Nova Scotia Tax Rates for 2026

The top combined federal and Nova Scotia marginal rate is 54.00% on taxable income over $258,482. Capital gains are taxed at half your marginal rate, up to 27.00%.

Marginal and capital gains rates by income

Nova Scotia combined marginal and capital gains tax rates by taxable income, 2026
Taxable income	Marginal rate	Capital gains rate
Up to $30,995	22.79%	11.40%
$30,995 to $58,523	28.95%	14.48%
$58,523 to $61,991	35.45%	17.73%
$61,991 to $97,417	37.17%	18.59%
$97,417 to $117,045	38.00%	19.00%
$117,045 to $157,124	43.50%	21.75%
$157,124 to $181,440	47.00%	23.50%
$181,440 to $258,482	50.00%	25.00%
Over $258,482	54.00%	27.00%

Rates apply to the next dollar of taxable income above the basic personal amounts. Sources: CRA 2026 federal and provincial brackets, cross-checked against KPMG's 2026 table. Credits, the alternative minimum tax and income-tested benefits are not included. Estimates only, not tax advice.

Example: a $20,000 capital gain

With $120,000 of other taxable income in Nova Scotia, half of the gain ($10,000) is added to your income. The extra federal and provincial tax is about $4,350, an effective rate of 21.75% on the gain. A capital loss of the same size in the same year would save about the same amount.

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Frequently asked questions

What is the top marginal tax rate in Nova Scotia in 2026?

The top combined federal and provincial rate in Nova Scotia is 54.00%, on taxable income over $258,482.

What is the capital gains tax rate in Nova Scotia?

Half of a capital gain is taxable, so the rate on a gain is half of your marginal rate: from 11.40% on lower incomes up to 27.00% at the top.

How much tax would I pay on a $20,000 capital gain in Nova Scotia?

With $120,000 of other taxable income, a $20,000 gain adds about $4,350 of federal and Nova Scotia tax, an effective rate of 21.75% on the gain.