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March 15, 2023
Question

Why is income tax 0 when pay is less than 600 BC Canada

  • March 15, 2023
  • 1 reply
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1 reply

March 15, 2023

Hi pavani-balusu,

 

Welcome to Community!  It's essential that your QuickBooks Online Payroll is accurately set up, in keeping with government guidelines.  I'd be happy to help!

 

The tax bracket structure in British Columbia is progressive, which means the more income earned, the higher the tax rate.  Keep in mind that there's an allowable amount of income that can be earned, before you must start paying taxes.  To learn more about the tax brackets and rates, click here.

 

If you have any other questions or concerns, please don't hesitate to reach back out.  We're always glad to assist!

 

March 15, 2023

Thank you for the reply. Is the allowable income calculated based on the pay biweekly?

March 15, 2023

Hi pavani-balusu,

 

Thanks for getting back to us here.  The taxes are applied to each pay period.  Here's a helpful guide for your reference.  If you have additional questions or concerns regarding the guidelines, I recommend reaching out to an accounting professional.  If you don't have an accountant, we can help you locate a ProAdvisor in your local area.

 

Feel free to reach back out with other questions.  We're here for you!