Incentive Programs
If you are considering locating in Moosomin as opposed to a Manitoba location, there are significant tax advantages for you and your employees to locating on the Saskatchewan side of the border
Comparison Saskatchewan to Manitoba (2020 Rates)
Top Personal Tax Rates |
Saskatchewan |
Manitoba |
Employment Income |
47.50% |
50.40% |
Dividend Income - Non-Eligible |
40.37% |
45.67% |
Dividen Income - Eligible |
29.64% |
37.78% |
Capital Gains |
23.75% |
25.20% |
Personal Exemption |
$16,065 |
$9,838 |
Provincial Sales Tax |
6% |
7% |
From a personal tax standpoint and employee attraction component, people in Saskatchewan pay less personal tax than Manitoba and therefore have more money in their pockets at the end of the day
The other key item is the basic personal exemption in Manitoba is only $9,838 while in Saskatchewan that exemption is $16,065. So there is a bigger advantage on the personal side in Saskatchewan, than in Manitoba.
Payroll Tax
In Manitoba an additional tax is added on to the corporation if their payroll (or a combined group of companies) exceeds 1.25 million in wage cost in a given year as follows:
- Between 1.25 million and 2.5 million tax at the rate of 4.30% is charged on the amount over 1.25 million and up to 2.5 million.
- Any payroll over 2.5 million is charged at the rate of 2.15%