Canada Table

Federal Personal Income Tax Rates
Band of Taxable Income ($Cdn)	Rate of Tax Applicable to Band (%)	Cumulative Tax on Upper Limit of Band ($Cdn)
0-29,590	17	5,030
29,591-59,180	26	12,724
Over 59,180	29	-

Canada

Provincial Corporate Income Tax Rates
Province or Territory	Basic Rate (%)	Manufacturing and Processing Income (%)	Small Business Income (%)
Alberta	15.5	14.5	6
British Columbia	16.5	16.5	10
Manitoba	17	17	9
New Brunswick	17	17	9
Newfoundland	14	5	5
Northwest Territories	14	14	5
Nova Scotia	16	16	5
Ontario	15.5	13.5	9.5
Prince Edward Island	15	7.5	7.5
Quмec	16.25	8.9	5.75
Saskatchewan	17	17	8
Yukon	15	2.5	6

Canada

Class and Maximum Capital Cost Allowance Rates for Selected Assets
Asset	Class	Rate (%)
Buildings acquired after 1987	1	4
Boats and ships	7	15
Tractors and large trucks used to haul freight acquired after 6 December 1991	10	40
Automotive equipment, automobiles, and certain trucks	10-10.1	30
Contractors' movable equipment	10	30
Most machinery, equipment, and furniture	8	20
Machinery and equipment acquired after 25 February 1992 and used in manufacturing and processing	43	30

Canada

Provincial Personal Income Tax Rates
Province or Territory	Rate (%)
Alberta	45.5
British Columbia	52.5
Manitoba	52
New Brunswick	64
Newfoundland	69
Northwest Territories	45
Nova Scotia	59.5
Ontario	58
Prince Edward Island	59.5
Saskatchewan	50
Yukon	50
Note: Rates are applied to federal personal income tax payable. These provincial rates do not include surtaxes and flat taxes, which are levied in a number of the provinces.

Canada

Capital Tax Rates
Jurisdiction	Exemption ($Cdn)	General Rate (%)	Financial Institutions Rate (%)a
Federal:
Large corporations	10,000,000	0.2	0.2
Financial institutions and life insurance companies only	200,000,000	-	1.25b
Province or territory:
Alberta	-	-	2.0
British Columbia	1,500,000	0.3	1.0c
Manitoba	2,000,000	0.3d	3.0
New Brunswick	10,000,000	-	3.0
Newfoundland	1,000,000	-	3.0
Northwest Territories	-	-	-
Nova Scotia	500,000e	-	3.0
Ontariof	-	0.3	1.12
Prince Edward Island	2,000,000	-	3.0
Quмec	-g	0.56	1.47
Saskatchewanh	10,000,000	0.6	3.25
Yukon	-	-	-
a. The term financial institutions includes banks and trust and loan companies, although it varies from province to province. It does not include life insurance companies, which in some provinces are liable for capital tax based on premiums.
b. The rate is 1% on taxable capital between $Cdn 200,000,000 and $Cdn 300,000,000. An additional temporary tax is imposed until December 1995 on the capital employed in Canada of life insurers. This tax raises the rate to 1.5%.
c. The rate for banks and trust companies with taxable capital over $Cdn 750,000,000 is 3%.
d. A surcharge of 0.2% applies to corporations (other than trust and loan corporations and banks) with taxable paid-up capital in excess of $Cdn 10,000,000, producing an effective rate of 0.5%.
e. A $Cdn 2,000,000 exemption applies to loan and trust companies with head offices in Nova Scotia.
f. Small corporations (those with total assets and gross revenue each under $Cdn 1,000,000) are exempt from capital tax. Other corporations that have taxable capital of under $Cdn 2,300,000 are generally subject to taxes of fixed amounts.
g. Qualifying CCPCs incorporated after 1 May 1986 may be eligible for a 3-year capital tax exemption on up to $Cdn 2,000,000 paid-up capital.
h. Large resource corporations are subject to a capital tax surcharge.

