The Canadian Taxpayers Federation released its annual New Year’s Tax Changes report today to highlight the major tax changes in 2026.

“The Manitoba government is making most Manitobans pay more taxes next year,” said Gage Haubrich, CTF Prairie Director. “Premier Wab Kinew’s sneaky bracket creep tax hike and property tax changes are leaving many Manitobans with higher tax bills that they can’t afford.”

Bracket Creep: The government stopped indexing income tax brackets to inflation in Budget 2025. That’s a stealth tax hike called bracket creep. It means that inflation can automatically bump taxpayers into a higher tax bracket and increase their tax bill.

Bracket creep will cost taxpayers $82 million in 2025. The cost to taxpayers will increase every year due to inflation.

Education Property Tax: The Manitoba government replaced the 50 per cent school property tax rebate and $350 education property tax credit to a flat $1,500 tax credit for principal residences only in 2025.

About 55 per cent of Winnipeg property owners are paying higher property taxes under the new system, according to the city of Winnipeg. Education property taxes will still cost taxpayers about $206 million more this year compared to last year.

The government is increasing the rebate from $1,500 to $1,600 for 2026.

A Winnipeg family making $75,000 pays about $5,830 in provincial taxes every year. That’s more than a similar family living in Regina, Calgary, Vancouver, Toronto, or Montreal.

“Manitobans are overtaxed and need serious relief to make life more affordable and the economy more competitive,” said Haubrich. “Instead of hiking taxes, Kinew should be focused on taking less out of Manitobans pockets every year, not more.”

The federal government’s income tax cut will save the average taxpayer $190 in 2026, according to the Parliamentary Budget Officer. The federal government is also increasing payroll taxes, the industrial carbon tax and alcohol taxes in 2026.

You can read the CTF’s New Year’s Tax Changes report here.