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Statement on Tax Freedom Day




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April 12, 2012 | 1726 views | 3 comments

By Peggy Venable, AFP-Texas Director

AUSTIN -- April 15th may be what we consider as tax day, but for the taxpayer, April 17 may better depict their true tax day. April 17 represents Tax Freedom Day is April 17, the symbolic date on which Americans finish paying taxes and started being able to spend the money they earn.

Tax Freedom Day is four days later than last year and is was three days later in 2011 than it was in 2010.

Tax Freedom Day calculates when the average taxpayer has worked to pay all their taxes. The Tax Foundation calculates the data and found that Americans will spend more in taxes in 2012 than they will on food, clothing and housing combined.

Americans work 107 days on average until April 17 to pay state, local and federal taxes.

While Texans have done a better job keeping taxes down, Tax Freedom Day for Texans is Wednesday, April 11 but was April 7 in 2011.

The size of government is one of the key indicators in determining economic freedom. The US has fallen from 3rd to 10th in the Fraser Institute’s Economic Freedom ranking and economists are anticipating a fall to 15th or 10th in the next decade if we do not make some policy changes.

Americans should also realize that federal government taxes aren’t enough to cover the federal budget. An additional $1.014 trillion is needed to pay for all of the obligations and that would put the real Tax Freedom Day at May 14. That represents an additional 27 days of federal spending financed by borrowing.

Americans for Prosperity-Texas has traveled the state giving a presentation on economic freedom and educating on the policies which have taken the United States from number three on the international economic freedom ranking to number ten. While the public is aware of federal government debt, AFP-Texas has also worked to educate Texans on local government debt. Texas is number two in the nation in local government debt.

Tax Freedom Day in Texas does not include the cost of state and local government debt. Debt in Texas is 85% local and that totals $322 billion with principal and interest added together. The Texas Bond Review Board calculates debt and finds that school districts carry the majority of the local debt and interest, hitting $108 billion last year.

Tax Freedom Day is a vivid, calendar-based illustration of the cost of government, reminding taxpayers of how long they work to pay for the government. But with government debt so high, not only do we need to work longer to pay for government, but we are leaving a legacy of debt for our children and grandchildren.
 
« Previous Blog Entry (April 4, 2012)
 


Your Opinions and Comments
 
The Marcelina Muse  
Dry Tank, TX  
April 13, 2012 10:29am
 
 
Aiding and Abetting. The unions are Aiding and Abetting.
 
 
Rock'n chair Rambler  
Over Taxed, TX  
April 13, 2012 9:10am
 
 
"Americans will spend more in taxes in 2012 than they will on food, clothing and housing combined."

And what are the Obama union thugs doing about this?.... ... Read More Read More
 
 
Elaine K.  
Floresville  
April 12, 2012 3:16pm
 
 
New post.
 

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