Services and information
-
Use our calculator to estimate your personal income taxes.
Overview
Alberta has the highest basic personal and spousal tax amounts in Canada. This means that Albertans are able to earn more before they have to start paying provincial income tax. When all taxes are taken into consideration, Albertans across all income ranges generally pay lower overall taxes compared to other provinces.
For more information, see:
- Alberta's Tax Advantage
- Alberta's Non-Refundable Tax Credit Block and Interprovincial Tax Comparison from the 2018-21 Tax Plan (PDF, 2.5 MB)
Personal income tax rates
In 2015, the government implemented a progressive personal income tax rate structure. Rates are determined by income tax bracket:
| Tax Rate | Tax Bracket (2017) | Tax Bracket (2018) |
|---|---|---|
| 10% | Up to $126,625 | Up to $128,145 |
| 12% | $126,625.01 to $151,950 | $128,145.01 to$153,773 |
| 13% | $151,950.01 to $202,600 | $153,773.01 to $205,031 |
| 14% | $202,600.01 to $303,900 | $205,031.01 to $307,547 |
| 15% | $303,900.01 and up | $307,547.01 and up |
Government to adjust Small Business Dividend Tax Credit rate in response to federal changes
Federal tax changes enacted in Bill C-74 adjusted factors that determine the provincial dividend tax credit rate for dividends paid out of corporate income that was taxed at the small business rate (non-eligible dividends). As a result, Alberta’s dividend tax credit rate will be adjusted to ensure that income earned in a small business and flowed out to shareholders continues to be taxed at a minimum of 10%, Alberta’s lowest personal income tax rate. For 2018, the dividend tax credit rate for non-eligible dividends will be 2.16% of the taxable amount of dividends.
The Canada Revenue Agency will administer the dividend tax credit on non-eligible dividends using this rate until the appropriate legislative amendments are passed.
Tax credits and rebates
For families with children
The Government of Alberta provides 2 refundable tax credit programs for families with children. Together, these programs are estimated to provide about $328 million to Alberta families in 2018-19:
Alberta Investor Tax Credit
- To support Alberta businesses, the Government of Alberta introduced the Alberta Investor Tax Credit (AITC), aimed at supporting jobs and economic diversification.
If you have questions regarding eligibility or other details on the AITC:
Income tax credit indexing
Alberta’s personal income tax system is indexed to inflation to ensure that the value of tax credits is not eroded over time, and that taxpayers are not pushed into higher tax brackets. In 2018, the credit amounts increased by 1.2%.
Benefit amounts and phase-out thresholds for the Alberta Child Benefit and the Alberta Family Employment Tax Credit were also increased by 1.2% in 2018.
Personal income tax calculator
Use our personal income tax calculator to estimate your taxes.
Commonly used forms
Alberta's personal income tax system is administered by the Canada Revenue Agency (CRA). The following forms are commonly used and are available from the CRA:
- current federal and provincial Form TD1 and worksheets
- general income tax package and benefit packages by year
Contact
If you have questions about your own personal income taxes, or you are mailing a personal income tax return:
- contact the Canada Revenue Agency (CRA)
- visit CRA’s “Get Ready” site