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Canada Federal Income Tax Calculator 2021

Estimate federal income tax payable under CRA rules for tax year 2021.

Introduction

🎯 What

Calculates 2021 Federal Income Tax for Canadian residents. Uses progressive tax slabs and non-refundable credits.

👥 Who

Salaried individuals, self-employed persons, investors, and anyone filing a 2021 tax return in Canada.

💡 Why

Plan back-taxes or review 2021 assessments. Understand marginal rates and deductions for that specific year.

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👤 Taxpayer Information

💰 Income Sources

50% taxable in 2021

📋 Deductions

+

🎁 Tax Credits & Payments

+

📊 Tax Summary

Enter your information...

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Tax System Overview

  • Federal Only: This calculator estimates federal tax only, not provincial.
  • Progressive Tax: Based on 2021 tax brackets ($49k, $98k, etc).
  • Taxable Income: Gross Income minus deductions (RRSP, etc).

Federal Tax Brackets (2021)

Rate Taxable Income Range
15.0% $0 - $49,020
20.5% $49,021 - $98,040
26.0% $98,041 - $151,978
29.0% $151,979 - $216,511
33.0% Over $216,511

Examples

Example 1

Income: $60,000

First ~49k at 15%

Rest at 20.5%

Minus Credits

Example 2

Income: $120,000

RRSP: $10,000

Taxable: $110,000

Tax calculated on $110,000

Frequently Asked Questions

Q: Is this provincial tax included?

A: No, this is FEDERAL tax only.

Q: Is RRSP fully deductible?

A: Yes, within CRA limits.

Q: Is capital gains fully taxed?

A: No, in 2021 as well, only 50% is taxable.

Disclaimer: This calculator is for educational and Google AdSense content purposes only. Tax rules are based on CRA federal income tax year 2021. Results may differ from official CRA assessments. Always consult CRA or a licensed tax professional.