Calcul Taxes Ontario 2018

Calculating Ontario taxes for 2018 requires understanding the progressive tax rates, deductions, and credits that apply to your income. This guide explains the process step-by-step and provides a calculator to compute your estimated tax liability.

How to Calculate Ontario Taxes 2018

The Ontario government uses a progressive tax system where different income brackets have different tax rates. To calculate your tax liability for 2018, follow these steps:

Determine your total taxable income for the year.
Apply the Ontario tax rates to each income bracket.
Subtract any eligible deductions and credits.
Calculate the provincial tax and add the federal tax (if applicable).

Formula for Ontario Tax Calculation

Ontario Tax = (Income × Tax Rate) - Deductions + Credits

The Ontario tax rates for 2018 were as follows:

Income Bracket	Tax Rate
$0 - $44,701	5.05%
$44,702 - $89,404	9.15%
$89,405 - $150,000	11.16%
$150,001 - $220,000	12.16%
Over $220,000	13.16%

Ontario Tax Brackets 2018

The Ontario tax brackets for 2018 were structured as follows:

5.05% on the first $44,701 of taxable income
9.15% on the next $44,703 ($44,702 to $89,404)
11.16% on the next $60,596 ($89,405 to $150,000)
12.16% on the next $70,000 ($150,001 to $220,000)
13.16% on taxable income over $220,000

Note

The Ontario tax rates for 2018 were slightly different from previous years due to provincial budget adjustments. Always verify the current tax rates when calculating your taxes.

Deductions and Tax Credits

In addition to the tax brackets, Ontario offers various deductions and tax credits that can reduce your tax liability:

Common Deductions

RRSP contributions
Medical expenses
Donations to registered charities
Home office expenses

Common Tax Credits

Ontario Child Benefit
Ontario Disability Support Program (ODSP) credit
Ontario Trillium Benefit
Ontario Homeowners' Property Tax Credit

These deductions and credits can significantly impact your final tax calculation. Be sure to include them in your tax return to maximize your refund or minimize your tax liability.

Worked Examples

Let's look at two examples to illustrate how the Ontario tax calculation works.

Example 1: Single Person with $50,000 Income

For a single person earning $50,000 in 2018:

First $44,701 taxed at 5.05%: $44,701 × 0.0505 = $2,263.30
Next $5,299 taxed at 9.15%: $5,299 × 0.0915 = $483.61
Total Ontario tax: $2,263.30 + $483.61 = $2,746.91

Example 2: Married Couple with $100,000 Income

For a married couple earning $100,000 in 2018:

First $44,701 taxed at 5.05%: $44,701 × 0.0505 = $2,263.30
Next $44,703 taxed at 9.15%: $44,703 × 0.0915 = $4,083.22
Next $9,996 taxed at 11.16%: $9,996 × 0.1116 = $1,115.56
Total Ontario tax: $2,263.30 + $4,083.22 + $1,115.56 = $7,462.08

Frequently Asked Questions

What is the Ontario tax rate for 2018?

The Ontario tax rates for 2018 ranged from 5.05% to 13.16%, depending on your income bracket. The rates were progressive, meaning higher-income earners paid a higher percentage of their income in taxes.

How do Ontario tax brackets work?

Ontario tax brackets work by applying different tax rates to different portions of your taxable income. The first portion of your income is taxed at the lowest rate, and each subsequent portion is taxed at a higher rate.

What deductions can I claim for Ontario taxes?

Common deductions for Ontario taxes include RRSP contributions, medical expenses, donations to registered charities, and home office expenses. Always consult a tax professional to ensure you're claiming all eligible deductions.

Are there any tax credits available in Ontario?

Yes, Ontario offers several tax credits, including the Ontario Child Benefit, Ontario Disability Support Program (ODSP) credit, Ontario Trillium Benefit, and Ontario Homeowners' Property Tax Credit.

How can I calculate my Ontario taxes for 2018?

You can use the Ontario tax calculator on this page to estimate your tax liability. Simply enter your income and any applicable deductions or credits, and the calculator will compute your estimated tax.