Tax Freedom Day ®

America Celebrates Tax Freedom Day®

Tax Freedom Day® is the day when the nation as a whole has earned enough money to pay off its total tax bill for the year. Tax Freedom Day provides Americans with an easy way to gauge the overall tax take-a task that can otherwise be daunting due to the multiplicity of taxes at various levels of government and "hidden" taxes and fees that are often buried in the cost of living. Tax Freedom Day computed by dividing total tax collections by the nation's income, as reported by the Bureau of Economic Analysis. Every dollar that is officially called income by the government is counted, and every payment that is officially considered a tax is counted. The resulting percentage is then converted into days of a 365-day calendar year.

Tax Freedom Day 2014 is April 21st, three days later than last yearIn 2014, Americans will pay $3.0 trillion in federal taxes and $1.5 trillion in state taxes, for a total tax bill of $4.5 trillion, or 30.2 percent of income.. To read the full report, click here.

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