Canada

Withholding Tax Rates for Treaty Countries
	Dividends
Country of Recipient	Major Rate(%)			Minor Rate (%)	Major Holding (%)	Interest (%)	Royalties (%)
Argentina	10			15	25	12.5	15a
Australia		15	15		-	15	10
Austria	15			15	-	15b	10b
Bangladesh	15			15	-	15	10
Barbados	15			15	-	15b	10b
Belgium	15			15	-	15	10
Brazil	15			25	10	15c	15c,d
Cameroon	15			15	-	15	15
China (People's Republic of)	10			15	10	10	10
Cyprus	15			15	-	15	10
Czech Republice	10			15	10	10	10
Denmark	15			15	-	15	15
Dominican Republic	18			18	-	18b	18b
Egypt	15			15	-	15	15
Finland	10			15	10	10	10f
France	10			15	10	10	10b
Germany	15			15	-	15	10
Guyana	15			15	-	15	10
Hungary	10			15	25	10	10
India	15			25	10	15	25g
Indonesia	15			15	-	15b	15b
Ireland	15h			15	-	15	15
Israel	15			15	-	15b	15b
Italy	15			15	-	15	10
Ivory Coast	15			15	-	15	10
Jamaica	15i			15i	-	15b,i	10b,i
Japan	10			15	25	10	10
Kenya	15			25	10	15b	15b
Korea (Republic of)	15			15	-	15	15
Luxembourg	10j			15j	25	15j	10j
Malaysia	15b			15b	-	15	15g
Malta	15			15	-	15	10
Mexico	10			15	25	15	15
Morocco	15			15	-	15b	10b
Netherlands	7k			15	25	10	10
New Zealand	15			15	-	15	15
Norway	15			15	-	15	15l
Pakistan	15			15	-	15b	15b
Papua New Guinea	15			15	-	10	10
Philippines	15			15	-	15b	10b
Poland	15			15	-	15	10
Romania	15			15	-	15b	15b,l
Singapore	15			15	-	15b	15b
Slovakiae	10			15	10	10	10
Soviet Unionm	15			15	-	15	10
Spain	15			15	-	15b	10b
Sri Lanka	15			15	-	15b	10b
Sweden	15			15	-	15	10
Switzerland	15			15	-	15	10
Thailand	15			15	-	15	15
Trinidad and Tobago	15			15	-	15	15
Tunisia	15			15	-	15b	15b,n
United Kingdom	10			15	10	10	10
United States	10			15	10	15	10
Zambia	15			15	-	15b	15b
Zimbabwe	10			15	25	15	10
a. Rates of 3%, 5%, 10%, or 15% may apply, depending on the product under royalty.
b. This rate applies if the recipient is taxable in the country of residence; otherwise, the nontreaty rate applies.
c. This rate applies if the recipient is a company; otherwise, the nontreaty rate applies.
d. The rate is 25% for trademark royalties.
e. These rates apply under the treaty signed with Czechoslovakia. Since the dissolution of Czechoslovakia, the treaty continues to apply to both the Czech Republic and Slovakia.
f. Certain film royalties are exempt.
g. Payments with respect to the removal of natural resources are exempt.
h. Exempt if the recipient is an Irish resident company that owns all the voting shares of the Canadian resident company and the Canadian resident company (1) does not own any shares of another Canadian resident company and (2) derives at least 95% of its gross income from foreign-source dividends and interest.
i. The nontreaty rate applies if the recipient is a Jamaican international finance company.
j. The nontreaty rate applies if the recipient is a Luxembourg holding company.
k. Reduced to 6% for 1996 and 5% thereafter. l. The rate is 10% for film royalties.
m. Since the dissolution of the Soviet Union, this treaty continues to apply to members of the Commonwealth of Independent States.
n. The rate is 20% for patents, trademarks, film royalties, and the right to use industrial, commercial, scientific, or harbor equipment.

Canada

Federal Corporate Income Tax Rates
Type of Income	Rate (%)
Active business income eligible for the small business deduction (CCPCs only)	12
Active business income not eligible for the small business deduction:
General	28
Manufacturing and processing	21a
Income other than active business income	28
Note: Rates shown assume liability for provincial tax and are thus reduced by 10% for the provincial abatement.
a. Available to Canadian corporations and to Canadian branches of foreign enterprises alike.

| Return |