Fraser Institute News Release: The average Canadian family paid more in 2023 on taxes than it did on housing, food and clothing combined
July 30 2024 - 5:00AM
The average Canadian family spent 43.0 per cent of its income on
taxes in 2023—more than housing, food and clothing costs combined,
finds a new study published by the Fraser Institute, an
independent, non-partisan Canadian public policy think-tank.
“Taxes remain the largest household expense for families in
Canada,” said Jake Fuss, director of Fiscal Studies at the Fraser
Institute and co-author of Taxes versus the Necessities of
Life: The Canadian Consumer Tax Index 2024 Edition.
In 2023, the average Canadian family earned an income of
$109,235 and paid in total taxes equaling $46,988.
In other words, the average Canadian family spent 43.0 per cent
of its income on taxes compared to 35.6 per cent on basic
necessities.
This is a dramatic shift since 1961 when the average Canadian
family spent much less of its income on taxes (33.5 per cent) than
the basic necessities (56.5 per cent). Taxes have grown much more
rapidly than any other single expenditure for the average Canadian
family.
The total tax bill for Canadians includes visible and hidden
taxes (paid to the federal, provincial and local governments)
including income, payroll, sales, property, carbon, health, fuel
and alcohol taxes.
Moreover, since 1961, the average Canadian family’s total tax
bill has increased nominally by 2,705 per cent, dwarfing increases
in annual housing costs (2,006 per cent), clothing (478 per cent)
and food (901 per cent).
“Considering the sheer amount of income that goes towards taxes
in this country, Canadians may question whether or not we’re
getting good value for our money,” Fuss said.
MEDIA CONTACTS:
Jake Fuss, Director, Fiscal StudiesFraser Institute
To arrange media interviews or for more information, please
contact:Drue MacPherson, 604-688-0221 ext.
721, drue.macpherson@fraserinstitute.org
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The Fraser Institute is an independent Canadian public policy
research and educational organization with offices in Vancouver,
Calgary, Toronto, and Montreal and ties to a global network of
think-tanks in 87 countries. Its mission is to improve the quality
of life for Canadians, their families and future generations by
studying, measuring and broadly communicating the effects of
government policies, entrepreneurship and choice on their
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