Provincial tax
New Brunswick Business Tax Rates for 2026
New Brunswick business tax rates for 2026: 2.5% on small business income, 15% HST filed with the CRA, and the four provincial income tax brackets.
Sources checked October 20264 min read
Corporate tax rates in New Brunswick
New Brunswick charges 2.5% on small business income up to $500,000 and 14% above it, which makes 11.5% and 29% once federal tax is added. Both are calculated on the T2 and paid to the CRA.
The general rate is one of the higher ones in the country, so the limit carries real weight: the first $500,000 is taxed at well under half the rate of the next dollar.
| Rate | New Brunswick | With federal tax |
|---|---|---|
| Small business rate | 2.5% | 11.5% |
| General rate | 14% | 29% |
| Income the small business rate covers | $500,000 | Same federal limit |
Key points
- 11.5% combined on the first $500,000 of active business income
- 29% combined general corporate rate
- 15% HST on one return filed with the CRA
- No provincial payroll tax or employer health tax
Sales tax in New Brunswick
New Brunswick's HST is 15%, 5% federal and 10% provincial on one return filed with the CRA. A registrant claims input tax credits for the full HST paid on business purchases.
The same 15% applies in the other Atlantic provinces except Nova Scotia, where the rate is 14%.
New Brunswick income tax brackets for 2026
Four brackets run from 9.4% to 19.5% on income above $193,861. With federal tax the combined top rate is 52.5%.
| Taxable income from | Up to | Rate |
|---|---|---|
| $0 | $52,333 | 9.4% |
| $52,333.01 | $104,666 | 14% |
| $104,666.01 | $193,861 | 16% |
| $193,861.01 | No upper limit | 19.5% |
Payroll costs in New Brunswick
New Brunswick has no payroll tax or employer health tax. Employers handle CPP, EI and income tax withholding through the CRA, and workplace insurance through WorkSafeNB.
One agency for almost everything
Because corporate tax, HST and payroll deductions all run through the CRA, a New Brunswick business keeps fewer tax accounts than most. The work moves from juggling agencies to getting the dates right: HST returns on the assigned reporting period, payroll remittances on the assigned schedule, and the T2 within six months of the year end.
New Brunswick questions, answered
What is the small business tax rate in New Brunswick?
11.5% combined, 2.5% provincial and 9% federal, on the first $500,000 of active business income.
What is the HST rate in New Brunswick?
15%, filed with the CRA on one return.
Does New Brunswick have a payroll tax?
No. There is no provincial payroll tax or health levy for employers.
More for New Brunswick businesses
Official sources
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Important. This article provides general educational information, not legal or tax advice for a specific business. Rules, administrative policies, rates and deadlines can change. Confirm your facts and current obligations with the responsible government agency and a qualified adviser.