Taxes are the largest Canadian household expense

by in Tax Advice Information and Updates
Taxes are the largest Canadian household expense
The Fraser Institute recently published the 2017 edition of its Canadian Consumer Tax Index Report.  And not surprising anyone, the report shows that taxes are now the largest Canadian household expense.

The Canadian Consumer Tax Index tracks the total tax bill of the average Canadian family from 1961 to 2016.  The report includes all types of taxes and that bill has increased by 2,006% since 1961. 

According to the report, taxes have increased at such a rapid rate, more than any other single expenditure for the average Canadian family such as shelter (up by 1,527%), clothing (by 677%) and food (by 639%) from 1961 to 2016.

It is important to note that the 2,006% in the average Canadian family’s tax bill has greatly outpaced the increase in the Consumer Price Index (718%).

In the report, the average Canadian family now spends 42.5% of its income on taxes, more than it does any other basic necessity such as food, shelter and clothing combined (37.4%).  In 1961, the average Canadian family spent 33.5% of its income on taxes and 56.5% on basic necessities.

In 2016, the average Canadian family’s income was $83,105 and $35,283 went to taxes.  In 1961, the average Canadian family’s income was $5,000 and $1,675 went to taxes. 

What do you think of these figures? Do you think we are getting our money’s worth? Tell us your thought!

Source: https://www.fraserinstitute.org/sites/default/files/canadian-consumer-tax-index-2017.pdf
Rate this blog entry:
0
KD PROFESSIONAL is a group of interconnected companies offering a wide range of financial, accounting and tax services to individuals and businesses across Canada.

Through our experienced staff and strategic alliances, we provide exemplary service and solutions to maximize your cash flow, while preserving Wealth.

Comments

  • No comments made yet. Be the first to submit a comment

Leave your comment

Guest
Guest Saturday, 18 November 2017
Subscribe

If you have a question about one of our products or services, please do not hesitate to contact us!
Please Enter Your Name
Please Enter A Valid Email
Please Enter Your Phone Number
Please select your preferred method of contact.
Refresh Please letters shown!

KD Professional Services
Monday-Friday 9am- 5pm
102, 221 18th Street SE
Calgary, AB, T2E 6J5

403-219-0602
403-219-0603

Read our Tweets