New Brunswick dividend tax, 2026

At the top bracket, New Brunswick taxes eligible Canadian dividends at 32.40% against 52.50% on ordinary income — an advantage of 20.10 points for holding the same money as dividends rather than as interest or salary.

Top eligible dividend rate: 32.40%
Rank of 13: 4; 1 is the lowest rate
First bracket to: $52,333

Every bracket

Taxable income up to	Eligible dividends	Non-eligible	Capital gains	Ordinary income
$52,333	-7.76%	13.36%	11.70%	23.40%
$58,523	-1.41%	18.65%	14.00%	28.00%
$104,666	7.56%	26.13%	17.25%	34.50%
$117,045	10.32%	28.43%	18.25%	36.50%
$181,440	17.91%	34.75%	21.00%	42.00%
$193,861	22.45%	38.53%	22.65%	45.29%
$258,482	27.28%	42.56%	24.40%	48.79%
and above	32.40%	46.83%	26.25%	52.50%

Reading these figures

Dividend rates apply to the dividend actually received, not to the grossed-up amount — the 38% gross-up and the dividend tax credit are already inside them. Capital gains rates apply to the whole gain, not the taxable half. Applying either adjustment again double-counts it.

Nationally

New Brunswick ranks 4 of 13 on the top eligible dividend rate, where 1 is lowest. The range runs from 28.33% (Northwest Territories) to 46.20% (Newfoundland and Labrador). Compare all 13.

The threshold above these

Marginal rate is not the whole cost. Above $95,323 of net income, Old Age Security is recovered at 15% — and net income counts the grossed-up dividend, so eligible dividends reach that threshold on roughly 28% less cash than other income does. How that works.

Transcribed 2026-08-06 from a published rate table (source); the underlying brackets and credit rates are set federally and by the province (official figures). Machine-readable: rates.json.