Canadian Realtor
Tax Estimator
Estimate your 2026 federal tax, provincial tax, CPP/QPP contributions, and quarterly instalments in under a minute. Covers all 13 Canadian provinces and territories.
As a self-employed Canadian real estate agent you are responsible for your own income tax, CPP/QPP contributions, and quarterly instalments. Enter your numbers below for an estimate for the 2026 tax year.
Canadian Realtor Tax Estimator
2026 tax year · all 13 provinces and territories
Your total commission earnings for the year (after brokerage splits)
Vehicle, marketing, MLS dues, desk fees, software, mileage, etc.
Where you file taxes (residency on Dec 31)
How many deals you expect to close this year
Net Self-Employment Income
GCI minus deductible expenses — this is what’s taxed
$90,000
Your estimated total tax & CPP burden:
$24,752
Effective rate 27.5% on $90,000 of net income
After tax, you keep roughly $65,248 · 72% of your net income.
Quarterly instalment estimate: $6,188
Per CRA, income tax is paid by instalments for a year when net tax owing is more than $3,000 ($1,800 for Quebec residents) in that year and in either of the two years before it. Per CRA, instalment payments for individuals are due March 15, June 15, September 15 and December 15. Per CRA, instalment interest is charged on all late or insufficient instalment payments, compounded daily at the prescribed interest rate.
Federal Tax
$10,713
Provincial Tax
$4,746
CPP Contribution
$9,293
Per-deal tax portion: Across 12 closed deals this year, the tax estimate works out to $2,063 per deal.
View full breakdown
1. Federal & Provincial Bracket Math
Income tax in Canada is progressive: each dollar is taxed at the rate of the bracket it falls into. The federal-taxable amount used below is net self-employment income ($90,000) minus the CPP deduction ($5,062) = $84,938.
Federal brackets (2026)
| Bracket | Rate | Income in bracket | Tax |
|---|---|---|---|
| $0 – $58,523 | 14.0% | $58,523 | $8,193 |
| $58,523 – $117,045 | 20.5% | $26,415 | $5,415 |
After bracket math, the engine applies the federal Basic Personal Amount credit ($16,452 × 14.0%) and the CPP employee-portion credit, then producing a federal tax estimate of $10,713.
Ontario brackets (2026)
| Bracket | Rate | Income in bracket | Tax |
|---|---|---|---|
| $0 – $52,886 | 5.1% | $52,886 | $2,671 |
| $52,886 – $105,775 | 9.2% | $32,052 | $2,933 |
After applying the Ontario Basic Personal Amount ($12,747 × 5.1%), the CPP employee-portion credit, and the Ontario surtax, the provincial tax estimate is $4,746.
Source: CRA T1 General — federal and provincial tax tables (2026).
2. CPP Self-Employment Contributions
Self-employed individuals pay both the employee and employer halves of CPP. Contributions apply on net self-employment income above the basic exemption ($3,500), up to the year’s maximum pensionable earnings.
- CPP Tier 1 (on earnings $3,500 – $74,600 at 11.90% self-employed rate): $8,461
- CPP Tier 2 (on earnings $74,600 – $85,000 at 8.00% self-employed rate): $832
- Total CPP contribution: $9,293
Source: CRA Schedule 8 — CPP contributions on self-employment income (2026).
3. HST Owed on GCI Minus ITCs (illustrative)
Registered agents collect HST on commission income and may claim Input Tax Credits (ITCs) on the HST paid on eligible business expenses. HST is remitted separately from income tax.
- Applicable rate (Ontario): 13.0%
- HST collected on GCI: $120,000 × 13.0% = $15,600
- Illustrative ITC estimate (expenses × rate): $30,000 × 13.0% = −$3,900
- Estimated net HST owed: $11,700
ITCs reduce HST owed. Common ITCs: office expenses, vehicle (business portion), software subscriptions, marketing, professional fees. The estimated ITCs shown are illustrative — actual ITCs depend on which specific expenses were HST-bearing and the business-use portion of each.
Source: CRA GST/HST Guide RC4022 — General Information for GST/HST Registrants.
4. Quarterly Instalment Base
Per CRA, income tax is paid by instalments for a year when net tax owing is more than $3,000 ($1,800 for Quebec residents) in that year and in either of the two years before it.
- Estimated annual tax & CPP burden: $24,752
- Limit check for 2026: $24,752 > $3,000. The estimate is over the limit for this year. CRA's test also looks at the two years before.
- Quarterly instalment estimate: $24,752 ÷ 4 = $6,188
- Due dates: March 15, June 15, September 15, December 15
Source: CRA: Required tax instalments for individuals, who has to pay; CRA: Required tax instalments for individuals, payment due dates.
