ab-individual-return

Files (1)

• SKILL.md

SKILL.md (first lines)

# AB Individual Return

## Section 1 -- Quick Reference

**Quick Reference**

| Field | Value |
| --- | --- |
| Province | Alberta (Canada) |
| Tax | Provincial Personal Income Tax |
| Currency | CAD only |
| Tax year | 1 January -- 31 December 2025 |
| Primary legislation | Alberta Personal Income Tax Act (APITA) |
| Supporting legislation | Income Tax Act (Canada) -- federal; Alberta Tax and Revenue Administration |
| Tax authority | Canada Revenue Agency (administers on behalf of Alberta) |
| Filing portal | CRA My Account / NETFILE / paper T1 |
| Filing deadline | 30 April 2026 (15 June 2026 if self-employed; balance due 30 April) |
| Skill version | 1.0 |

### Alberta Provincial Tax Rate (2025)

**Alberta Provincial Tax Rate (2025)**

| Taxable Income (CAD) | Rate |
| --- | --- |
| All taxable income | 10% (flat rate) |

Alberta is the only province with a single flat-rate personal income tax. There are no provincial tax brackets.

### Key Alberta Features

**Key Alberta Features**

| Feature | Detail |
| --- | --- |
| Provincial sales tax (PST) | None -- Alberta has no PST |
| GST only | 5% federal GST applies |
| Alberta personal amount (2025) | $21,003 |
| Spousal/equivalent amount | $21,003 |
| Age amount (65+) | $5,853 (reduced at higher income) |
| Alberta Family Employment Tax Credit | Refundable credit for working families with children under 18 |
| Alberta Climate Leadership Adjustment | Phased out |
| Alberta child and family benefit | Income-tested provincial benefit |

### Federal Tax Rates (2025) -- For Reference

**Federal Tax Rates (2025) -- For Reference**

| Taxable Income (CAD) | Rate |
| --- | --- |
| 0 -- 57,375 | 15% |
| 57,376 -- 114,750 | 20.5% |
| 114,751 -- 158,468 | 26% |
| 158,469 -- 220,000 | 29% |
| 220,001+ | 33% |

### Combined Federal + Alberta Marginal Rates (2025)

**Combined Federal + Alberta Marginal Rates (2025)**

| Taxable Income (CAD) | Combined Rate |
| --- | --- |
| 0 -- 57,375 | 25% |
| 57,376 -- 114,750 | 30.5% |
| 114,751 -- 158,468 | 36% |
| 158,469 -- 220,000 | 39% |
| 220,001+ | 43% |

### Conservative Defaults

**Conservative Defaults**

| Ambiguity | Default |
| --- | --- |
| Unknown residency province on Dec 31 | Do not compute provincial tax -- confirm province |
| Unknown marital status | Single (no spousal credit) |
| Unknown dependant eligibility | No dependant credits claimed |
| Unknown employment status | Employed (T4 reporting) |

## Section 2 -- Classification and Filing

### 2.1 Residency Determination

- **Alberta residency test** — Alberta provincial tax applies if the individual is resident in Alberta on December 31 of the tax year. Residency is determined by significant residential ties (dwelling, spouse/dependants in province).

### 2.2 T1 Structure

**T1 Structure**

| Schedule | Purpose |
| --- | --- |
| T1 General | Federal return |
| Form AB428 | Alberta Tax and Credits |
| Schedule AB(S12) | Alberta Tax (calculation) |
| Schedule 1 | Federal tax calculation |

### 2.3 Provincial Credits (Form AB428)

**Provincial Credits (Form AB428)**

| Credit | Amount (2025) | Type |
| --- | --- | --- |
| Basic personal amount | $21,003 | Non-refundable |
| Spousal / common-law partner | $21,003 (reduced by spouse income) | Non-refundable |
| Eligible dependant amount | $21,003 | Non-refundable |
| CPP/QPP contributions (employee) | Actual contributions | Non-refundable |
| EI premiums | Actual premiums | Non-refundable |
| Age amount (65+) | $5,853 | Non-refundable (income-tested) |
| Pension income amount | Up to $1,636 | Non-refundable |
| Disability amount | $16,494 | Non-refundable |
| Tuition and education | Actual tuition | Non-refundable |
| Medical expenses | Excess over 3% of net income (or $2,635) | Non-refundable |
| Donations and gifts | First $200 at 10%; excess at 21% | Non-refundable |
| Political contributions (Alberta) | 75% of first $200 + 50% next $900 + 33.33% above | Non-refundable |

- **Credit rate** — 10% (Alberta's flat rate applies to convert credit amounts to tax reductions).

### 2.4 Alberta Family Employment Tax Credit (AFETC)

From openaccountants/openaccountants, AGPL-3.0.

More from openaccountants/openaccountants