Canadians Celebrate Tax Freedom Day on June 6, 2009
On Tax Freedom Day, the average Canadian family has earned enough money to pay the taxes imposed on it by the three levels of government: federal, provincial, and local.
- On Tax Freedom Day, the average Canadian family has earned enough money to pay the taxes imposed on it by the three levels of government: federal, provincial, and local.
- In 2009, Canadians celebrate Tax Freedom Day on June 6, which means that Canadians will work until June 5 to pay the total tax bill imposed on them by all levels of government.
- Tax Freedom Day in 2009 arrives three days earlier than in 2008, when it fell on June 9.
- Tax Freedom Day came earlier in 2009 than 2008 due to some minor tax relief. However, much of the decline had nothing to do with tax reduction by either the federal or provincial governments. Given the progressive nature of the Canadian tax system, when the economy slows and incomes stagnate or decline, the tax burden of affected families tends to be reduced to a greater extent than their incomes.
- The latest Tax Freedom Day in Canadian history was in 2000, when it fell on June 24; this is almost two months later than in 1961, the earliest year for which the calculation has been made. Since 2005, Tax Freedom Day for the average Canadian family has steadily decreased.
- In 2009, the average Canadian family earned $88,432 in income and paid a total of $37,699 in taxes (42.6 percent).
- Tax Freedom Day for each province varies according to the extent of the provincially levied tax burden. The earliest provincial Tax Freedom Day fell on May 16 in Alberta.
- If, instead of financing their expenditures by deficits, Canadian governments had simply increased tax rates to balance their budgets, the average Canadian family would have to work until June 24 to pay their tax bill. Put differently, the Balanced Budget Tax Freedom Day arrives on June 25, 19 days later than Tax Freedom Day.
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