BC Still the Best Place to Earn Dividends
Knowledge Bureau has released its marginal tax rate calculations for 2013 now that all federal and provincial budgets have been released.
Subscribers to EverGreen Explanatory Notes can view full details for each province (EverGreen Explanatory Notes are included in all Knowledge Bureau certificate courses). Noteworthy observations:
-
BC is still the best province in which to earn dividends if your income is under $75,138.
-
Alberta is still the best province in which to earn high incomes of any source.
Next time: Comparing provinces with surtaxes
Federal and Provincial Marginal Tax Rates for 2013
|
|
Taxable Income
Range |
Ordinary
Income |
Capital
Gains |
Small Business
Corp. Div. |
Eligible
Dividends |
|
BC |
Up to $10,276 |
0% |
0% |
0% |
0% |
|
|
$10,277 to $11,038 |
5.06% |
2.53% |
2.07% |
-6.82% |
|
|
$11,039 to $37,568 |
20.06% |
10.03% |
4.16% |
-6.84% |
|
|
$37,569 to $43,561 |
22.70% |
11.35% |
7.46% |
-3.20% |
|
|
$43,562 to $75,138 |
29.70% |
14.85% |
16.21% |
6.46% |
|
|
$75,139 to $86,268 |
32.50% |
16.25% |
19.71% |
10.32% |
|
|
$86,269 to $87,123 |
34.29% |
17.15% |
21.95% |
12.79% |
|
|
$87,124 to $104,754 |
38.29% |
19.15% |
26.95% |
18.31% |
|
|
$104,755 to $135,054 |
40.70% |
20.35% |
29.96% |
21.64% |
|
|
Over $135,054 |
43.70% |
21.85% |
33.71% |
25.78% |
|
|
|
|
|
|
|
|
AB |
Up to $11,038 |
0% |
0% |
0% |
0% |
|
|
$11,039 to $17,593 |
15.0% |
7.5% |
2.08% |
-0.03% |
|
|
$17,594 to $43,561 |
25.0% |
12.5% |
10.21% |
-0.03% |
|
|
$43,562 to $87,123 |
32.0% |
16.0% |
18.96% |
9.63% |
|
|
$87,124 to $135,054 |
36.0% |
18.0% |
23.96% |
15.15% |
|
|
Over $135,054 |
39.0% |
19.5% |
27.71% |
19.29% |
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