If you’re an employee, your employer will deduct income tax from your pay cheque. This is known as tax deductions at source. Reducing the amount of tax withheld will increase your net take-home pay.
Tax
How do income tax deductions and benefits work?
Find out more about how income tax works, including tax deductions and tax credits, and try our interactive chart to see what tax bracket you are in.
Understanding the tax deductions on your pay stub
Your pay stub summarizes your employment earnings and other deductions for tax, EI, and CPP. Learn more about how these are calculated.