How is BC provincial income tax calculated?

British Columbia provincial income tax is calculated using a set of progressive tax brackets that apply to your taxable income after federal deductions and credits. Each portion of your income is taxed at the rate for its bracket, and the results are added together. Non‑refundable tax credits, such as the basic personal amount, reduce your provincial tax payable but cannot create a refund on their own.

Does this BC tax calculator include federal tax, CPP and EI?

Yes. This BC tax calculator estimates both federal and British Columbia provincial income tax, plus standard CPP and EI contributions for employment income. It then shows your total deductions and estimated take‑home pay. You can also view the breakdown between federal and provincial tax.

Which tax year does this BC tax calculator use?

By default the calculator is set to the current tax year (2025) and uses the latest available federal and British Columbia provincial tax brackets and basic personal amounts. If tax rates change, the calculator will be updated, but you should always confirm key numbers with the Canada Revenue Agency (CRA) or the BC Ministry of Finance.

Is this BC tax calculator suitable for self‑employed income?

The calculator can give a rough estimate for self‑employment income if you enter your net business income as employment income and disable EI. However, it does not handle all self‑employment specifics such as CPP on self‑employment, business deductions, instalments, or GST/HST. For complex situations, consult a tax professional.

BC Tax Calculator 2025

Estimate your British Columbia provincial tax, federal tax, CPP, EI and take‑home pay in seconds.

Region: British Columbia, Canada

Tax year

Employment income (T4) – CAD

Enter your annual gross employment income before tax.

Other taxable income – CAD

Optional: interest, dividends, rental, self‑employment, etc.

RRSP contributions – CAD

RRSP contributions reduce your taxable income (up to your RRSP room).

Province / territory

This calculator is optimized for BC, but federal logic is reusable for other provinces.

Filing status

Status affects some credits and benefits, but this tool focuses on core tax payable.

Include CPP & EI

CPP EI

Uncheck EI for self‑employment income. CPP here is the employee portion only.

Additional non‑refundable credits – CAD

Approximate total of tuition, disability, spouse, etc. (federal + BC).

Net (take‑home)

After income tax, CPP and EI.

Total tax

Federal + BC provincial income tax.

Effective tax rate

Total tax ÷ total income.

Income tax breakdown

Federal tax: $0
BC provincial tax: $0
CPP contributions: $0
EI premiums: $0
Total deductions: $0

Where your income goes

Federal BC CPP + EI

Enter income and click “Calculate BC tax” to see the breakdown.

BC tax brackets and federal tax brackets (2025)

This calculator uses the latest available 2025 federal and British Columbia tax brackets and basic personal amounts. Numbers below are simplified and rounded for clarity.

2025 Federal tax brackets

Taxable income	Rate
Up to $55,867	15%
$55,867 – $111,733	20.5%
$111,733 – $173,205	26%
$173,205 – $246,752	29%
Over $246,752	33%

2025 British Columbia tax brackets

Taxable income	Rate
Up to $47,937	5.06%
$47,937 – $95,875	7.70%
$95,875 – $110,076	10.50%
$110,076 – $133,664	12.29%
$133,664 – $181,232	14.70%
$181,232 – $252,752	16.80%
Over $252,752	20.50%

CPP and EI assumptions

CPP (Canada Pension Plan): 5.95% of pensionable earnings between the yearly basic exemption and the maximum pensionable earnings cap.
EI (Employment Insurance): 1.66% of insurable earnings up to the annual EI maximum.

Exact thresholds change each year. This calculator uses rounded values suitable for planning, not for filing your return.

How the BC tax calculator works

The calculator follows the same basic steps the CRA and BC Ministry of Finance use:

Calculate total income = employment income + other taxable income.
Subtract RRSP contributions (up to your RRSP room) to get taxable income.
Apply federal tax brackets to taxable income to get gross federal tax.
Apply BC tax brackets to the same taxable income to get gross provincial tax.
Subtract non‑refundable credits (basic personal amounts + any extra credits you enter) multiplied by the lowest federal and BC rates.
Add CPP and EI if enabled.
Compute net (take‑home) income = total income − income tax − CPP − EI.

Effective tax rate

Effective tax rate = (Federal tax + BC tax) ÷ Total income

Limitations and disclaimer

This tool is for education and planning only, not for filing your return.
It does not handle every credit or situation (e.g., dividend gross‑up, capital gains inclusion rate, medical expenses, childcare, complex family benefits).
Tax rules and brackets change; always confirm with the CRA and the BC Ministry of Finance.
For personalized advice, speak with a CPA or licensed tax professional.

BC tax calculator – frequently asked questions

Does BC have its own tax brackets?

Yes. British Columbia has its own set of progressive provincial tax brackets that apply on top of federal tax. Your total income tax is the sum of federal and provincial tax, minus credits.

Are sales taxes (GST/PST) included?

No. This calculator focuses on income tax, CPP and EI. It does not estimate GST or BC PST on purchases.

How can I reduce my BC income tax?

Contribute to an RRSP (within your contribution room).
Claim eligible deductions (e.g., union dues, child care, moving expenses).
Use available non‑refundable credits (tuition, disability, spouse, age amount, etc.).
Consider income‑splitting strategies where allowed and appropriate.