Results are estimates for educational purposes only. Based on 2026 federal and British Columbia tax rates. Always consult a qualified accountant.
British Columbia income tax overview
British Columbia has a progressive provincial tax system with rates ranging from 5.06% to 20.5% for the very highest earners, applied across seven brackets. Vancouver's housing market is among the most expensive in North America, which means BC's moderate-to-low tax rates at typical income levels are often offset by a much higher cost of living than most of Canada. BC offers a relatively generous Basic Personal Amount and several targeted credits, including a climate action tax credit that provides some relief for lower and middle-income households. The province's economy is heavily weighted toward technology, film production, natural resources, and tourism, with Vancouver serving as the primary economic hub.
2026 British Columbia tax rate
Tax rate
Taxable income
5.06%
Up to $49,279
7.70%
$49,280 – $98,560
10.5%
$98,561 – $113,158
12.29%
$113,159 – $137,407
14.7%
$137,408 – $186,306
16.8%
$186,307 – $259,829
20.5%
Over $259,829
Worked example: $65,000 salary in British Columbia
A $65,000 salary in British Columbia results in approximately $4,290 in provincial tax (effective ~6.6%), plus roughly $7,800 federal tax, $3,665 CPP, and $1,079 EI. Annual take-home is approximately $48,166, or $1,852 bi-weekly.
Key facts: 7 provincial brackets (5.06%–20.5%) · Climate action tax credit available · Vancouver has very high cost of living
Frequently asked questions — British Columbia income tax
BC's provincial tax rates are moderate at typical income levels compared to other provinces, but Vancouver's extremely high housing costs mean residents often have less disposable income than the tax rate alone would suggest.
This is a quarterly payment to lower and middle-income BC residents to help offset the cost of the province's carbon tax, paid automatically based on your tax return — no separate application needed.
No. BC municipalities do not levy local income taxes, though Vancouver and some municipalities have additional property transfer taxes on real estate purchases.
BC's top rate of 20.5% (on income over $259,829) is higher than Ontario's top rate of 13.16%, making BC less favourable than Ontario for the very highest earners, despite being comparable or better at middle income levels.
Yes. BC charges a 7% Provincial Sales Tax (PST) in addition to the federal 5% GST, for a combined rate of 12% on most taxable goods and services.