The Canada Revenue Agency (CRA) administers the Saskatchewan personal income tax system on behalf of Saskatchewan in conjunction with the federal income tax system. To calculate Saskatchewan's personal income tax, apply provincial tax rates directly to taxable income and then deduct provincial tax credits.
Provincial tax credits generally parallel federal credits. However, the provincial tax system includes a dependent child amount as well as a supplement to the age amount. These credits are in addition to:
- The provincial basic credit;
- Spousal credit amounts;
- Provincial tax credits for
- the disabled, and
- Canada Pension Plan contributions;
- Employment Insurance contributions;
- Pension income;
- Student loan interest;
- Medical expenses; and,
- Charitable donations.
Budget 2017-18 Changes to Personal Income Tax
- Personal Income Tax rates were reduced by a half point effective July 1, 2017 to foster greater productivity and investment within the provincial economy.
- Credits for post-secondary tuition fees and education amounts are eliminated effective July 1, 2017.
- The Employee’s Tools Tax Credit is eliminated for the 2017 taxation year.
- The Labour-sponsored Venture Capital Tax Credit rate will be reduced from 20% to 17.5% for the 2018 taxation year.
- Indexation of the Personal Income Tax system is suspended starting with the 2018 taxation year.
Budget 2018-19 Changes to Personal Income Tax
- The 2018-19 Budget announces a temporary freeze to the tax rate reduction plan. Tax rates have now been reduced by a half-point and will remain at these levels for the time being.
|Saskatchewan's Personal Income Tax Rates
Note: The 2017 rates reflect the impact of the half point reduction midway through the 2017 taxation year.