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New Brunswick Income Tax Rates 2026 | Tax Brackets Guide

Updated

New Brunswick’s four-bracket provincial tax system tops out at 19.5% on income over $185,064, giving it the lowest top combined rate (52.50%) in Atlantic Canada — roughly 1.5-2.3 percentage points below Nova Scotia and Newfoundland. Add in housing prices that average $300,000-$370,000 (compared to $550,000+ in Halifax), the NB Tuition Rebate that returns up to $20,000 to graduates who stay in-province, and growing remote work opportunities, and New Brunswick offers a compelling financial picture for people willing to live outside major urban centres.

New Brunswick Tax Brackets 2026

Provincial Tax Rates

Taxable IncomeNew Brunswick Rate
Up to $49,9589.40%
$49,958 - $99,91614.00%
$99,916 - $185,06416.00%
Over $185,06419.50%

Combined Federal + NB Rates

Taxable IncomeCombined Rate
Up to $49,95824.40%
$49,958 - $55,86729.00%
$55,867 - $99,91634.50%
$99,916 - $111,73336.50%
$111,733 - $173,20542.00%
$173,205 - $185,06445.00%
$185,064 - $246,75248.50%
Over $246,75252.50%

New Brunswick Tax Position

Atlantic Comparison

ProvinceTop RateFirst Bracket
New Brunswick52.50%9.40%
Nova Scotia54.00%8.79%
PEI51.37%9.80%
Newfoundland54.80%8.70%

Competitive Advantage

Income LevelNB Advantage Over NS
$150,000~$1,500 savings
$200,000~$3,000 savings

New Brunswick Tax Credits

Non-Refundable Credits

Credit2026 Amount
Basic personal amount~$13,044
Spouse amount~$11,086
Age amount (65+)~$5,997
Pension income~$1,000
Disability~$9,834

NB-Specific Credits

CreditDetails
Low-Income Tax ReductionReduces tax owing
Tuition RebateFor NB graduates
Seniors Home RenovationUp to $10K expenses
Small Business InvestorFor angel investors

Low-Income Tax Reduction

How It Works

FeatureDetails
Reduces taxTo zero for lowest incomes
ThresholdIncome-tested
AutomaticBased on return

Tuition Rebate Program

For NB Graduates

FeatureDetails
Maximum rebateUp to $20,000
TimeframeOver first 5 years
Annual max$4,000/year
Based onTuition paid

Eligibility

RequirementDetails
NB graduatePost-secondary
Live in NBFile NB taxes
Work in NBOr operate business

Seniors Home Renovation Tax Credit

For Older Homeowners

FeatureDetails
Maximum expenses$10,000
Credit rate10%
Maximum credit$1,000
ForSafety/accessibility

Eligible Renovations

TypeExamples
SafetyHandrails, lighting
AccessibilityRamps, wider doors
EmergencyAlert systems

Tax Calculation Example

$100,000 Income in New Brunswick

BracketIncomeRateTax
Federal 1$55,86715%$8,380
Federal 2$44,13320.5%$9,047
NB 1$49,9589.40%$4,696
NB 2$50,04214.00%$7,006
Total~$29,129

Before credits.

New Brunswick Sales Tax

HST Rate

ComponentRate
Federal GST5%
Provincial10%
Total HST15%

Rebates Available

ForRebate
New homesPoint-of-sale rebate
Low incomeGST/HST credit

Cost of Living in NB

Housing Costs

CityAverage Home
Moncton~$350,000
Saint John~$300,000
Fredericton~$370,000
Halifax (NS)~$550,000

NB Affordability Advantage

FactorNB Level
HousingVery affordable
FoodAverage
UtilitiesAverage
BilingualFrench + English

Economic Considerations

Job Market

SectorOpportunities
GovernmentFredericton
EnergySaint John
TechGrowing
HealthcareDemand
Bilingual servicesCall centers

Remote Work Appeal

FactorBenefit
Housing affordabilityOwn for less
InternetImproving
Time zoneAtlantic
LifestyleSmaller city, nature

The Bottom Line

New Brunswick offers the most competitive tax rates in Atlantic Canada, especially for high earners. The Tuition Rebate ($4,000/year for up to 5 years) is a powerful incentive for graduates to stay, and the Seniors Home Renovation Credit helps older homeowners age in place. At $100,000 income, you’ll pay roughly $29,100 in combined federal-provincial tax — competitive with the Prairie provinces when you factor in NB’s dramatically lower housing costs. For a full comparison, see our guide on the best provinces for taxes in Canada.

Who Benefits in NB

Good For

SituationWhy NB
Recent graduates$20K rebate
Remote workersAffordable housing
Bilingual workersJob opportunities
RetireesLower cost of living

Consider Elsewhere If

SituationBetter Option
High earner, mobileAlberta
Major city lifestyleToronto, Vancouver
Tech careerOntario, BC

Comparison to Other Options

NB vs Ontario

FactorNBON
Top rate52.50%53.53%
HST15%13%
HousingMuch lowerHigh
JobsFewer optionsMore options

Net Calculation

$100K IncomeNBON
Income tax~$25,700~$24,900
Higher tax+$800-
Housing savings-$12,000/year-
Net benefitNB wins-

If housing savings exceed tax difference.

Tax Planning in NB

Strategies

StrategyBenefit
RRSP contributionsSave at 34-48%
Tuition rebateClaim if eligible
Seniors creditHome renovations
Low-income reductionAutomatic