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What is Tax Freedom Day

The Fraser Institute has been researching the comprehensive tax burden for the average family in Canada, and each of the provinces, since 1977.

According to the Institute’s annual Tax Freedom Day calculations, in 2002 Canadians worked until June 27 to pay the total tax bill imposed on them by all levels of government. This is two days later than in 2001, when Tax Freedom Day fell on June 26. The calculation allows ordinary Canadians to have a clear understanding of the level of taxation they face. All money earned prior to Tax Freedom Day goes to one of three levels of government: federal, provincial, or local.

The taxes used to calculate Tax Freedom Day include income taxes, property taxes, sales taxes, as well as profit taxes, health, social security and employment taxes, import duties, license fees, taxes on the consumption of alcohol and tobacco, and many other levies.

Canadians can calculate their personal tax bill using the Institute’s Personal Tax Freedom Day Calculator.