BC Income Tax 2026
British Columbia uses a seven-bracket progressive income tax system. BC stands out for its low bottom bracket (5.6%), which makes it one of the most affordable provinces for residents earning under $75,000. At higher incomes, BC’s 20.5% top rate brings it closer to other high-tax provinces.
BC eliminated the individual Medical Services Plan premium in 2020, reducing the effective tax burden compared to historical figures. BC residents also receive the Climate Action Tax Credit, a quarterly refundable credit that partially offsets carbon pricing costs.
BC Tax Brackets 2026
Provincial Tax Rates
| Each portion of taxable income | Rate |
|---|---|
| $0.00 to $50,363.00 | 5.6% |
| $50,363.01 to $100,728.00 | 7.7% |
| $100,728.01 to $115,648.00 | 10.5% |
| $115,648.01 to $140,430.00 | 12.29% |
| $140,430.01 to $190,405.00 | 14.7% |
| $190,405.01 to $265,545.00 | 16.8% |
| Over $265,545.01 | 20.5% |
Source: Canada Revenue Agency – Canadian income tax rates for individuals, 2026. Verified August 28, 2026.
These rates apply to taxable income — your net income after claiming RRSP contributions, union dues, business losses, and other deductions.
Combined Federal + BC Rates
| Each portion of taxable income | Combined Federal + British Columbia Rate |
|---|---|
| Up to $50,363.00 | 19.6% |
| $50,363.00 to $58,523.00 | 21.7% |
| $58,523.00 to $100,728.00 | 28.2% |
| $100,728.00 to $115,648.00 | 31% |
| $115,648.00 to $117,045.00 | 32.79% |
| $117,045.00 to $140,430.00 | 38.29% |
| $140,430.00 to $181,440.00 | 40.7% |
| $181,440.00 to $190,405.00 | 43.7% |
| $190,405.00 to $258,482.00 | 45.8% |
| $258,482.00 to $265,545.00 | 49.8% |
| Over $265,545.00 | 53.5% |
Combined marginal rate = federal rate + British Columbia rate at each income level, computed directly from 2026 bracket data (not a separately-maintained table). Source: Canada Revenue Agency – Canadian income tax rates for individuals and the provincial revenue agency, verified August 28, 2026.
Tax by Income Level
| Taxable Income | BC Tax | Federal Tax | Total Tax | Effective Rate |
|---|---|---|---|---|
| $30,000 | $1,680 | $4,200 | $5,880 | 19.6% |
| $50,000 | $2,800 | $7,000 | $9,800 | 19.6% |
| $75,000 | $4,717 | $11,571 | $16,288 | 21.7% |
| $100,000 | $6,642 | $16,696 | $23,338 | 23.3% |
| $125,000 | $9,414 | $22,259 | $31,673 | 25.3% |
| $150,000 | $12,718 | $28,759 | $41,476 | 27.7% |
| $200,000 | $20,269 | $42,315 | $62,584 | 31.3% |
| $250,000 | $28,669 | $56,815 | $85,484 | 34.2% |
| $300,000 | $38,344 | $72,976 | $111,320 | 37.1% |
Figures assume only the basic personal amounts (federal $16,129; BC $12,580) are claimed. Additional credits and deductions will reduce tax owing.
BC Tax Credits
Non-refundable credits reduce BC tax at the lowest bracket rate of 5.6%.
| Credit | 2026 Amount |
|---|---|
| Basic personal amount | $12,580 |
| Spouse/partner amount | Up to $10,680 |
| Age amount (65+) | Up to $5,723 |
| Disability amount | $9,428 |
| Caregiver amount | Up to $7,638 |
| Medical expenses | 20% of eligible expenses (over threshold) |
| Tuition and education | Transferable from student |
BC-Specific Credits
| Credit | Details |
|---|---|
| BC Climate Action Tax Credit | Quarterly; up to $504/year per adult |
| BC Seniors’ Home Renovation Tax Credit | Up to $1,000 for accessibility renovations |
| BC Training Tax Credit | For eligible apprentices; up to $2,500 |
| BC Mining Flow-Through Share Tax Credit | For eligible share investments |
BC Climate Action Tax Credit
The Climate Action Tax Credit (CATC) is a quarterly, tax-free payment that offsets carbon pricing costs. It is administered by CRA alongside the GST/HST Credit.
| Family Type | Annual Maximum | Quarterly Payment |
|---|---|---|
| Adult | $504 | $126 |
| Spouse/common-law partner | $252 | $63 |
| Per child under 19 | $126 | $32 |
Income phaseout: The credit begins reducing when family net income exceeds $41,925. It reduces at 2% of income above the threshold.
