Personal Income Tax (PIT)
- Personal Income Tax is administered on
behalf of the Province by the Federal Government.
Canada Revenue Agency
Federal
Department of Finance
- Newfoundland and Labrador levies personal
income tax (PIT) directly on taxable income, rather than as a percentage
of federal tax. This approach is referred to as Tax on Income (TONI).
- Under TONI, taxable income is calculated
using the same definition of federal taxable income. However, a separate
set of Tax Brackets and Tax Rates are used to calculate provincial tax.
- Tax brackets, non-refundable tax credits
(except education and pension amounts and expenditure based credits), the
Low Income Tax Reduction and the Low Income Seniors' Benefit will be indexed
annually utilizing the Consumer Price Index.
- The provincial rates for the 2008 and 2009 taxation years are as follows:
|
2008
|
Provincial Tax Bracket |
Rates |
|
1st |
$30,215 or less |
8.2% |
|
2nd |
$30,216 to $60,429 |
13.3% |
|
3rd |
Over $60,429 |
16.0% |
|
2009 |
Provincial Tax Bracket |
Rates |
|
1st |
$31,061 or less |
7.7% |
|
2nd |
$31,062 to $62,121 |
12.8% |
|
3rd |
Over $62,121 |
15.5% |
|
Provincial
Non-Refundable Credits |
2008 Amount |
2009 Amount |
|
Basic Personal Amount |
$7,566 |
$7,778 |
|
Age Amount |
$3,556 |
$3,655 |
|
Spousal and Equivalent to Spouse
Amounts |
$6,183 |
$6,356 |
|
Amount for Infirm Dependents Age 18 or
Older |
$2,402 |
$2,470 |
|
CPP/QPP Contributions |
Actual Expense |
Actual Expense |
|
EI Premiums |
Actual Expense |
Actual Expense |
|
Pension Income Amount |
$1,000 |
$1,000 |
|
Caregiver Amount |
$2,402 |
$2,470 |
|
Disability Amount |
$5,106 |
$5,249 |
|
Disability Supplement Amount |
$2,403 |
$2,470 |
|
Interest Paid on Student Loan |
Actual Expense |
Actual Expense |
|
Tuition Amount |
Actual Expense |
Actual Expense |
|
Education Amount
- full time (per month)
- part time (per month)
|
$200
$60 |
$200
$60 |
|
Medical Expense Amount Threshold
|
$1,648 |
$1,694 |
|
Charitable Donations Credit
- First $200
- Over $200
|
8.2%
16.0% |
7.7%
15.5% |
|
Dividend Tax Credit
- Dividends from small business
- Dividends from large corporations |
5%
6.65% |
5%
9.75% |
Income
Tax Act
Low
Income Tax Reduction
Tax
Credits, Incentives and Benefits Program
For more information respecting provincial
personal income tax please contact:
Taxation and Fiscal Policy
Department of Finance
P.O. Box 8700
St. John's, Newfoundland
A1B 4J6
Telephone: (709) 729-3166
Facsimile: (709) 729-2070
E-Mail: taxpolicy@mail.gov.nl.ca
|
