Canada's headline corporate income tax (CIT) rate is Federal 15%; provincial/territorial 8-15% additional.
The headline personal income tax (PIT) rate is Federal top 33%; provincial 11.5-21.8% additional.
The standard VAT/GST (or equivalent consumption tax) rate is combined federal/provincial 5-15. Registration thresholds, zero-rated and exempt categories, and reduced rates vary by jurisdiction - see the source link below for the full detail on this jurisdiction.
Canada uses a facts-and-circumstances "significant residential ties" test rather than a simple day count: a dwelling available in Canada, a spouse or common-law partner in Canada, or dependants in Canada each strongly indicate factual residency, weighed alongside secondary ties. Separately, anyone who sojourns (is temporarily present) in Canada for 183 days or more in a calendar year is deemed a resident for the entire year under paragraph 250(1)(a) of the Income Tax Act, even without any residential ties. Residents are taxed on worldwide income; non-residents only on Canadian-source income, subject to applicable treaty relief.
Canada's anti-deferral regime taxes Foreign Accrual Property Income (FAPI) - passive income such as interest, rents, royalties, and certain capital gains - earned by a Controlled Foreign Affiliate (CFA). A foreign affiliate becomes a CFA where a Canadian resident (generally) owns more than 50% of its shares, whether by de jure voting control or aggregated ownership among a non-arm's-length group of Canadian shareholders. FAPI is included in the Canadian shareholder's income as earned, regardless of distribution, though a de minimis exemption applies where a CFA's FAPI is $5,000 or less; active business income is generally excluded from FAPI.
Canada layers two separate interest-restriction regimes. The traditional thin capitalization rule denies interest deductions on debt owed to specified non-resident shareholders once it exceeds a 1.5:1 debt-to-equity ratio. Separately, the newer Excessive Interest and Financing Expense Limitation (EIFEL) rules - implementing OECD BEPS Action 4, effective for tax years beginning on or after October 1, 2023 - cap net interest and financing expense deductions at 30% of tax-EBITDA (40% during a transition window through end-2023) for corporations and trusts generally, regardless of whether the lender is related or a resident. Excluded entities include Canadian-controlled private corporations (with associated group taxable capital under CAD 50 million) and groups with net interest/financing expense under CAD 1 million.
Canada maintains roughly 90-95 bilateral income tax treaties in force. Canada ratified the OECD's Multilateral Instrument (MLI) in 2019, which amends most of these treaties with anti-abuse measures - the Canada-US treaty being the principal exception. Canada has also formally suspended its tax treaty with Russia, effective November 18, 2024, for both withholding taxes and other taxes.