Estimate only — not tax advice. This calculator estimates the 2026 tax year and assumes self-employment income only, no employment income, no RRSP deductions, no dependent credits, and no PREC structure. This is an estimate based on CRA rules and engine calculations. Verify with your accountant or tax professional before making any filing or financial decision. Agent Runway is not a CPA firm.
Powered by Claude from Anthropic. Every calculation cites the CRA source it came from.
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Agent Runway tracks your GCI, expenses, and mileage in real time — and updates your tax estimate with every new deal. Quarterly instalment estimates, a per-deal tax portion, and an agentic Flight Crew that executes tasks for you.
How much tax does a Canadian real estate agent actually pay?
Short answer: it depends on province and net income. For the 2026 tax year, on $100,000 of net business income, the engine's estimate runs from 26.1% of that income in Nunavut to 33.5% in Nova Scotia. The engine counts self-employment income only, with the basic personal amounts and the CPP deduction and credit, and no other deductions or credits. An agent incorporated as a PREC is taxed differently.
Real estate agents in Canada are classified as self-employed independent contractors, which means you report commission income on CRA form T2125. Unlike employment income, commission income has no income tax withheld at source, so the tax is paid at filing time or through quarterly instalments.
What are the CRA quarterly instalment dates?
Short answer: Per CRA, instalment payments for individuals are due March 15, June 15, September 15 and December 15. Per CRA, income tax is paid by instalments for a year when net tax owing is more than $3,000 ($1,800 for Quebec residents) in that year and in either of the two years before it. Per CRA, instalment interest is charged on all late or insufficient instalment payments, compounded daily at the prescribed interest rate.
Per CRA, there are three options to calculate instalment payments: the no-calculation option, the prior-year option and the current-year option. Per CRA, under the no-calculation option the CRA determines the instalment amounts from the latest assessed tax return and shows them on the instalment reminders it sends. Per CRA, under the prior-year option the payer determines the instalment amounts from the tax return for the year before. Per CRA, under the current-year option the payer determines the instalment amounts from an estimate of the current year's net tax owing, CPP contributions payable and voluntary EI premiums. Source: CRA: Required tax instalments for individuals, options to calculate.
What business expenses can realtors deduct?
Short answer: Canadian realtors can deduct brokerage desk fees, MLS dues, licensing, vehicle expenses, marketing, home office, phone, software, professional development, and more. The CRA requires expenses to be incurred for the purpose of earning commission income.
For a vehicle, CRA asks for a record of the total kilometres driven and the kilometres driven to earn income; it describes a logbook of business trips kept for the year as the best evidence of business use. Home office is deductible based on the business-use percentage of your home (square footage) applied to utilities, property taxes, insurance, and mortgage interest (not principal). CCA (capital cost allowance) lets you depreciate vehicles, computers, and office equipment over multiple years.
See our full guide to CRA-eligible business expenses for Canadian real estate agents.
How does CPP work for self-employed realtors?
Short answer: For the 2026 tax year, a self-employed agent pays both the employee and employer portions of CPP: 11.90% of net self-employment income between $3,500 and $74,600, plus 8.00% (CPP2) of income between $74,600 and $85,000. A Quebec resident contributes to the Quebec Pension Plan (QPP) instead, at Quebec's own rates. The engine deducts half of the CPP contribution and all of the CPP2 contribution from income, and applies a non-refundable credit on the other half of CPP.
No CPP is charged on income above $85,000, so the 2026 contribution stops at $9,292.90: $8,460.90 of CPP plus $832.00 of CPP2.
Should I set up a Personal Real Estate Corporation (PREC)?
Short answer: A PREC is typically tax-advantageous once your net commission income consistently exceeds the small business deduction threshold (roughly $150,000 to $200,000 net). The corporate small-business tax rate is 9% federal plus 0%-4% provincial — much lower than personal marginal rates of 35%+ at that income level. Income left inside the corporation compounds at the lower rate. PRECs are permitted in Ontario, BC, Alberta, Saskatchewan, Manitoba, Nova Scotia, and are expanding to other provinces.
PRECs come with accounting complexity (separate corporate tax return, payroll, dividends, shareholder loans). Below $150,000 net, the administrative cost usually outweighs the tax savings. Talk to a CPA who works with real estate agents in your province before incorporating.
Frequently asked questions
How much tax does a Canadian real estate agent pay?
