As indicated by the Fraser Institute, June 6, 2011 marks tax freedom day! Canadians start working for themselves after paying off the total tax bill imposed on them by all levels of government. So what does that mean?
According to the Fraser Institute, Tax Freedom Day is a representation of the amount of tax the average Canadian family must pay to all levels of government. If Canadians were required to pay all of their taxes up front, they would have to pay each and every dollar they earned to governments prior to Tax Freedom Day.
Tax Freedom Day varies from province to province, depending on the taxation levels of provincial and local governments. Alberta continues to enjoy the earliest Tax Freedom Day on May 18, followed by Prince Edward Island on May 27, then New Brunswick on May 31. Manitoba’s Tax Freedom Day falls on June 1, followed by Ontario (June 4), Saskatchewan and British Columbia (June 6), Nova Scotia (June 7), and Quebec on June 10. Newfoundland and Labrador has the latest Tax Freedom Day, June 19.
All Canadian provinces, except Saskatchewan and Newfoundland and Labrador, experienced a later Tax Freedom Day in 2011 than in 2010. Quebec recorded the largest increase in Tax Freedom Day, four days later than in 2010. Detailed information on what Canada’s tax freedom day means to all employees can be found on the Fraser Institute website.
To highlight the wide array of taxes imposed on Canadians and to celebrate Tax Freedom Day in 2011, the Fraser Institute produced a new, humorous country music video that can be viewed at www.youtube.com and www.fraserinstitute.org.