NB Individual Return

Provincial Non-Refundable Credits (Form NB428)

| Credit | Amount (2025) | Rate | |---|---|---| | Basic personal amount | $13,044 | 9.4% | | Spousal / common-law partner | $13,044 | 9.4% | | CPP/EI contributions | Actual | 9.4% | | Age amount | $5,493 | 9.4% | | Pension income | Up to $1,000 | 9.4% | | Disability | $9,834 | 9.4% | | Tuition | Actual | 9.4% | | Medical expenses | Excess over 3% of net income | 9.4% | | Donations | First $200 at 9.4%; excess at 19.5% | Non-refundable |

New Brunswick Refundable Credits (Form NB479)

| Credit | Detail | |---|---| | NB Low-Income Tax Reduction | Eliminates provincial tax for low-income earners | | NB Child Tax Benefit | $250/child; income-tested | | Seniors' Home Renovation Credit | 10% on up to $10,000 eligible expenses | | Tuition Rebate | 50% of tuition over 3 years for NB graduates working in NB | | Small Business Investor Tax Credit | 50% of eligible investment (max $125,000 investment) |

Calculate Taxable Income

Same as federal taxable income (Line 26000).Line 26000

Apply New Brunswick Bracket Rates

First $49,958 × 9.4%; $49,959 to $99,916 × 14%; $99,917 to $185,064 × 16%; Above $185,064 × 19.5%

Subtract Non-Refundable Tax Credits

Total credit amounts × 9.4% (lowest bracket rate).

Apply Low-Income Tax Reduction

If eligible, reduces or eliminates provincial tax.

Net Provincial Tax

Gross provincial tax less credits and low-income reduction.

Apply Refundable Credits

Subtract applicable refundable credits.

HST Considerations

| Item | Detail | |---|---| | HST rate | 15% (5% federal + 10% provincial) | | HST registrant (business) | Full input tax credit (ITC) available | | Small supplier threshold | $30,000 in 4 consecutive quarters | | New Housing Rebate | Provincial portion: 36% rebate on homes up to $350,000 | | Point-of-sale rebates | Children's clothing, footwear, diapers, feminine hygiene |

New Brunswick Dividend Tax Credit

| Dividend Type | Federal Gross-Up | NB Credit Rate | |---|---|---| | Eligible dividends (public corps) | 38% gross-up | 14% of taxable amount | | Non-eligible dividends (CCPCs) | 15% gross-up | 2.75% of taxable amount |

Capital gains inclusion rate

50% inclusion rate for all capital gains; the proposed 66.67% increase and $250,000 threshold were cancelled March 21, 2025

Lifetime Capital Gains Exemption

$1,250,000 on qualifying small business shares (2025)

NB Small Business Investor Tax Credit

| Element | Detail | |---|---| | Credit rate | 50% of eligible investment | | Maximum investment | $125,000 per investor per year | | Maximum credit | $62,500 per year | | Eligible businesses | NB-based small businesses (approved by NB government) | | Carry-forward | 7 years for unused credits | | Hold period | Must hold investment for at least 4 years |

NB Tuition Rebate

Available to graduates of designated NB post-secondary institutions who live and work in NB. Rebate is 50% of tuition paid, claimed over 3 years (20%/20%/10% or until limit reached). Maximum $10,000 lifetime rebate.

NB Tuition Rebate details

| Element | Detail | |---|---| | Eligible programs | Degrees/diplomas from designated NB institutions | | Maximum lifetime rebate | $10,000 | | Claim schedule | ~33% per year over 3 years | | Residency | Must be NB resident and working in NB | | Application | Automatic through T1 filing (claimed on NB479) |

Low-Income Tax Reduction

Eliminates NB provincial tax for individuals with income below approximately $22,000 (single). Phases out between ~$22,000 and ~$25,000. Adjusted for family size.

Low-Income Tax Reduction thresholds

| Filing Status | Threshold (approximate) | |---|---| | Single | $22,005 | | Single + 1 dependant | $28,459 | | Couple (no dependants) | $28,459 | | Couple + 1 child | $32,457 |

Interprovincial Truckers/Workers

Workers who live in NB but earn income in other provinces: all income taxed at NB rates if resident on Dec 31. No provincial allocation for employment income.

Seniors' Home Renovation Credit

| Element | Detail | |---|---| | Credit rate | 10% of eligible expenses | | Maximum expenses | $10,000 per year | | Maximum credit | $1,000 per year | | Eligibility | 65+ or supporting a senior; NB resident | | Eligible expenses | Ramps, grab bars, walk-in tubs, stairlifts, widening doorways | | Non-eligible | Routine maintenance, appliances, landscaping |

Single taxpayer, employment income $70,000 (2025)

| Step | Calculation | Amount | |---|---|---| | Taxable income | | $70,000 | | NB tax on first $49,958 | $49,958 × 9.4% | $4,696 | | NB tax on $49,959 -- $70,000 | $20,042 × 14% | $2,806 | | Gross NB provincial tax | | $7,502 | | Less: Basic personal credit | $13,044 × 9.4% | ($1,226) | | Less: CPP credit | ~$3,867 × 9.4% | ($364) | | Less: EI credit | ~$1,049 × 9.4% | ($99) | | Net NB provincial tax | | $5,813 | | Federal tax (for reference) | | $10,252 | | Total combined tax (approx.) | | $16,065 | | Effective combined rate | | ~22.9% |

Prohibitions

NEVER apply other provincial rates to a New Brunswick resident; NEVER separate HST into GST + PST -- New Brunswick uses harmonized HST; NEVER claim NB credits without confirming NB residency on December 31; NEVER ignore the four-bracket structure; NEVER claim the Tuition Rebate without confirming NB post-secondary graduation and NB residency; NEVER present tax calculations as definitive -- always label as estimated