| 20251 | % | Combined % |
|---|---|---|
| Federal | 9.002 | |
| Provincial | ||
| Alberta | 2.00 | 11.00 |
| British Columbia | 2.00 | 11.00 |
| Manitoba | 0.00 | 9.00 |
| New Brunswick | 2.50 | 11.50 |
| Newfoundland and Labrador | 2.50 | 11.50 |
| Northwest Territories | 2.00 | 11.00 |
| Nova Scotia3 | 1.754 | 10.755 |
| Nunavut | 3.00 | 12.00 |
| Ontario | 3.20 | 12.20 |
| Prince Edward Island | 1.00 | 10.006 |
| Quebec | 3.20 | 12.20 |
| Saskatchewan | 1.00 | 10.007 |
| Yukon: without MPP/with MPP | 0.00 | 9.00 |
- $500,000 eligible for the SBD for federal purposes and provinces and territories, except in Saskatchewan ($600,000), in Nova Scotia (ceiling increased to $700,000 since April 1, 2025) and in Prince Edward Island (ceiling increased to $600,000 since July 1, 2025). In all jurisdictions, the SBD is progressively reduced when paid-up/taxable capital of all associated corporations is greater than $10M and is eliminated when it reaches $50M. The SBD is also reduced when the adjusted aggregate investment income of all associated corporations is greater than $50,000 and becomes nil when it reaches $150,000 (not applicable in Ontario and New Brunswick). Both reductions apply in parallel so that the SBD is reduced by the greater of the two amounts.
- Rate of 4.5% on zero-emission technology manufacturing income. The rate will increase gradually as of 2032.
- Subject to certain conditions, a new small business can benefit from a corporate tax rate reduction in its first three taxation years. Refer to the Nova Scotia corporate tax reduction for new small businesses page for details..
- Rate reduced from 2.5% to 1.5% since April 1, 2025 (average rate of 1.75% for 2025).
- Combined rate reduced from 11.5% to 10.5% since April 1, 2025, on the first $500,000 of income that qualifies for the SBD (average rate of 10.75% for 2025); combined rate of 16.5% from that date on the next $200,000 of qualifying income due to the increase of the provincial ceiling.
- On the first $500,000 of income that qualifies for the SBD. Combined rate of 16% since July 1, 2025 on the next $100,000 of qualifying income due to the increase of the provincial ceiling.
- Rate of 10% on the first $500,000 of income that qualifies for the SBD. Rate of 16% on the next $100,000 of qualifying income, because of the gap between the federal-provincial ceilings.
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Table C1 – Business Income Eligible For SBD
See Table C1 – Business Income Eligible For SBD -
Table C2 – Business Income Not Eligible For the SBD
See Table C2 – Business Income Not Eligible For the SBD -
Table C3 – Investment Income
See Table C3 – Investment Income -
Table C4 – SR&ED Tax Credits
See Table C4 – SR&ED Tax Credits -
Table C5 – Capital Cost Allowance Rates 2025
See Table C5 – Capital Cost Allowance Rates 2025 -
Table S1 – Sales Tax 2025
See Table S1 – Sales Tax 2025 -
Table US1 - U.S. Federal Tax - Individuals 2025
See Table US1 - U.S. Federal Tax - Individuals 2025 -
Table US2 – U.S. Federal Tax – Corporations – 2025
See Table US2 – U.S. Federal Tax – Corporations – 2025