Example — Family of 4 at Various Incomes
| Family Income | Annual CATC |
|---|---|
| Under $41,925 | $1,008 |
| $50,000 | $825 |
| $60,000 | $600 |
| $75,000 | $263 |
| $80,000+ | $0 |
BC vs Other Provinces
At $75,000 Income
| Province | Total Tax | vs BC |
|---|---|---|
| BC | $16,288 | — |
| Ontario | $16,224 | −$64 |
| Alberta | $17,847 | +$1,559 |
| Manitoba | $20,206 | +$3,918 |
BC is one of the lowest-tax provinces at $75,000 income, primarily because the 7.7% second bracket is lower than comparable brackets in most other provinces.
At $150,000 Income
| Province | Total Tax | vs BC |
|---|---|---|
| BC | $41,476 | — |
| Ontario | $41,123 | −$353 |
| Alberta | $42,535 | +$1,059 |
| Saskatchewan | $46,418 | +$4,942 |
| Quebec | $52,173 | +$10,697 |
At $150,000, BC remains competitive but Ontario edges slightly ahead due to Ontario’s lower brackets in this range.
At $250,000+ Income
At very high incomes, BC’s 20.5% top provincial rate (triggering at $265,545) produces a 53.5% combined federal-provincial rate — higher than Ontario’s 53.53% only marginally, and significantly higher than Alberta’s 48%.
BC Tax Planning
RRSP at $100,000 Income
| RRSP Contribution | Tax Saved | Marginal Rate |
|---|---|---|
| $5,000 | $1,410 | 28.2% |
| $10,000 | $2,820 | 28.2% |
| $18,000 | $5,076 | 28.2% |
The combined marginal rate for BC taxpayers at $100,000 is approximately 28.2%, making RRSP contributions effective for deferring tax to lower-income retirement years.
Dividend vs Interest Income at $100,000
| $10,000 Income Type | BC Tax | Federal Tax | Total |
|---|---|---|---|
| Interest | $770 | $2,050 | $2,820 |
| Eligible dividends | Negative (dividend credit) | ~$1,100 | ~$600 |
| Capital gains (50% inclusion) | $385 | $1,025 | $1,410 |
BC’s dividend tax credit makes eligible Canadian dividends extremely efficient at this income level — in many cases, BC taxpayers at $100,000 pay near-zero effective tax on eligible dividends.
Self-Employment in BC
Self-employed BC residents pay the same personal tax rates as employees. Key considerations:
- CPP contributions at both employee + employer rates (11.9% combined up to the $68,500 earnings ceiling)
- Home office deduction, vehicle expenses, and business costs reduce net income
- Incorporation becomes worth considering when consistent net income exceeds $100,000, as BC’s small business corporate rate is 11% (2% provincial + 9% federal)
BC Sales Tax (PST)
BC residents pay GST and PST separately — BC returned to a separate system in 2013 after a referendum rejected the HST.
| Tax | Rate |
|---|---|
| Federal GST | 5% |
| BC PST | 7% |
| Combined | 12% |
PST exemptions include children’s clothing, bicycles, books, and prescription drugs. See our BC sales tax guide for a complete breakdown of what is and is not taxable.
Payroll Deductions at $80,000 in BC
| Deduction | Amount |
|---|---|
| Federal tax | $12,596 |
| BC provincial tax | $5,102 |
| CPP contributions | $4,066 |
| EI premiums | $1,077 |
| Total deductions | $22,841 |
| Net pay (annual) | $57,159 |
| Monthly net | $4,763 |
Filing BC Income Tax
BC provincial income tax is calculated as part of the federal T1 General return — there is no separate provincial return for individuals.
Key BC forms:
- BC428 – BC Tax (calculates provincial tax and credits)
- BC479 – BC Credits (Climate Action Tax Credit and other provincial credits)
The filing deadline is April 30 for most residents, and June 15 for self-employed individuals (though any balance owing is still due April 30). File electronically via NETFILE for the fastest refunds.
For strategies to reduce your taxable income in BC, see our income tax deductions and credits guide.