Updated Checked by the Tax-Services.ca editorial team How we check
Alberta provincial tax starts at 8% on your first $61,200 of taxable income in 2026, and it tops out at 15% above $370,220. There’s no provincial sales tax at all, so on a purchase you pay only the 5% GST.
That combination is why people talk about Alberta as a low-tax province, and it’s partly true. Here’s how the income tax works and what it comes to on a few salaries.
What are the Alberta tax brackets for 2026?
Alberta taxes each slice of your taxable income at its own rate. The lowest rate of 8% arrived in 2025 and still applies for 2026. Every dollar above a line is taxed at the higher rate, and the dollars below it aren’t. The Government of Alberta’s personal income tax page lists the same six rates and says thresholds and credit amounts rise by 2% in 2026.
| Taxable income | Alberta rate |
|---|---|
| Up to $61,200 | 8% |
| $61,200 to $154,259 | 10% |
| $154,259 to $185,111 | 12% |
| $185,111 to $246,813 | 13% |
| $246,813 to $370,220 | 14% |
| Over $370,220 | 15% |
The Alberta basic personal amount is $22,769, and it earns a credit at 8%, which is worth $1,821.52. The Alberta data we use shows no surtax and no health premium, so what you see in the table is what you pay before credits.
How much tax will you pay on $60,000, $100,000 or $200,000?
Provincial tax is only part of the bill. Ottawa takes a bigger share, and you pay federal tax on the same income. The income tax calculator shows both for an Alberta employee, counting the basic amounts, the Canada employment amount and the CPP and EI credits.
| Salary | Alberta tax | Federal tax | Total income tax | Share of income |
|---|---|---|---|---|
| $60,000 | $2,631.30 | $5,338.30 | $7,969.60 | 13.3% |
| $100,000 | $6,470.38 | $13,301.60 | $19,771.98 | 19.8% |
| $200,000 | $17,500.28 | $38,876.54 | $56,376.82 | 28.2% |
At $60,000 the province takes about a third of your income tax, and the rest goes to Ottawa. Also note that CPP and EI come on top: $4,339.75 at $60,000. The tool leaves you with $47,690.66 after tax and contributions on that salary, which works out to about $3,974 a month.
What changes when your income rises?
Less than you’d think, until you’re well up the scale. The step from 8% to 10% happens at $61,200, so a raise from $55,000 to $65,000 doesn’t jump anything dramatic. Picture Jordan in Red Deer at $65,000: only the top $3,800 of taxable income sits in the 10% band, and that costs $76 more than it would at 8%. That’s a couple of Saturday-night pizzas, not a financial event.
Federal brackets move more, as the federal rate is 14% up to $58,523, then 20.5%. If you’d like the exact rate on your next dollar, use the marginal tax rate calculator.
A deduction like an RRSP contribution cuts your taxable income, so it saves tax at both levels. The RRSP calculator is the place to try it.
Is there any other provincial tax in Alberta?
Sales tax is the big absence. Alberta charges none. The CRA rate table shows 0% provincial for it, and that shows most on big purchases. On a $30,000 car the sales tax is the $1,500 of GST alone. You pay GST of 5% and nothing else, which the GST and HST calculator handles if you choose Alberta. Even a $2,000 laptop carries just $100 of tax, against $260 at Ontario’s 13% HST, so the saving is real on big-ticket buys.
Property tax is a separate matter. Your municipality sets it, based on an assessment of your property, and it arrives as its own bill, not on your tax return. Check your municipal notice for the actual rate, since it varies from town to town.
Which year do these rates cover?
2026. Alberta’s brackets and credit amounts are indexed by 2% for 2026, per the province. The lowest rate stays at 8% for the whole year. Rates for 2027 weren’t published when this page was written, so look at the Alberta and CRA pages once they’re posted.
Mistakes and limits
Don’t add the provincial and federal top rates and stop there. Your tax is calculated slice by slice, so the average rate is well below the top one. The calculator above also ignores most credits, such as those for children, tuition or medical costs, and it doesn’t count benefits.
Another slip is judging a province by one number. Alberta’s lack of a sales tax helps a household that spends a lot, but a single person who saves most of their pay won’t feel it much. Look at your own spending before you decide the province is cheap.
Sources, and how they were checked
Alberta rates and the basic personal amount come from the Canada Revenue Agency payroll tables for 2026 and the Government of Alberta personal income tax page. The federal brackets come from the CRA rates page. Tax results come from our calculators. This site has no link with the CRA or the Alberta government.
Frequently asked questions
What is the lowest Alberta tax rate in 2026?
8% on the first $61,200 of taxable income.
Does Alberta have a provincial sales tax?
No. You pay the 5% GST only.
How much Alberta tax do I pay on $100,000?
Our calculator shows $6,470.38 in Alberta tax and $19,771.98 in total income tax with the federal part, for an employee with basic credits.
What is the Alberta basic personal amount?
$22,769 for 2026, giving a credit of $1,821.52 at 8%.
Does Alberta charge a health premium?
The Alberta data we use shows none on income tax.
- How Canadian income tax works: brackets and credits
How federal and provincial Canadian income tax stack up, what marginal and average rates mean, and how credits and deductions change your bill
- Alberta income tax and GST in 2026
How Alberta income tax works in 2026: six brackets, an 8% credit rate, no provincial sales tax, no surtax or health premium, and Alberta calculators