Average Canadian family spends 43% of income on taxes: study

Fraser Institute’s consumer report shows taxes accounting for larger chunk of income each year

The average Canadian family spent 43 per cent of their income on taxes in 2017, a new Fraser Institute study suggests.

While a family earned about $85,883 in annual income, they paid a total of $37,058 in municipal, provincial and federal taxes, according to the annual consumer report released Tuesday by the right-leaning think-tank.

That’s compared to $30,597 on other necessities like rent or mortgage payments, food and clothing.

“Many Canadians will be surprised to learn that taxes — and not life’s basic necessities, including housing — are the biggest household expense,” report co-author Charles Lammam said in a news release.

When the institute started tracking household tax spending in 1961, the average Canadian family spent about 33.5 per cent of their on taxes and 56.5 per cent on basic necessities.

The report says even after accounting for inflation, the tax bill has gone up 166 per cent since then.

“Taxes help fund important public services that Canadians rely on, but the issue is the amount of taxes governments take compared to what Canadians get in return,” Lammam said.

“With 43 per cent of their income going to taxes, Canadians might ask whether they’re getting the best value for their tax dollars.”


@ashwadhwani
ashley.wadhwani@bpdigital.ca

Like us on Facebook and follow us on Twitter.

Just Posted

MLA Ron Orr speaks on UCP’s record, global economy

Ponoka and Disctrict Chamber of Commerce monthly lunch meeting

Ponoka Silver Valley 4H Riders visit Nova Scotia

Local 4-H club enjoys the second leg of their club to club exchange

Klaglahachie Fine Arts Society receives sizeable grant

Theatre group presented with $13,476

TRC impressed with first time finals showcase in Ponoka

Huge team roping event brings in big numbers — riders and prize money

Maskwacis now has permanent library

Only one of two in province

Red Deer Rebels fall to Edmonton in home opener 4-2

Red Deer will play the second of a home and home on Sunday

STARS airlifts two to hospital early Saturday morning

Patients thought to be around 16 and 20 years old

Handgun crackdown, health spending and transit plans latest campaign promises

Friday was the end of a busy week on the campaign trail

Iconic 90s TV show ‘Friends’ celebrates 25th anniversary

The iconic, decade-long television show aired its first episode 25 years ago today

Expert says acquittal of Alberta parents in boy’s death unlikely to set precedent

The Stephans testified they thought their son had croup and used herbal remedies to treat him

Air Canada forced girl, 12, to remove hijab: civil rights group

The San Francisco Bay Area office of the Council on American-Islamic Relations calling for change

Man from Winnipeg who was hiking alone found dead in Banff National Park

RCMP say the man was hiking alone on Mount Temple Thursday

Singh campaigns in Toronto, May in Winnipeg, as Liberal and Tory leaders pause

All parties expected to be back on the campaign trail Sunday

Most Read