21.70% | 25.38% | 33.46% | over $89,401 up to $138,586 | 43.41% | 21.70% | 25.38% | 32.91% |
| over $140,388 up to $150,000 | 46.41% | 23.20% | 29.52% | 36.97% | over $138,586 up to $150,000 | 46.41% | 23.20% | 29.52% | 36.45% |
| over $150,000 up to $200,000 | 47.97% | 23.98% | 31.67% | 38.80% | over $150,000 up to $220,000 | 47.97% | 23.98% | 31.67% | 38.29% |
| over $200,000 up to $220,000 | 51.97% | 25.98% | 37.19% | 43.48% | over $220,000 | 49.53% | 24.76% | 33.82% | 40.13% |
| over $220,000 | 53.53% | 26.76% | 39.34% | 45.30% | |||||
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Marginal tax rate for dividends is a % of actual
dividends received (not grossed-up amount). |
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Ontario Surtaxes |
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| 2016 | 2015 | ||||||||
| Surtax rate (included in above rates) | 20% | 36% | Surtax rate (included in above rates) | 20% | 36% | ||||
| Surtax is on ON tax greater than | $4,484 | $5,739 | Surtax is on ON tax greater than | $4,418 | $5,654 | ||||
| Person with only basic personal amount - surtax starts at taxable income of | $73,145 | $86,176 | Person with only basic personal amount - surtax starts at taxable income of | $72,064 | $84,902 | ||||
The 36% surtax is in addition to
the 20% surtax, for a total surtax of 56%. |
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Ontario Basic Personal Amount |
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| 2016 Personal Amount | 2016 Tax Rate | 2015 Personal Amount | 2015 Tax Rate | ||||||
| $10,011 | 5.05% | $9,863 | 5.05% | ||||||
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Federal Basic Personal Amount |
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| 2016 Personal Amount | 2016 Tax Rate | 2015 Personal Amount | 2015 Tax Rate | ||||||
| $11,474 | 15% | $11,327 | 15% | ||||||
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Revised: October 26, 2023