US Tax Freedom Day Falls on April 24th
April 7, 2016 Taxation in USA
WASHINGTON D.C. – The average American will spend 114 days working to simply pay their taxes for the year, and will spend more on taxes in 2016 then they will on food, clothing, and housing.
Tax Freedom Day in the USA will fall on April 24th this year, according to new information released by the US think tank the Tax Foundation on April 6th.
The average taxpayer in the USA would need to work approximately 114 days a year in order to pay off their annual tax obligation, with 46 of those days spent paying for income taxes, 26 days for payroll taxes, 15 days for excise taxes, 11 days for property tax, 9 days for corporate income tax, and 7 days for estate tax, inheritance tax, customs duties, and other taxes.
The cumulative amount to be paid in taxes by US taxpayers over the course of 2016 is expected to be more than the combined amount to be spent by all Americans on food, housing and clothing.
In its report the Tax Foundation noted that the calculation of Tax Freedom Day does not take into account the total level of government spending, and added that if this factor was included the date would move to May 10th.
Due to the variations in state taxes between states in the USA, the date of Tax Freedom Day varies regionally, with Mississippi ushering in the day first on April 5th while Connecticut comes last on May 21st.
Photo by: John Morgan