12:00 am
April 2, 2013
The Tax Foundation today released its annual Tax Freedom Day report.
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… In 2013, Americans will pay $2.76 trillion in federal taxes and $1.45 trillion in state taxes, for a total tax bill of $4.22 trillion, or 29.4 percent of income. April 18 is 29.4 percent, or 108 days, into the year.
That’s five days later than last year, largely due to
the fiscal cliff deal that raised federal taxes on individual income and payroll. Additionally, the Affordable Care Act’s investment tax and excise tax went into effect.
Federal taxes make up most of the tax burden, as noted above, which means states with a lot of high-earners typically rank higher on tax burden analyses with include federal taxes. When the Tax Foundation releases its separate study focusing on state/local taxes, Washington will most likely come in lower. The Tax Foundation page on Washington is here.
Categories: Categories , Current Affairs , Tax Policy.