Tax Flash Bulletin
2022 Saskatchewan Budget Highlights
On March 23, 2022, Saskatchewan Minster of Finance, Donna Harpauer, released the province’s budget for the 2022-2023 fiscal year.
The budget forecasts a deficit of $463 million for 2022-2023 with a plan to return to a balanced budget for the 2026-27 fiscal year. The
minister anticipates a $2.2 billion deficit for the close of 2021-2022 in comparison to the $2.6 billion deficit budgeted last year. We
have highlighted selected budget measures that affect Saskatchewan individuals and small businesses.
INDIVIDUALS
Personal Tax Rates
The budget did not propose any changes to personal income tax rates. Saskatchewan indexed the 2022 brackets at an inflation
rate of 2.4%.
Saskatchewan Income Tax Brackets and Rates
| 2021 Taxable Income | 2022 Taxable Income | Tax Rate |
|---|---|---|
| $0 to $45,677 | $0 to $46,773 | 10.50% |
| $45,677 to $130,506 | $46,773 to $133,638 | 12.50% |
| Over $130,506 | Over $133,638 | 14.50% |
Top Combined Saskatchewan and Federal Rates
| Income Type | 2021 | 2022 |
|---|---|---|
| Salary, interest, pension, foreign | 47.50% | 47.50% |
| Eligible dividends | 29.64% | 29.64% |
| Non-eligible dividends | 42.29% | 42.29% |
| Capital gains | 23.75% | 23.75% |
Top rates apply to income over $221,708 ($216,511 for 2021) based on known federal and provincial rates as of March 23, 2022.
Continuation of the Saskatchewan Home Renovation Tax Credit
The budget confirms the continuation of the home renovation tax credit for qualified renovation expenses incurred between
October 1, 2020 and December 31, 2022 for a principal residence. The credit is equal to 10.5% on up to $20,000 in expenses in
excess of a $1,000 base amount for two separate tax years. A taxpayer may claim the home renovation tax credit starting in the
2021 tax year. Eligible expenses include the cost of labour and professional services, building materials, fixtures, equipment
rentals, and permits.