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The CRA collects Alberta personal income tax for you, on the same return as your federal tax. Corporations are different. If a company has a permanent establishment in Alberta, it files a separate return, the AT1, with Alberta’s Tax and Revenue Administration, on top of the federal T2 it sends to the CRA.
Which tax goes to which agency?
Most people only deal with the CRA, so it helps to see where Alberta steps in.
| Tax | Who administers it |
|---|---|
| Personal income tax, federal and Alberta | CRA, one return |
| Corporate income tax, federal | CRA (T2) |
| Corporate income tax, Alberta | Alberta Tax and Revenue Administration (AT1) |
| GST | CRA, at 5% |
Alberta is a non-participating province with no provincial sales tax, so the CRA’s rate page lists GST only. That means an invoice in Edmonton carries 5%. The GST/HST calculator will do the sum for you.
How much Alberta income tax do you pay?
Alberta’s own page lists six brackets for 2026, starting with 8% on income up to $61,200 and rising to 15% above $370,220. In between you’ll hit 10% up to $154,259, then 12%, 13% and 14%. Federal tax comes on top of that.
To put a number on it, our income tax calculator shows a $100,000 salary in Alberta at about $19,772 of income tax. Of that, $13,302 is federal and $6,470 is Alberta. CPP and EI are separate, and come to about $5,770 at that salary. Try your own figures, or use the take-home pay calculator to see what lands in your account.
What rates does an Alberta corporation pay?
Alberta says its corporate rate is currently 8%, the lowest among the provinces, and the small business rate is 2%. Its page gives the business limit as $500,000 for a Canadian-controlled private corporation. Add the federal 15% or 9% and the combined rates are 23% and 11%.
On $150,000 of active business income, a qualifying Alberta company owes $13,500 federal and $3,000 Alberta, $16,500 in all. The corporate tax calculator gives that figure, and it ignores credits and the reductions to the limit.
When does an Alberta corporation file?
Alberta says returns are due within six months of the end of the corporation’s tax year. Tax is generally paid in equal monthly instalments, and any balance is due by the end of the second month after the year end, or the third for corporations that meet certain conditions.
There’s an e-filing rule too. For most corporations with tax years starting after December 31, 2024, the AT1 has to go in electronically. Alberta’s page lists a $1,000 penalty per corporation for not doing so, and $100 for a tax preparer. Read that page before your next filing, because we can’t tell you how strictly it’s applied.
Who do you call with a question?
Alberta’s overview page is blunt about it: corporate tax questions go to the Tax and Revenue Administration, and personal income tax questions go to the CRA. If you’re a sole proprietor or a salaried employee, that means the CRA every time. If you own a corporation, keep two contacts.
Mistakes people make with the two agencies
The common one is calling the CRA about an AT1 problem. The CRA can’t help with it. Alberta’s TRA runs its own online portal, TRACS, and that’s where a corporation manages its account.
Another is assuming Alberta has a payroll or sales tax it doesn’t. Employers still send CPP, EI and income tax deductions to the CRA. The payroll remittance calculator shows the amounts.
Where the numbers come from
Alberta’s brackets, corporate rates, filing and payment rules, and the penalty amounts come from the Government of Alberta’s tax overview and corporate income tax pages. The GST rate is from the Canada Revenue Agency’s GST/HST rates page. The salary and corporate examples are our own calculations with 2026 data, read in September 2026.
Frequently asked questions
Does the CRA collect Alberta income tax?
Yes, for individuals. Alberta personal tax is collected by the CRA alongside federal tax on one return.
Do Alberta corporations file with the CRA?
They file the federal T2 with the CRA and a separate AT1 with Alberta's Tax and Revenue Administration.
Is there a provincial sales tax in Alberta?
No. The CRA lists Alberta as a GST only province, at 5%.
What is Alberta's corporate tax rate?
Alberta's page says 8% general and 2% for small business, with a $500,000 limit for a Canadian-controlled private corporation.
When is the AT1 due?
Within six months of the end of the corporation's tax year, according to Alberta's corporate income tax page.
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- 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
Information only. This page is general information, not tax, legal or accounting advice. Tax-Services.ca is an independent publisher: we don't prepare or file tax returns or offer tax services, and we have no connection with the CRA, Revenu Québec, any government or any company named on this page. Check the figures that matter with an official source or a qualified professional.