Federal + Ontario rates, the surtax nobody explains, and what your next dollar is really taxed at.
Ontario income is taxed twice — once federally, once provincially — and Ontario adds two extras most bracket tables skip: a surtax that multiplies provincial tax at higher incomes, and a health premium of up to $900. Here are the real numbers.
| 2025 taxable income (final) | Rate | 2026 (projected, indexed ~2%) | Rate |
|---|---|---|---|
| Up to $57,375 | 14.5%* | Up to ~$58,523 | 14% |
| $57,375 – $114,750 | 20.5% | ~$58,523 – $117,045 | 20.5% |
| $114,750 – $177,882 | 26% | ~$117,045 – $181,440 | 26% |
| $177,882 – $253,414 | 29% | ~$181,440 – $258,482 | 29% |
| Over $253,414 | 33% | Over ~$258,482 | 33% |
*2025's first-bracket rate is 14.5% — the blended result of the federal cut from 15% to 14% that took effect July 1, 2025. From 2026 the full-year rate is 14%.
| Taxable income | Rate |
|---|---|
| Up to $52,886 | 5.05% |
| $52,886 – $105,775 | 9.15% |
| $105,775 – $150,000 | 11.16% |
| $150,000 – $220,000 | 12.16% |
| Over $220,000 | 13.16% |
Ontario charges surtax on your provincial tax itself: 20% of Ontario tax above $5,710, plus another 16% above $7,307 (2025). That's why Ontario's real top marginal rate isn't 13.16% + 33% = 46.16% but 53.53% — the surtax turns 13.16% into an effective 17.9% at the top. The health premium (income-scaled, capped at $900) rides on top.
| Taxable income | Combined marginal rate |
|---|---|
| $45,000 | 19.55%* |
| $80,000 | 29.65% |
| $120,000 | ~43.4% (surtax active) |
| $180,000 | ~48.3% |
| $260,000+ | 53.53% |
*Using the 2025 blended federal first rate; CPP/EI premiums add to the true cost of a working dollar below their ceilings.
The calculator applies every bracket, the surtax, the health premium and CPP/EI in one pass, for any province.
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