Nunavut Tax Brackets 2026
Nunavut has the lowest income tax rates in Canada at both ends of the scale: 4% on its first bracket and 11.5% on its last. With federal tax added, a top-bracket dollar costs 44.50%, the lowest combined top rate of any province or territory. Here are the 2026 brackets for both governments and the rate they add up to on each band.
Nunavut's four bands and Ottawa's five
Ottawa's and Nunavut's rates both fall on one taxable income, band by 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 | $55,801 | 4% |
| $55,801 | $111,602 | 7% |
| $111,602 | $181,439 | 9% |
| $181,439 | and up | 11.5% |
Look closely at the last Nunavut threshold. Its 11.5% bracket begins at $181,439, one dollar below the $181,440 where Ottawa's 29% bracket and its personal-amount taper start. Both figures are as CRA publishes them for 2026, so the combined table has a row exactly one dollar wide, taxed at 37.50%. It changes nobody's tax by more than a few cents, but it is a real step in the schedule rather than a typo.
Before you use the table
Nunavut residents who have lived there for six consecutive months or more can usually claim the northern residents deduction, line 25500 of the federal return, which comes off taxable income. Subtract it first and then find your row; the rates themselves don't move. The figures on this page leave it out, since the amount depends on your community and on any employer-paid travel.
The combined rate, read off the engine
This table is the output of calc-hq's tax engine, run across the income range with the tax on each next dollar measured, rather than a sum of the two schedules. That puts the federal personal amount's taper into the upper rows and the difference between the two personal amounts into the lower ones. The income behind it has no CPP or EI deducted, as with a pension or interest.
| Taxable income | Tax on the next dollar | What starts here |
|---|---|---|
| $0 – $16,452 | 0.00% | |
| $16,452 – $19,659 | 14.00% | federal basic personal amount used up |
| $19,659 – $55,801 | 18.00% | Nunavut basic personal amount used up |
| $55,801 – $58,523 | 21.00% | Nunavut 7% bracket |
| $58,523 – $111,602 | 27.50% | federal 20.5% bracket |
| $111,602 – $117,045 | 29.50% | Nunavut 9% bracket |
| $117,045 – $181,439 | 35.00% | federal 26% bracket |
| $181,439 – $181,440 | 37.50% | Nunavut 11.5% bracket |
| $181,440 – $258,482 | 40.79% | federal 29% bracket + federal basic personal amount starts shrinking |
| $258,482 and up | 44.50% | federal 33% bracket + federal basic personal amount at its floor |
On wages the lower rows cost less, up to $85,000: each dollar of wages draws a contribution credit, and the enhanced share of CPP is deductible. At a $65,000 salary the next dollar is taxed at 26.04%, against 27.50% here. Higher up the rates match, each threshold reached $1,127 later in gross pay.
$65,000 in Iqaluit
A $65,000 salary pays $6,307 in federal tax and $1,882 in Nunavut tax, 12.6% of the salary combined. The territorial share is under a third of the federal one, the widest gap in the country at this income.
Try another salary: the take-home pay calculator covers Nunavut; pick it from the province list.
Basic personal amounts
Nunavut's $19,659 is larger than the federal $16,452, but at a 4% credit rate it cancels only $786 of tax:
| 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 |
| Nunavut | $19,659 | 4% | $786 |
Common questions
Does Nunavut have the lowest income tax in Canada?
By rate, yes. Its brackets run from 4% to 11.5%, the lowest first and top rates of any province or territory, and its combined top rate with federal tax is 44.50%.
What are the Nunavut tax brackets for 2026?
4% on taxable income up to $55,801, 7% up to $111,602, 9% up to $181,439, and 11.5% above that.
Why is there a one-dollar row in the Nunavut marginal-rate table?
Because Nunavut's top bracket starts at $181,439 and the federal 29% bracket at $181,440. For that single dollar the Nunavut rate has risen and the federal one hasn't yet.