The aim of this study was to determine the salt tolerance of pepper (Capsicum annuum L.) under greenhouse conditions and to examine the interactive effects of salinity and nitrogen (N) fertilizer levels on yield. The present study shows the effects of optimal and suboptimal N fertilizer levels (270kg ha(-1) and 135kg ha(-1)) in combination with five different irrigation waters of varying electrical conductivity (EC) (ECiw = 0.25, 1.0, 1.5, 2.0, 4.0, and 6.0 dS m(-1)) and three replicates per treatment. At optimal N level, yield decreased when the irrigation water salinity was above ECiw 2 dS m(-1). At the suboptimal N level, a significant decrease in yield occurred only above ECiw 4 dS m(-1). At high salinity levels the salinity stress was dominant with respect to yield and response was similar for both N levels. Based on the results it can also be concluded that under saline conditions (higher than threshold salinity for a given crop) there is a lesser need for N fertilization relative to the optimal levels established in the absence of other significant stresses.