Yukon Income Tax Calculator 2026

Yukon tax calculator example: $120,000 salary

Yukon tax is calculated on Form YT428 using 5 territorial brackets. Unlike most provinces, Yukon also gives employees a Canada employment amount like the federal one. On a $120,000 salary, taxable income after the enhanced CPP deduction is $118,873, and gross Yukon tax is $9,211.70.

Credits come off at 6.4%. They cover the basic personal amount, base CPP, EI and the Yukon employment amount (the lesser of your pay and $1,501),, totalling $1,446.11, leaving $7,765.59 of Yukon tax. Federal tax is $17,502 and CPP and EI come to $5,770, so take-home pay is $88,963, or $7,414 a month.

Northern residents deductions for Yukon residents (Form T2222)

All of Yukon is in the prescribed northern zone (zone A), so Yukoners who lived there for six months in a row can claim the northern residents deductions. You can also claim it on your federal TD1 (alongside the TD1YT 2026) so less tax is withheld. A single person who lives in their own home in Whitehorse for all of 2026 can deduct $8,030. At $120,000 of salary, that saves about $2,504 of combined federal and Yukon tax.

• Residency deduction, basic: $11 for each day you lived in the zone. The amount is written into section 110.7 of the Income Tax Act and is not indexed.
• Residency deduction, additional: another $11 a day if you kept and lived in a dwelling there and nobody else in it claims the basic amount for that dwelling. The total residency deduction cannot exceed 20% of your net income for the year.
• Travel deduction: the lowest of (1) the taxable travel benefit your employer reported, or instead a share of a $1,200 standard amount per person for all trips in the year, (2) what the trip actually cost and (3) the lowest return airfare to the nearest designated city. Up to two non-medical trips per person, any number of medical trips.
• Six-month rule: you must have lived in a prescribed zone on a permanent basis for at least six consecutive months beginning or ending in the year. Claim on Form T2222 and enter the total on line 25500.

Yukon credits and payments to know about

Besides the basic personal and employment amounts, the CRA lists these Yukon items for the 2025 return:

• Children’s fitness tax credit: the refundable part is 6.4% of up to $1,000 of eligible fees per child under 16 (under 18 if eligible for the disability tax credit), plus an extra $500 for a child with a disability if at least $100 of fees was paid.
• Yukon child benefit: up to $80.50 a month per child under 18, reduced once adjusted family net income is above $35,000. It is paid with the Canada child benefit.

High earners: the Yukon basic personal amount phase-down

At $220,000 of income the Yukon amount is $15,640, not the full $16,452. That makes the marginal rate in the phase-down range slightly higher than the bracket rate alone: the calculator gives 42.2% combined at $220,000. Above $500,000 the 15% rate applies.

Salary after tax: Yukon vs British Columbia, Alberta and the NWT

Single employee, 2026, $120,000, no northern deductions: