United States vs Canada
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
💰 Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country — side by side.
Individual Income Tax (Top Marginal Rate)
VAT / GST / Sales Tax
Corporate Tax Rate
Capital Gains Tax
Social Security & Payroll
🇺🇸 United States — State & Local Taxes
The U.S. has 50 states each setting their own income tax (0%–13.3%). California tops at 13.3%, while Texas, Florida, and Nevada levy no state income tax. NYC adds its own income tax (up to 3.876%). Sales taxes vary from 0% (Oregon) to over 11% combined. Property taxes are primarily local. Some states like Washington have introduced capital gains levies.
🇨🇦 Canada — Provincial Income & Sales Taxes
Canada's 10 provinces each levy their own income tax (4%–25.75% top). Combined federal+provincial top rates exceed 50% in Quebec, Nova Scotia, and Ontario. Quebec has its own QPP and QST (9.975%). Alberta has no provincial sales tax. HST replaces GST+PST in Atlantic provinces and Ontario. Property taxes are municipal.
United States vs Canada: Key Tax Differences (2026)
💰 Income Tax: 🇺🇸 United States has a higher top income tax rate (10–37% vs 15–33%). 🇨🇦 Canada is more favourable for high earners.
🛒 VAT/Sales Tax: Canada has a higher consumption tax (0–11% vs 5–15%).
🏢 Corporate Tax: 🇨🇦 Canada offers a lower corporate rate (15% vs 21%), which can influence business location decisions.
📈 Capital Gains: 🇺🇸 United States taxes investment gains at a lower rate (20% vs 33.3%), benefiting investors.