Calculate Tax Refund Ontario 2018

Calculating your Ontario tax refund for 2018 can help you understand how much money you're entitled to receive. This calculator provides a simple way to estimate your refund based on your taxable income and deductions. Follow the steps below to determine your potential refund amount.

How to Calculate Your Ontario Tax Refund

To calculate your Ontario tax refund for 2018, you'll need to know your total taxable income and any applicable deductions. The process involves the following steps:

Determine your total taxable income for 2018.
Calculate your Ontario tax based on the provincial tax rates.
Subtract any federal tax credits or deductions.
Apply any Ontario tax credits or deductions.
Calculate the difference between your total tax paid and your total tax liability to determine your refund.

Using our calculator, you can quickly estimate your refund amount by entering your taxable income and any applicable deductions. The calculator will handle the complex calculations for you.

Tax Refund Formula

The formula for calculating your Ontario tax refund is as follows:

Tax Refund = (Total Tax Paid) - (Total Tax Liability)

Where:

Total Tax Paid is the amount of tax you've already paid to the government.
Total Tax Liability is the amount of tax you owe based on your taxable income and applicable deductions.

To calculate your total tax liability, you'll need to consider both federal and provincial tax rates. The Ontario tax rates for 2018 were as follows:

Taxable Income	Ontario Tax Rate
$0 - $43,906	5.05%
$43,907 - $87,813	9.15%
$87,814 - $150,000	11.16%
$150,001 - $220,000	12.16%
$220,001+	13.16%

You can use our calculator to apply these rates to your specific tax situation.

Worked Example

Let's walk through a worked example to illustrate how to calculate your Ontario tax refund for 2018.

Example Scenario

Suppose you have the following details for 2018:

Total taxable income: $60,000
Total tax paid: $5,400
Federal tax credits: $1,200
Ontario tax credits: $600

Step 1: Calculate Ontario Tax

First, calculate your Ontario tax based on the provincial tax rates:

$43,906 × 5.05% = $2,200
($60,000 - $43,906) × 9.15% = $13,094
Total Ontario tax = $2,200 + $13,094 = $15,294

Step 2: Calculate Total Tax Liability

Next, calculate your total tax liability by subtracting the federal and Ontario tax credits:

Total tax liability = $15,294 - $1,200 - $600 = $13,494

Step 3: Calculate Tax Refund

Finally, calculate your tax refund by subtracting your total tax liability from the total tax paid:

Tax refund = $5,400 - $13,494 = -$8,094

In this example, the result is negative, indicating that you owe additional tax rather than receiving a refund. This example demonstrates how the calculator can help you understand your tax situation.

Frequently Asked Questions

How do I claim my Ontario tax refund?

To claim your Ontario tax refund, you'll need to file your tax return with the Canada Revenue Agency (CRA). The CRA will calculate your refund based on the information you provide and send you a cheque or direct deposit if you're owed money.

What documents do I need to claim my tax refund?

You'll need to gather various documents to support your tax refund claim, including your Notice of Assessment, T4 slips, receipts for deductible expenses, and any other relevant financial documents.

How long does it take to receive my tax refund?

The time it takes to receive your tax refund can vary. If you filed your return electronically, you may receive your refund within a few weeks. If you filed a paper return, it may take longer. The Canada Revenue Agency provides more information on their website.