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British Columbia income tax and PST in 2026

Updated Checked by the Tax-Services.ca editorial team How we check

In short

British Columbia has seven income tax brackets, from 5.6% to 20.5%, and a basic personal amount of $13,216. Sales tax is the 5% GST plus a 7% PST, and a tax reduction credit of up to $690 helps lower incomes.

If you live in British Columbia, your sales tax doesn’t work like Ontario’s, and your income tax has more steps than most. Here’s how the pieces fit, in the order they show up on your return and at the till.

What are BC’s income tax brackets for 2026?

BC takes 5.6% of your first $50,363 of taxable income, 7.7% up to $100,728, 10.5% up to $115,648, 12.29% up to $140,430, 14.7% up to $190,405, 16.8% up to $265,545 and 20.5% on anything above. The basic personal amount is $13,216, and credits count at 5.6% of the amount you claim.

Take $60,000. The first $50,363 costs you $2,820 and the other $9,637 costs you $742, which makes $3,562 before credits. The basic personal amount takes off $740, so you’d pay about $2,822 of BC tax. The tax reduction credit doesn’t help at that income.

Don’t be thrown by the CRA’s payroll tables, which show a lower first rate. They’re withholding tables, so they don’t match the annual return. The limits page lists the federal layer.

What’s the BC tax reduction credit?

Lower incomes get a credit of up to $690 against BC tax. It shrinks by 3.56% of net income above $25,570 and is gone at about $44,952, so if you’re near that range, a few hundred dollars of income changes the credit. Check yours.

How do sales taxes work in BC?

You pay 5% GST and 7% PST as two separate taxes, 12% together on most goods, and you’ll see both lines on your receipt. The GST and PST calculator adds both, and the sales tax guide compares the provinces.

Which calculators switch to BC?

The income tax calculator and the take-home pay calculator both include British Columbia. Pick it from the list and the British Columbia rates apply. Easy. For a home purchase, the property transfer tax calculator estimates the BC tax on the transfer.

Guides about BC

Frequently asked questions

What is the lowest tax rate in BC for 2026?

5.6% on the first $50,363 of taxable income. The CRA payroll tables show a lower first rate because they are withholding tables. The annual return uses 5.6%.

What is the BC tax reduction credit?

A credit of up to $690 for lower incomes. It shrinks by 3.56% of net income above $25,570 and reaches zero at about $44,952.

What is BC PST?

A 7% provincial sales tax charged on top of the 5% GST. It is a separate tax from the GST and is not blended into one rate.

Where do these numbers come from?

From the British Columbia government tax pages and the CRA payroll tables, checked on September 29, 2026.

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.

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