![]() ![]() Tax deductions lower your taxable income. Refundable tax credits lower your taxes, and if you don’t owe taxes, you get a refund. ![]() Alberta also has the investor tax credit (AITC), and Alberta stock savings plan tax credit. ![]() Popular refundable tax credit includes the working income tax credit and Goods and Services Tax credit. Popular non-refundable credits include the basic personal amount for eligible dependents, age amount, charitable donations, medical expenses, caregiver amount, public transit passes, and first-time homebuyer credit.Ī non-refundable tax credit can reduce your taxes to zero however, you won’t get a refund if your credits exceed taxes owed. You can lower your taxes payable using applicable refundable and non-refundable tax credits available federally and provincially. after you make an RRSP contribution.įor example, if your taxable income is $100,000 and your RRSP contribution in 2022 is $10,000, you can expect a tax refund of $3,600 based on a marginal tax rate of 36%. You can use your marginal tax rate to determine how much you save in taxes when you make a tax deduction, e.g. It also includes the federal basic personal amount of up to a maximum of $14,398. The numbers above consider Alberta’s basic personal amount, which is $19,369 for this year. Using the tool here, the combined federal and provincial marginal tax rates for Alberta residents in 2022 are as follows: Marginal tax rates reflect how much you pay in taxes on an additional dollar of income. For 2021, the applicable federal tax brackets and rates are: Taxable IncomeĪlberta Marginal Tax Rates (Federal and Provincial) on the portion of taxable income over $209,952 up to $314,928), plusĪlong with provincial taxes, you must also pay federal taxes on your income. on the portion of taxable income over $157,464 up to $209,952), plus on the portion of taxable income over $131,220 up to $157,464), plus
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