2021 Individual Income Tax Rates

Federal Tax Rates: 

• Income up to C$49,020: 15.00% 
• Income from C$49,021 to C$98,040: 20.50% 
• Income from C$98,041 to C$151,978: 26.00% 

• Income from C$151,979 to C$216,511: 29.00% 
• Income over C$216,512: 33.00% 

Ontario Tax Rates: 

• Income up to C$45,142: 5.05% 

• Income from C$45,143 to C$90,287: 9.15% 
• Income from C$90,288 to C$150,000: 11.16% 
• Income from C$150,001 to C$220,000: 12.16% 
• Income over C$220,001: 13.16% 

Dividend Gross up & Tax Credit Rates (Canada – 2021) 

Non-Eligible Dividends vs. Eligible Dividends: 

• Gross up rate: 15% vs. 38% 
• Federal Tax Credit (as % of grossed-up taxable dividend): 9.0301% vs. 15.0198% 
• Federal Tax Credit (as % of actual dividend): 10.3846% vs. 20.73% 

• Ontario Tax Credit (as % of grossed-up taxable dividend): 2.9863% vs. 10.0% 
• Ontario Tax Credit (as % of actual dividend): 3.434% vs. 13.8% 

Dividends before any regular income taxes are payable: 

• Federal: C$30,172 (Non-Eligible) and C$63,040 (Eligible, AMT applies) 

• Ontario: C$33,733 (Non-Eligible) and C$95,807 (Eligible, AMT applies)