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Today is Tax Freedom Day in Canada – meaning you're no longer working to pay the taxman and, in theory, your paycheques for the rest of the year will go into your own pocket.
The Fraser Institute says 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,” says spokesperson Finn Poschmann.
In 2019, the average Canadian family (with two or more people) will pay $52,675 in total taxes, he says. 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, property taxes, fuel taxes, carbon taxes, “sin” taxes and more.
“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 says.
Depending on where you live, you might even be a little ahead of the game – or further behind.
Tax Freedom Day varies by province, depending on taxation levels. Here's a breakdown:
