Tax & Resource Centre

Corporate income tax rates:

The 2019 and 2020 Canadian corporate income tax rates table shows the corporate tax rate on various types of income earned within a Canadian corporation.

General income
  2019 2020
Federal 15.00% 15.00%
Ontario 11.50% 11.50%
Combined 26.50% 26.50%
Income eligible for small business deduction
  2019 2020
Federal 9.00% 9.00%
Ontario 3.20% 3.50%
Combined 12.20% 12.50%
Investment income    
  2019 2020
Federal 38.67% 38.67%
Ontario 11.50% 11.50%
Combined 50.17% 50.17%


Personal income tax rates:

The 2020 personal marginal income tax rate for various types of income shows the additional tax you will pay on each dollar of income earned when you already have income over a certain threshold.

Taxable Income Greater than Salary & Interest Actual Capital Gains Actual Canadian Dividends (ineligible) Actual Canadian Dividends (eligible)
$220,000 53.53% 26.76% 47.74% 39.34%
$214,368 51.97% 25.98% 45.95% 37.19%
$150,473 47.97% 23.98% 41.35% 31.67%
$150,000 44.97% 22.48% 37.90% 27.53%
$97,069 43.41% 21.70% 36.10% 25.38%
$92,825 37.91% 18.95% 29.78% 17.79%
$89,482 33.89% 16.95% 25.16% 12.24%
$78,783 31.48% 15.74% 22.38% 8.92%
$48,535 29.65% 14.83% 20.28% 6.39%
$44,740 24.15% 12.08% 13.95% 0.00%
$12,298 20.50% 10.03% 9.24% 0.00%
$10,783 5.05% 2.53% 0.00% 0.00%


Payroll deduction information

The 2016 and 2017 payroll deduction information shows the rates, maximums and exemptions to be used when calculating payroll deductions.

  2019 2020
Employment Insurance (EI)    
Employee withholding rate 1.58% 1.62%
Employer contribution rate 2.212% 2.268%
Maximum earnings subject to EI $54,200 $53,100
Canada Pension Plan (CPP)    
Employee withholding rate 5.25% 5.10%
Employer contribution rate 5.25% 5.10%
Maximum earnings subject to CPP $58,700 $57,400
Annual exemption $3,500 $3,500
Workers Safety and Insurance Board (WSIB)    
Maximum earnings subject to WSIB $95,400 $92,600
Employer Health Tax (EHT)    
Maximum employer contribution rate 1.95% 1.95%
Maximum payroll exemption available $490,000 $490,000
Personal Tax Exemptions    
Federal $12,298 $12,069
Ontario $10,783 $10,582
 
Minimum wage (Ontario)
The minimum wage is the lowest wage rate an employer can pay an employee. An overview of the minimum wage rate in Ontario is located here. https://www.ontario.ca/document/your-guide-employment-standards-act/minimum-wage#section-0
 
RRSP contribution limit:
An overview of what you can contribute to an RRSP.. https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/rrsps-related-plans/contributing-a-rrsp-prpp/contributions-affect-your-rrsp-prpp-deduction-limit.html

The annual RRSP limits are provided. https://www.canada.ca/en/revenue-agency/services/tax/registered-plans-administrators/pspa/mp-rrsp-dpsp-tfsa-limits-ympe.html
 
TFSA contribution limit:
An overview of what you can contribute to your Tax Free Savings Account, including the annual TFSA dollar limit.
https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/tax-free-savings-account/contributions.html#tfscntbtnrm

Foreign exchange rates (Bank of Canada)
The Bank of Canada maintains a database of foreign exchange rates, which can be accessed here. http://www.bankofcanada.ca/rates/exchange/
 Interest rates (Bank of Canada)
The Bank of Canada maintains a database of interest rates, which can be accessed here. http://www.bankofcanada.ca/rates/interest-rates/
 

Accounting Forms and Links

Accounting Standards Board (AcSB) updates
The Accounting Standards Board (AcSB) is an independent body with the authority to establish accounting standards for use by all Canadian entities outside the public sector. The AcSB serves the public interest by establishing standards for financial reporting by all Canadian private sector entities and by contributing to the development of internationally accepted financial reporting standards.
http://www.frascanada.ca/accounting-standards-board/index.aspx

Auditing and Assurance Standards Board (AASB) updates
The Auditing and Assurance Standards Board (AASB) establishes standards for assurance and related services engagements. The AASB contributes to the development of International Standards on Auditing (ISAs), which it adopts as Canadian Auditing Standards (CASs), by participating in consultations and activities of the International Auditing and Assurance Standards Board (IAASB) to ensure Canadian entities’ auditing needs are considered.
http://www.frascanada.ca/auditing-and-assurance-standards-board/index.aspx

Accounting Standards for Not-for-Profit Organizations updates
http://www.frascanada.ca/standards-for-not-for-profit-organizations/index.aspx

Canadian Auditing Standards (CASs) updates
http://www.frascanada.ca/canadian-auditing-standards/index.aspx

CPA Canada Magazine, Connecting and News
https://www.cpacanada.ca/en/connecting-and-news
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https://rothmosey.com/