Canadian Tax Freedom Day arrived on June 14
On Friday, June 14 Canadians celebrated Tax Freedom Day, they day when they start working for themselves, not government.
Tax Freedom Day measures the total yearly tax burden imposed on Canadian families by federal, provincial and municipal governments.
“If Canadians paid all their taxes up front, they would work the first 164 days of this year before bringing any money home to their families,” said Finn Poschmann, resident scholar at the Fraser Institute.
In 2019, the average Canadian family (with two or more people) will pay $52,675 in total taxes. That’s 44.7 per cent of its annual income ($117,731) going to income taxes, payroll taxes (including the Canada Pension Plan), health taxes, sales taxes (like the GST), property taxes, fuel taxes, carbon taxes, “sin” taxes and more.
Represented as days on the calendar, the total tax burden comprises more than five months of income—from January 1 to June 13.
“Tax Freedom Day helps put the total tax burden in perspective, and helps Canadians understand just how much of their money they pay in taxes every year,” Poschmann said.
Calculate your personal Tax Freedom Day using the Fraser Institute’s online calculator at www.fraserinstitute.org.