Canada: New Brunswick to Decrease Personal Income Tax Rates

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By Molly Ward

Feb. 4—The top marginal personal tax rate of 25.75 percent may be eliminated for 2016, according to New Brunswick's 2016-17 provincial budget speech by Finance Minister Roger Melanson Feb. 2. The change would be retroactive to Jan. 1.

The budget also would lower the rate for taxable income over C$150,000 ($109,530) to 20.3 percent from 21 percent, making 20.3 percent the top marginal personal tax rate for New Brunswick.

For incomes greater than C$150,000, the combined federal-provincial rate would be 49.3 percent for 2016. Incomes greater than C$200,000 would see a combined rate of 53.3 percent due to a new top marginal income tax rate at the federal level of 33 percent.

The budget is scheduled to go to the legislative assembly for a vote.

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For More Information

The budget speech can be found at

More information on payroll issues in Canada can be found in the Canada country primer.