Tax Freedom Day in Canada Falls on June 9th
June 10, 2014 Taxation in Canada
VANCOUVER – Tax Freedom Day has come in Canada, although the date is falling later in the year as taxes rise faster than incomes.
This year Tax Freedom Day in Canada fell on June 9th, one day later than in the previous year, according to a new report issued by the Canadian non-government organization the Fraser Institute.
In the report the authors explained that the calculation of the date of Tax Freedom Day is invaluable to help taxpayers understand the full tax burden placed on them by the government, as “…it’s nearly impossible for Canadian families to know all the taxes they pay because governments levy such a wide range of taxes including income taxes, payroll taxes, health taxes, sales taxes, property taxes, fuel taxes, vehicle taxes, profit taxes, import taxes, ‘sin’ taxes on liquor and tobacco, and more.”
According to the findings in the report, in 2014 the average household in Canada will face a total tax bill of approximately CAD 43 435, or more than 43 percent of its cumulative income.
This year’s delay in the fall of Tax Freedom Day was cause by the fact that while income levels rose by 2.1 percent, they were outstripped by the growth of tax obligations, which rose by 3.2 percent.
The researchers especially pointed out that “… Tax Freedom Day would come five days later this year, on June 14, if Canadian governments covered their current spending with even greater tax increases instead of borrowing the shortfall.”
Photo by: abdallahh