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Basic Personal Amount (BPA) 2027: Federal & Alberta

The basic personal amount is, in effect, the income you can earn before owing income tax at each level of government: a credit cancels the tax on that much income. The 2027 amounts are indexed to inflation and not yet published. Below is exactly how each will be set, with the official 2026 amounts for comparison.

Federal Basic Personal Amount 2027

Pending The 2027 federal basic personal amount is not yet announced. Expected to be announced in mid-to-late November 2026; this page updates the day it's published.

The 2027 indexation rate uses consumer prices through September 2026, which Statistics Canada releases on October 19, 2026. CRA posted the indexed federal amounts for 2025 on November 15, 2024 and for 2026 on November 24, 2025.[1, 2, 3, 4, 5]

2027 federal basic personal amount compared with 2026
Item20272026 for comparison
Basic personal amount (maximum)Pendingexpected mid-to-late Nov 2026$16,452[6]
Minimum amount for high incomesNet income at or above the start of the 33% bracketPendingexpected mid-to-late Nov 2026$14,829[6]
Phase-out range (net income)Pendingexpected mid-to-late Nov 2026$181,440 – $258,482[6, 7]
Credit rate14%[8, 9]Set in law14%[8]
Credit valuedrained.ca arithmetic: amount times credit ratePendingexpected mid-to-late Nov 2026$2,303.28[6, 8]

Indexed each year. The full amount applies up to the income at which the 29% bracket begins; it is reduced in a straight line to the minimum amount at the income at which the 33% bracket begins.[10, 11] The 2027 indexation rate is set by formula: Average CPI for the 12 months ending September 30, 2026, divided by the average for the previous 12 months, minus 1, rounded to the nearest 0.1%.[11]

Alberta Basic Personal Amount 2027

Pending The 2027 Alberta basic personal amount is not yet announced. Expected to be announced in November 2026; this page updates the day it's published.

The 2027 escalator uses Alberta consumer prices through September 2026, which Statistics Canada releases on October 19, 2026. Alberta's 2026 amounts were published in CRA's January 2026 payroll formulas (T4127, 122nd edition) by November 19, 2025.[1, 12]

2027 Alberta basic personal amount compared with 2026
Item20272026 for comparison
Basic personal amountPendingexpected Nov 2026$22,769[13]
Credit rate8%[14]Set in law8%[14]
Credit valuedrained.ca arithmetic: amount times credit ratePendingexpected Nov 2026$1,821.52[13, 14]

The 2026 amount increased by the 2027 Alberta escalator and rounded to the nearest dollar. It does not phase out at higher incomes.[14] The increase is the lesser of 2% and Alberta inflation over the 12 months to September 30, unless the province sets a different rate by regulation[14, 15]. Alberta's consumer prices were 3.8% higher in August 2026 than a year earlier[16]. When inflation runs above the cap, the amount falls behind prices.

How the BPA Actually Works

The BPA is not a deduction. It is a non-refundable tax credit: your tax is worked out on your full taxable income, then the BPA times the credit rate is subtracted. It can cut your income tax to zero, but it never pays you anything back.

So the BPA is worth 14% of the amount federally and 8% in Alberta. In 2026 that is at most $2,303.28 and $1,821.52: $4,124.80 a year combined, and less if your income tax is smaller than the credit.

See Your Complete Tax Calculation

The BPA is one piece. The calculator works out your federal and Alberta income tax, CPP and EI, and shows where the money goes. It uses 2026 rates until every 2027 figure is published.

Open the tax calculator

Frequently Asked Questions

What is the basic personal amount for 2027?

The 2027 federal amount has not been announced yet; it is expected in mid-to-late November 2026. In 2026 it is $16,452. Alberta's 2027 amount has not been announced yet; it is expected in November 2026. In 2026 it is $22,769.

How much will the basic personal amount go up in 2027?

The federal amount moves with Canada's consumer price index over the 12 months to September 30, 2026 (it rose 2% for 2026). Alberta's moves by the lesser of 2% and Alberta's inflation over the 12 months to September 30, 2026, unless the province prescribes a different rate (it rose 2% for 2026).

Does the federal basic personal amount phase out for high earners?

Yes. By law the full amount applies up to the net income at which the 29% bracket begins, then shrinks in a straight line to a minimum at the income where the 33% bracket begins. In 2026 that means $16,452 up to $181,440 of net income, falling to $14,829 at $258,482. Alberta's amount does not phase out.

How much is the basic personal amount worth?

It is a non-refundable credit, so it is worth the amount times the credit rate: 14% federally and 8% in Alberta, both fixed in law for 2027. In 2026 that is $2,303.28 federally and $1,821.52 in Alberta, $4,124.80 combined.

Sources

Each bracketed number on this page links to the document below that contains the figure, with the table, row or section. Checked against these documents on September 28, 2026.

