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(4) Saskatchewan’s DTC rate on non-eligible dividends increased to 3.4% (from 3.05%) of the
taxable amount of the dividend effective January 1, 2014.
(5) Manitoba’s DTC rate on non-eligible dividends decreased to 0.83% (from 1.75%) of the
taxable amount of the dividend effective January 1, 2014.
(6) The 2014 Ontario budget announced a new personal income tax bracket effective January
1, 2014 for taxable income between $150,000 and $220,000. The budget also lowered
the taxable income threshold for the top tax bracket from $514,090 to $220,000 effective
January 1, 2014 (see the table “Federal and Provincial/Territorial Income Tax Rates and
Brackets for 2014 and 2015”).
(7) The Ontario 2013 Economic Update announced an increase to the DTC rate on eligible
dividends to 10% (from 6.4%) of the taxable amount of the dividend effective January 1,
2014. The province also reset the 2014 provincial DTC rate on non-eligible dividends to the
2013 rate of 4.5%. For both eligible and non-eligible dividends the province calculates the
Ontario surtax before deducting any dividend tax credits from Ontario tax.
(8) Quebec’s DTC rate on non-eligible dividends decreased to 7.05% (from 8.0%) of the
taxable amount of the dividend effective January 1, 2014.
(9) New Brunswick’s DTC rate is 5.3% but the legislation has not yet been amended to reflect
this rate.
(10) Prince Edward Island’s DTC rate on non-eligible dividends increased to 3.2% (from 2.9%)
of the taxable amount of the dividend effective January 1, 2014.
(11) Newfoundland and Labrador’s DTC rate on eligible dividends decreased to 5.4% (from
11.0%) of the taxable amount of the dividend effective July 1, 2014. The DTC rate on non-
eligible dividends decreased to 4.1% (from 5.0%) of the taxable amount of the dividend
effective July 1, 2014.
Combined Top Marginal Tax Rates for Individuals
© 2014 KPMG LLP, a Canadian limited liability partnership and a member firm of the KPMG network of independent member firms
affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
Current as of December 31, 2014