Canadian real estate agents are self-employed and pay federal income tax, provincial income tax, and CPP (or QPP in Quebec) contributions on their net commission income. For the 2026 tax year, on $100,000 of net business income, the engine's estimate runs from 26.1% of that income in Nunavut to 33.5% in Nova Scotia. The estimate moves with province and with net business income for the year, so no single percentage of a commission fits every agent.
Do real estate agents have to pay quarterly taxes in Canada?
Per CRA, tax instalments may apply when income does not have enough tax withheld, as with self-employment income. Per CRA, income tax is paid by instalments for a year when net tax owing is more than $3,000 ($1,800 for Quebec residents) in that year and in either of the two years before it. Per CRA, instalment payments for individuals are due March 15, June 15, September 15 and December 15. Per CRA, instalment interest is charged on all late or insufficient instalment payments, compounded daily at the prescribed interest rate.
How do I calculate my net income as a realtor?
Net income equals your gross commission income minus deductible business expenses. Deductible expenses include brokerage desk fees, MLS dues, vehicle expenses (using CCA and mileage), marketing, home office, phone, software subscriptions, professional development, and licence fees. Report everything on CRA form T2125 (Statement of Business or Professional Activities).
When does HST or GST registration apply for a realtor?
Per CRA, GST/HST registration is required once revenue from worldwide taxable supplies, before expenses, is over $30,000 in a single calendar quarter or over the last four consecutive calendar quarters. At or under that limit a person is a small supplier and registration is optional. A registrant charges GST or HST on commissions, depending on the province, and may claim input tax credits on eligible business expenses. This is an estimate based on CRA rules and engine calculations. Verify with your accountant or tax professional before making any filing or financial decision.
What CPP do I pay as a self-employed realtor?
For the 2026 tax year, a self-employed agent pays both the employee and employer portions of CPP: 11.90% of net self-employment income between $3,500 and $74,600, plus 8.00% (CPP2) of income between $74,600 and $85,000. A Quebec resident contributes to the Quebec Pension Plan (QPP) instead, at Quebec's own rates. The engine deducts half of the CPP contribution and all of the CPP2 contribution from income, and applies a non-refundable credit on the other half of CPP.
When does incorporating as a PREC become tax-relevant?
Incorporating as a Personal Real Estate Corporation (PREC) may become tax-relevant once net income consistently exceeds the small business deduction threshold (roughly $150,000 to $200,000 net), because corporate small-business rates are lower than personal marginal rates at those levels. PRECs are permitted in Ontario, British Columbia, Alberta, Saskatchewan, Manitoba, Nova Scotia, and increasingly others. This is general information based on rules published by the CRA — verify with a CPA familiar with real estate before making any incorporation decision.
Is this calculator accurate?
The estimator runs the same tax engine as the Agent Runway dashboard. The engine's federal brackets (14% to 33%), federal basic personal amount ($16,452) and CPP figures are CRA's for the 2026 tax year. It also holds a bracket table and a basic personal amount for each province and territory. The engine counts self-employment income only, with the basic personal amounts and the CPP deduction and credit, and no other deductions or credits. This is an estimate based on CRA rules and engine calculations. Verify with your accountant or tax professional before making any filing or financial decision.
How is this different from Agent Runway's full product?
This free calculator gives you a one-time tax estimate. The full Agent Runway product tracks your GCI, expenses, and mileage in real time; updates your tax estimate with every new transaction; shows quarterly instalment estimates and a per-deal tax portion; and includes an agentic Flight Crew that can execute tasks like logging deals, drafting client outreach, and updating your pipeline — all with human approval.
Free download
Want the figures on a printable card?
The Canadian Realtor Tax Cheat Sheet puts every 2025 bracket, CPP rate, GST/HST threshold, and deadline on a single page — CRA-cited.
Keep reading
T2125 guide for realtors
Line-by-line walkthrough of the CRA Statement of Business Activities for real estate agents.
Read more
How much of each deal is estimated for tax
The CRA rules, and the tax engine's estimate by province.
Read more
Eligible business expenses
CRA-eligible deductions for Canadian real estate agents.
Read more
Annual tax planning
Year-round tax planning strategy for Canadian realtors.
Read more
Commission calculator
What you actually keep from a single deal after splits, fees, and tax.
Read more
What is financial runway?
How long you can cover business costs if no new deals close.
Read more
Tax is one number.
You have thirty.
Agent Runway is an agentic business operating system for Canadian real estate agents. Every deal updates your income, tax estimate, pipeline forecast, and Runway Score. The Flight Crew doesn’t just answer questions — it logs deals, drafts client outreach, and updates your pipeline with a single approval.
This calculator is an estimate only and not tax advice. This is an estimate based on CRA rules and engine calculations. Verify with your accountant or tax professional before making any filing or financial decision.