  1. [1]Statistics Canada, The Daily — Consumer Price Index, August 2026, published September 14, 2026. Where: Section "Next release" ("The CPI for September will be released on Monday, October 19.").
  2. [2]Internet Archive (capture of a Canada Revenue Agency page), CRA "Indexation adjustment for personal income tax and benefit amounts", captured 2024-11-07. Where: Table "Indexation increase per year" ends at 2024.Note: The latest year shown is 2024.
  3. [3]Internet Archive (capture of a Canada Revenue Agency page), CRA "Indexation adjustment for personal income tax and benefit amounts", captured 2024-11-19. Where: Page's modified date (2024-11-15); table "Indexation increase per year" includes 2025.Note: The first capture that shows the 2025 column; the page's modified date is 2024-11-15.
  4. [4]Internet Archive (capture of a Canada Revenue Agency page), CRA "Indexation adjustment for personal income tax and benefit amounts", captured 2025-11-21. Where: Table "Indexation increase per year" ends at 2025.Note: The latest year shown is still 2025.
  5. [5]Internet Archive (capture of a Canada Revenue Agency page), CRA "Indexation adjustment for personal income tax and benefit amounts", captured 2025-11-25. Where: Page's modified date (2025-11-24); table "Indexation increase per year" includes 2026.Note: The first capture that shows the 2026 column; the page's modified date is 2025-11-24.
  6. [6]Canada Revenue Agency, Indexation adjustment for personal income tax and benefit amounts, last modified March 12, 2026. Where: Table "Amounts relating to non-refundable tax credits", row "Basic personal amount (maximum) …", column 2026; Table "Amounts relating to non-refundable tax credits", row "Basic personal amount for individuals whose net income for the year is greater than or equal to the amount at which the 33% tax bracket begins", column 2026; Table "Tax bracket thresholds", column 2026.Note: Columns 2023 to 2026 on 2026-09-28; no 2027 column.
  7. [7]Canada Revenue Agency, T4127-JAN Payroll Deductions Formulas, 122nd Edition (effective January 1, 2026), Table 8.1 "Rates (R, V), income thresholds (A), and constants (K, KP) for 2026" (CSV). Where: Row "Federal A".
  8. [8]Department of Justice Canada (Justice Laws Website), Income Tax Act, section 248 (definitions; consolidated, current to 2026-09-21). Where: s. 248(1), definition of "appropriate percentage" (the lowest percentage in s. 117(2)).
  9. [9]Department of Justice Canada (Justice Laws Website), Income Tax Act, R.S.C. 1985, c. 1 (5th Supp.), section 117 (consolidated; current to 2026-09-21, last amended 2026-06-18). Where: s. 117(2)(a) (14%).
  10. [10]Department of Justice Canada (Justice Laws Website), Income Tax Act, section 118 (personal credits; consolidated, current to 2026-09-21). Where: s. 118(1.1), definition of basic personal amount (elements A, F and E).
  11. [11]Department of Justice Canada (Justice Laws Website), Income Tax Act, section 117.1 (annual adjustment; consolidated, current to 2026-09-21). Where: s. 117.1(2)(f) and (g); s. 117.1(1)(b)(ii), formula (A/B) − 1.
  12. [12]Internet Archive (capture of a Canada Revenue Agency page), CRA "T4127-JAN Payroll Deductions Formulas - 122nd Edition - Effective January 1, 2026" landing page, captured 2025-11-20. Where: Landing page, "Last update: 2025-11-19".Note: Earliest capture from October 1, 2025 onward; the page reads "Last update: 2025-11-19".
  13. [13]Canada Revenue Agency, T4127-JAN Payroll Deductions Formulas, 122nd Edition (effective January 1, 2026), "Other rates and amounts" (CSV). Where: Row "AB", column "Basic amount".
  14. [14]Alberta King's Printer, Alberta Personal Income Tax Act, RSA 2000, c A-30 (office consolidation, current as of December 11, 2025). Where: s. 4 ("The specified percentage for the 2025 taxation year and subsequent taxation years is 8%") and s. 8(1); s. 8(1)(c) ("Basic personal credit - single status") and s. 44.2(1) and (4); s. 44.2(0.1)(b)(i) ("the lesser of (i) 2%, and (ii) …"); s. 44.2(0.1), (0.2), (0.3) and (3).
  15. [15]Alberta King's Printer, Financial Statutes Amendment Act, 2024 (No. 2), SA 2024, c 15 (Bill 32), assented to December 5, 2024, published December 5, 2024. Where: s. 2(11)(a), adding s. 44.2(0.1) for calendar years after 2025.
  16. [16]Statistics Canada, The Daily — Consumer Price Index, August 2026, Table 2: Consumer Price Index for the provinces and for Whitehorse, Yellowknife and Iqaluit – Not seasonally adjusted, published September 14, 2026. Where: Row "Alberta", column "August 2025 to August 2026" (% change); index 172.6 in August 2025 and 179.2 in August 2026 (2002=100).