New Brunswick Tax Brackets 2026
New Brunswick's low-income tax reduction is withdrawn at only 3% a dollar, so it reaches further up the income scale than any other province's: worth $818 to a single filer, it doesn't run out until $49,625. That stretch, more than half of the province's first bracket, is taxed at a combined 26.40% instead of 23.40%. Below are the federal and New Brunswick brackets for 2026 and the rate on every band.
Four New Brunswick rates over Ottawa's five
Each government's schedule is applied to the same taxable income, with every rate confined to its band.
| Taxable income over | Up to | Rate on that slice |
|---|---|---|
| $0 | $58,523 | 14% |
| $58,523 | $117,045 | 20.5% |
| $117,045 | $181,440 | 26% |
| $181,440 | $258,482 | 29% |
| $258,482 | and up | 33% |
| Taxable income over | Up to | Rate on that slice |
|---|---|---|
| $0 | $52,333 | 9.4% |
| $52,333 | $104,666 | 14% |
| $104,666 | $193,861 | 16% |
| $193,861 | and up | 19.5% |
New Brunswick indexed its thresholds, its personal amounts and the reduction itself this January, by the same factor. The second bracket starts at $52,333, a few thousand dollars below the federal $58,523; the top one, at 19.5%, from $193,861.
How the reduction is built
The Income Tax Act defines the reduction rather than naming it. Take the gap between the reduction's income threshold, $22,358 for 2026, and the $13,664 basic personal amount; value it at the 9.4% lowest rate and round up. That gives $818, which is the provincial tax a single person with no other credits would owe at the threshold, rounded up to the dollar. So below $22,358 of net income, New Brunswick takes nothing; above it, the reduction shrinks by 3% of each extra dollar. With CPP and EI credits added, a salary pays no provincial tax up to $23,611.
The 2026 figures are worked out from the Act, not read off a published table: CRA's 2026 form arrives in January, and the province's own page stops at 2025's $21,920. Carried forward by New Brunswick's 2.0% indexing factor, the threshold becomes $22,358, and the same calculation that gave 2025's $802 gives $818. A spouse or an eligible dependant doubles the reduction; the calculators here count only the single-filer part.
Every band, measured
For the long stretch the reduction covers, the provincial rate is 12.40%: the 9.4% bracket plus the 3% withdrawal. calc-hq's tax engine found that and every other row by computing the tax on one more dollar right across the income range, for income like a pension or interest that carries no CPP or EI.
| Taxable income | Tax on the next dollar | What starts here |
|---|---|---|
| $0 – $16,452 | 0.00% | |
| $16,452 – $22,364 | 14.00% | federal basic personal amount used up |
| $22,364 – $49,624 | 26.40% | New Brunswick tax starts: the shrinking reduction no longer covers it |
| $49,624 – $52,333 | 23.40% | New Brunswick tax reduction runs out |
| $52,333 – $58,523 | 28.00% | New Brunswick 14% bracket |
| $58,523 – $104,666 | 34.50% | federal 20.5% bracket |
| $104,666 – $117,045 | 36.50% | New Brunswick 16% bracket |
| $117,045 – $181,440 | 42.00% | federal 26% bracket |
| $181,440 – $193,861 | 45.29% | federal 29% bracket + federal basic personal amount starts shrinking |
| $193,861 – $258,482 | 48.79% | New Brunswick 19.5% bracket |
| $258,482 and up | 52.50% | federal 33% bracket + federal basic personal amount at its floor |
On a salary the rates in the lower rows come out a bit under the table until $85,000, because contributions to CPP and EI earn credits and enhanced CPP reduces taxable income. At $40,000 of pay the next dollar costs 24.60%. Beyond $85,000, salary and table agree, every threshold showing up $1,127 later in gross terms.
$40,000 in Moncton
At $40,000 of salary the reduction is still worth $300. The engine charges $2,691 of federal tax and $1,910 of New Brunswick tax, 11.5% of the salary. A $5,000 raise from there adds $1,230 of income tax, part of it the reduction being withdrawn.
Other salaries: the take-home pay calculator runs New Brunswick pay through the same engine, reduction included; pick the province from the list.
The two basic personal amounts
| Credit | Amount | Valued at | Tax it removes |
|---|---|---|---|
| Federal, net income up to $181,440 | $16,452 | 14% | $2,303 |
| Federal, net income $258,482 and up | $14,829 | 14% | $2,076 |
| New Brunswick | $13,664 | 9.4% | $1,284 |
New Brunswick's amount is the same at any income. Only Ottawa's tapers, from $181,440 to $258,482 of net income.
Common questions
What are the New Brunswick tax brackets for 2026?
9.4% on taxable income up to $52,333, 14% up to $104,666, 16% up to $193,861, and 19.5% above that, plus federal tax.
Who gets the New Brunswick low-income tax reduction?
A single New Brunswick resident with net income under $49,625 gets some of it. A single person gets $818 at incomes up to $22,358, less 3% of income above that. It can bring New Brunswick tax down to zero but is not paid out beyond it.
Why is my New Brunswick marginal rate lower at $51,000 than at $35,000?
Because at $35,000 the low-income tax reduction is still being withdrawn, adding 3% to the 9.4% provincial rate. It runs out at $49,625, and the combined rate falls to 23.40% until the next bracket.