Ontario Income Tax 2026: Brackets and Take-Home
2026 Ontario provincial income tax brackets
| Taxable income (Ontario) | Provincial rate |
|---|---|
| Up to $51,446 | 5.05% |
| $51,447 to $102,894 | 9.15% |
| $102,895 to $150,000 | 11.16% |
| $150,001 to $220,000 | 12.16% |
| Over $220,000 | 13.16% |
Ontario brackets apply after the Ontario Basic Personal Amount and other provincial credits are deducted. The top rate of 13.16% is one of the higher provincial rates in Canada, though Ontario earners also benefit from a relatively large basic personal credit.
Ontario surtax 2026
The Ontario surtax is charged on top of the basic provincial tax calculation. It has two thresholds for 2026:
- 20% surtax on basic Ontario tax above $5,315
- 36% additional surtax on basic Ontario tax above $6,802
The surtax primarily affects incomes above approximately $100,000. For most employees earning up to $80,000, the combined marginal Ontario rate stays close to the nominal bracket rate.
Ontario Health Premium
The Ontario Health Premium is collected annually at tax-filing time, not through payroll withholding. It is based on your net income for the year:
| Net income | Maximum premium |
|---|---|
| Up to $20,000 | $0 |
| $20,001 to $36,000 | $300 |
| $36,001 to $48,000 | $450 |
| $48,001 to $72,000 | $600 |
| $72,001 to $200,000 | $750 |
| Over $200,000 | $900 |
Ontario take-home pay by income (2026)
Net pay reflects federal tax, Ontario provincial tax, CPP, CPP2 and EI. Effective rate is combined federal and provincial income tax only.
| Gross income | Federal tax | Ontario tax | CPP + EI | Net pay | Eff. income tax |
|---|---|---|---|---|---|
| $40,000 | $2,691 | $1,671 | $2,824 | $32,814 | 10.9% |
| $60,000 | $5,338 | $2,982 | $4,340 | $47,340 | 13.9% |
| $80,000 | $9,243 | $4,885 | $5,570 | $60,303 | 17.7% |
| $100,000 | $13,302 | $6,723 | $5,770 | $74,206 | 20.0% |
| $150,000 | $25,302 | $14,608 | $5,770 | $104,320 | 26.6% |
At $80,000 gross, federal tax is $9,243, Ontario provincial tax is $4,885, and CPP plus EI together are $5,570, leaving a net annual pay of $60,303 ($5,025.22 per month).
How Ontario compares to other provinces
Ontario sits in the middle of provincial tax burden for most income levels. Alberta has a flat 10% rate with no surtax and no health premium. British Columbia's top rate reaches 20.5% but the lower brackets are gentler. Quebec's rates are higher than Ontario's, but Quebec residents pay lower federal tax due to the Quebec abatement. See the provincial tax comparison guide for worked examples across four provinces.
Frequently asked questions
What are the Ontario income tax brackets for 2026?
Ontario has five provincial tax brackets in 2026: 5.05% on the first $51,446, 9.15% from $51,447 to $102,894, 11.16% from $102,895 to $150,000, 12.16% from $150,001 to $220,000, and 13.16% above $220,000. A surtax of 20% applies when Ontario tax exceeds $5,315, with an additional 36% when it exceeds $6,802.
What is the Ontario Health Premium?
The Ontario Health Premium is a separate levy paid through your annual tax return. It ranges from $0 for incomes up to $20,000, up to $900 for incomes above $200,000. At $80,000 gross it is $600 per year. It is deducted annually at tax-filing time, not from each paycheque.
How does the Ontario surtax work?
Ontario levies a surtax on top of basic provincial tax. Once your basic Ontario tax exceeds $5,315, a 20% surtax applies to the excess. If it exceeds $6,802, an additional 36% applies. For most earners below $100,000, the surtax does not apply; it mainly affects incomes above $150,000.
Use the Canada salary calculator to see your exact deductions across any province.
Sources: Ontario Ministry of Finance, CRA T4127 (2026 edition). Last updated 2026-11-04.