CHICAGO—The Washington-based nonpartisan Tax Foundation has released this year’s date for “Tax Freedom Day,” which is the same as last year: April 16.
“Tax Freedom Day is a significant date for taxpayers and lawmakers because it represents how long Americans as a whole have to work in order to pay the nation’s tax burden,” states the Tax Foundation.
“The Tax Foundation is a most valuable resource for taxpayers, tax-fighters, and elected officials,” said Jim Tobin, president of Taxpayers United of America (TUA). “We rely on the foundation’s high-quality research and impeccable reputation.”
“As defined by the foundation, Tax Freedom Day is the day when the nation as a whole has earned enough money to pay its total tax bill for the year. Tax Freedom Day takes all federal, state, and local taxes and divides them by the nation’s income.”
The report states that in 2019, Americans will pay $3.42 trillion in federal taxes and $1.86 trillion in state and local taxes, for a total tax bill of $5.29 trillion, or 29 percent of national income. This year, Tax Freedom Day falls on April 16, or 105 days into the year.
“Since 2002, federal expenses have surpassed federal revenues, with the budget deficit exceeding $1 trillion annually from 2009 to 2012. If we include this annual federal borrowing, which represents future taxes owed, Tax Freedom Day would occur on May 8, 22 days later,” according to the foundation.
“To illustrate just how much value these taxes are eating up, the report reveals that Americans will collectively spend more on taxes in 2019 than they will on food, clothing, and housing combined,” said Tobin.