Summary

  • The province indexed its brackets and lowered the rates across all bracket levels, with the exception of the top bracket.
  • Further similar rate drops are promised for 2008 as well.
  • Starting in 2007, the province has “adopted” the federal adoption credit provision.
  • The province’s 2006 position on the enhanced dividend tax credit system was re-affirmed.
  • The provincial R&D credit system has been renewed through 2014.

The following table shows British Columbia’s personal income tax brackets and corresponding rates for 2007 and 2008:

Taxable Income Range* 2007 Tax Rates 2007 – Current Tax Rages 2007 – Revised Tax Rates* 2008
0 to $34,397
6.05%
5.70%
5.35%
$34,397.01 to $68,794
9.15%
8.65%
8.15%
$68,794.01 to $78,984
11.70%
11.10%
10.50%
$78,984.01 to $95,909
13.70%
13.00%
12.29%
above $95,909
14.70%
14.70%
14.70%

*The 2008 income tax rates will apply to the 2007 taxable income ranges, which will be indexed for inflation.

Article originally published: Nov 2007