You may think it’s over, but it’s not.
Although most Americans have filed taxes by this year’s April 18 due date, they have to work another week to reach Tax Freedom Day.
In other words, taxpayers had to work 114 days this year to pay off total tax debts; if you include annual federal borrowing, Tax Freedom Day would be May 8 – nearly half a year.
According to the Tax Foundation, established 1937:
• Americans must work 114 days to pay off taxes.
•This year, Tax Freedom Day falls on April 24, or 114 days into the year.
• Americans will pay $3.3 trillion in federal taxes and $1.5 trillion in state and local taxes, for a total bill of more than $4.8 trillion, or 31 percent of the nation’s income
• Tax Freedom Day is one day later than last year due mainly to the country’s continued steady economic growth, which is expected to boost tax revenue especially from the corporate, payroll, and individual income tax.
• Americans will collectively spend more on taxes in 2015 than they will on food, clothing, and housing combined.
• If you include annual federal borrowing, which represents future taxes owed, Tax Freedom Day would occur 14 days later on May 8.
•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.