Ontario Tax Brackets 2026
Ontario has five income tax brackets for 2026, from 5.05% to 13.16%, plus a surtax and a health premium that most calculators hide. Here is how they fit together.
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What are Ontario's tax brackets?
Ontario's 2026 tax brackets are 5.05% on taxable income up to $53,891, 9.15% from $53,891 to $107,785, 11.16% from $107,785 to $150,000, 12.16% from $150,000 to $220,000 and 13.16% above $220,000. Ontario also charges a surtax on higher provincial tax and a health premium of up to $900, on top of federal tax.
Ontario tax brackets 2026
The Ontario tax brackets 2026 below are published by the Canada Revenue Agency, which collects Ontario income tax on the same return as federal tax. The first two thresholds are indexed to Ontario inflation each year and rose about 1.9% for 2026. The $150,000 and $220,000 thresholds are fixed and do not change.
| Taxable income | Ontario rate |
|---|---|
| $0 to $53,891 | 5.05% |
| $53,891 to $107,785 | 9.15% |
| $107,785 to $150,000 | 11.16% |
| $150,000 to $220,000 | 12.16% |
| Over $220,000 | 13.16% |
Ontario's basic personal amount gives a credit at 5.05%. It was $12,747 in 2025 and is indexed at the same rate as the brackets, to about $12,990 for 2026; confirm the exact figure on form ON428.
Ontario income tax rates combined with federal tax
Ontario income tax rates are only half the picture, because you pay federal tax on the same income. Your combined marginal rate is the federal rate plus the Ontario rate for your income, adjusted for the surtax at higher incomes. The federal schedule is on our tax brackets Canada 2026 page.
| Taxable income | Federal | Ontario | Combined |
|---|---|---|---|
| $0 to $53,891 | 14% | 5.05% | 19.05% |
| $53,891 to $58,523 | 14% | 9.15% | 23.15% |
| $58,523 to $107,785 | 20.5% | 9.15% | 29.65% |
| $107,785 to $117,045 | 20.5% | 11.16% | 31.66% |
| Over $258,482 (with surtax) | 33% | 20.53% | 53.53% |
Rates between these rows rise further once the surtax applies, usually from somewhere around $95,000 to $115,000 of taxable income depending on your credits.
How the Ontario surtax works
The Ontario surtax is an extra tax on your Ontario tax, not on your income. You pay 20% of basic Ontario tax above a first threshold, plus another 36% of basic Ontario tax above a second threshold. In 2025 those thresholds were $5,710 and $7,307 of Ontario tax. They are indexed each year, to roughly $5,800 and $7,450 for 2026 based on indexation.
Once both apply, every dollar of Ontario tax costs $1.56. That is why the top Ontario rate of 13.16% becomes an effective 20.53%, and the top combined rate reaches 53.53%. Most people earning under about $90,000 pay no surtax at all.
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What is the Ontario Health Premium?
The Ontario Health Premium is a separate charge collected with your income tax, based on taxable income. It starts above $20,000 and is capped at $900 a year. It appears as a deduction on your paycheque along with income tax.
| Taxable income | Annual premium |
|---|---|
| Up to $20,000 | $0 |
| $20,000 to $36,000 | Up to $300 |
| $36,000 to $48,000 | Up to $450 |
| $48,000 to $72,000 | Up to $600 |
| $72,000 to $200,000 | Up to $750 |
| Over $200,000 | Up to $900 |
The premium phases in gradually at the start of each band, so it does not jump by the full amount at a single dollar of income.
A worked example on $80,000 in Ontario
Federal tax on the same income is about $10,293 after the basic personal amount. CPP, EI and other credits lower both figures further. To see your own take-home pay after every deduction, use the Ontario take-home pay calculator. Setting that figure as your monthly income in EMOH Pay gives your budget an accurate starting point.
- The first $53,891 is taxed at 5.05%, which is about $2,722.
- The remaining $26,109 is taxed at 9.15%, which is about $2,389.
- That is about $5,110 of basic Ontario tax before credits.
- The basic personal amount credit takes off about $656, leaving roughly $4,455. That is below the surtax threshold, so no surtax applies.
- The Ontario Health Premium adds $750, for about $5,205 in total.
Credits and benefits that lower Ontario tax
Your Ontario tax is filed with your federal return by the tax filing deadline, 30 April. EMOH Pay helps by tracking net pay, receipts and deductible expenses in one place, with PDF and Excel exports ready for tax season.
- Ontario Tax Reduction. Reduces or eliminates Ontario tax for people with lower incomes, with extra amounts for children and dependants with a disability.
- Low-income Individuals and Families Tax (LIFT) credit. Lowers Ontario tax for people working at modest incomes.
- Ontario Trillium Benefit. Combines the Ontario energy and property tax credit, the Northern Ontario energy credit and the sales tax credit into a monthly payment. See Ontario Trillium Benefit dates.
- RRSP and FHSA contributions. Reduce taxable income, so they save tax at your combined marginal rate.
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Get started free➜Ontario Tax Brackets 2026: frequently asked questions
What is the lowest tax bracket in Ontario for 2026?
5.05% on taxable income up to $53,891. Combined with the 14% federal rate, the lowest combined rate is 19.05%.
What is the highest tax rate in Ontario?
The top Ontario rate is 13.16% above $220,000, which becomes about 20.53% with the surtax. Combined with the 33% federal rate, the top marginal rate is 53.53%.
Do Ontario tax brackets change every year?
The first two thresholds are indexed to inflation each January. The $150,000 and $220,000 thresholds are fixed, and the rates themselves only change when the province legislates a change.
Is the Ontario Health Premium the same as OHIP?
No. OHIP is the provincial health insurance plan. The premium is a tax-based charge that helps fund health care, and you pay it whether or not you use OHIP services.
Which province do I pay tax to if I move?
You pay tax to the province where you lived on 31 December of the tax year, for the whole year's income.
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