2024 Newfoundland Income Tax Calculator
Plug in a few numbers and we’ll give you visibility into your tax bracket, marginal tax rate, average tax rate, and payroll tax deductions, along with an estimate of your tax refunds and taxes owed in 2024.
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Newfoundland and Labrador Provincial and Federal tax brackets
Your taxable income places you in the following tax brackets.
| Canadian federal tax bracket | Canadian federal tax rate |
|---|---|
| $55,867 or less | 15.00% |
| $55,867 - $111,733 | 20.50% |
| $111,733 - $173,205 | 26.00% |
| $173,205 - $246,752 | 29.00% |
| More than $246,752 | 33.00% |
| Newfoundland and Labrador tax bracket | Newfoundland and Labrador tax rate |
|---|---|
| first $43,198 | 8.7% |
| over $43,198 up to $86,395 | 14.5% |
| over $86,395 up to $154,244 | 15.8% |
| over $154,244 up to $215,943 | 17.8% |
| over $215,943 up to $275,870 | 19.8% |
| over $275,870 up to $551,739 | 20.8% |
| over $551,739 up to $1,103,478 | 21.3% |
| over $1,103,478 | 21.8% |
Step by step process in depth is listed down below. Net income is your salary or income that you take home after paying taxes and payroll deductions. To determine your net income, follow the steps outlined below:
Determine taxable income by deducting any pre-tax contributions to benefits Your taxable income is your salary, wages, tips, fees and commissions or other types of income earned in a tax year less tax deductions you can claim. To calculate your gross income, add your annual salary, and all forms of income earned during the year. Then subtract the deductions you are entitled to claim. You’ll arrive at your taxable income for the year.
Withhold all applicable taxes (federal and provincial) Withholding taxes are the taxes that are deducted directly from your paycheck and remitted to the government. You have to report your withholding taxes on the tax return and also claim any refunds for excess withheld taxes.
Deduct any post-tax contributions to benefits Post-tax deductions are payroll deductions, withheld from your paycheck after the withholding of taxes. Some common types of post-tax deductions are garnishment of wages, insurance payments, and donations. These expenses are paid after tax is withheld from your salary.
Garnish wages, if necessary Garnishment of wages is when a court orders your employer to withhold an amount from your paycheck and remit it to the government, a creditor to whom you owe money. The amount garnished from your income is a part of your taxable income hence it should be reported as employment income on your tax return.
The result is net income After deducting taxes from your adjusted gross income, you arrive at your net income that you take home.
Explore other provincial or territorial tax calculators
FAQs
The due date for filing tax returns for employed taxpayers is 30th of April, and June 15th for self-employed taxpayers.
In Newfoundland and Labrador, the lowest provincial tax rate is 8.7% on the first $43,198 of taxable income. Plus 14.5% on the next $43,197. Plus 15.8% on the next $67,849. Plus 17.8% on the next $61,699. Plus 19.8% on the next $59,927. Plus 20.8% on the next $275,869. Plus 21.3% on the next $551,739. Plus 21.8% on any amount over $1,103,478.
To calculate tax in Newfoundland and Labrador, you can use an income tax calculator that automatically calculates your tax liability. You can also calculate your tax liability manually using the federal, provincial and territorial tax rates provided on the website of Canadian Revenue Agency (CRA).
Amount of tax deducted from your paycheck depends on your taxable income and the Newfoundland and Labrador tax rates. Find out the amount withheld from your salary for taxes and remitted to the CRA. You can also get a tax refund if excess tax was withheld from your salary.
The carbon tax is paid by CO2 emitters not only in Newfoundland and Labrador but in all provinces and territories of Canada. The carbon tax rebate is currently not available in Newfoundland and Labrador. The carbon tax is mainly imposed on the large emitters in Newfoundland and Labrador.
Ideally, you should keep tax records for a period of six years. However, the CRA allows you to claim tax refunds on records as old as 10 years.
Tax refunds can take as long as 2 weeks but if you file taxes by mail, it can take up to 8 weeks.
To calculate your Newfoundland and Labrador income tax rates, you should use a Newfoundland and Labrador tax calculator that calculates your total tax payables in a few seconds. You can also calculate them manually or through the help of a tax expert.
If you are not filing your tax returns online, you can mail your paper T1 return to Sudbury Tax Center 1050 Notre Dame Avenue Sudbury ON P3A 5C2.
The capital gains tax rate in Newfoundland and Labrador depends on your total taxable income. The capital gains tax rate applies to the 50% of your capital gains income. For the first $41,457, the capital gains tax rate is 11.85%. But if you are in the highest tax bracket (of taxable income over $1,059,000), your capital gains tax rate will be 27.4%.
The withholding tax rates in Newfoundland and Labrador are provided on the CRA website. The lowest provincial tax rate is 8.7% on the first $41,457 of taxable income. Plus 14.5% on the next $41,456. Plus 15.8% on the next $65,114. Plus 17.8% on the next $59,212. Plus 19.8% on the next $57,511. Plus 20.8% on the next $264,750. Plus 21.3% on the next $529,500. The highest is 21.8% on income above $1,059,000. You can use a Newfoundland and Labrador tax estimator to calculate your Newfoundland and Labrador taxes.
Marginal tax in Newfoundland and Labrador depends on tax brackets NL. If you are in a 60k tax bracket, your marginal rate (federal and provincial) will be 35%. However, if your taxable income is more than $210,000, you’ll earn around 130k after taxes, your marginal tax rate (federal and provincial) will be 49.12%.
The lowest provincial tax bracket in Newfoundland and Labrador is 8.7% on the first $41,457 of taxable income. Plus 14.5% on the next $41,456. Plus 15.8% on the next $65,114. Plus 17.8% on the next $59,212. Plus 19.8% on the next $57,511. Plus 20.8% on the next $264,750. Plus 21.3% on the next $529,500. Plus 21.8% on amounts over $1,059,000.
If the house you are selling is your principal residence you can claim principal residence tax exemption for sales using the Form T2091, including information such as the address, date of purchase and sales amount. But, if you are selling a house (which is not your principal residence) in Newfoundland and Labrador, you’ll have to report it on your tax returns by filling out Schedule 3 of Capital Gains taxes.
Several Newfoundland and Labrador Tax Credits are available to taxpayers in Newfoundland and Labrador such as Newfoundland and Labrador Scientific Research and Experimental Development Tax Credit, Political Contributions Tax Credit, Venture Capital Tax Credit, Low Income Tax Reduction, Physical Activity Tax Credit, Newfoundland and Labrador and Labrador Child Benefit and several others.