Word info

Tax Freedom Day

Proper noun

Meaning

Tax Freedom Day (plural Tax Freedom Days)

The first day of the year on which a nation as a whole has theoretically earned enough income to pay its taxes.

Source: en.wiktionary.org

Examples

For example, in the late 1990s the US Tax Freedom Day moved later, reaching its latest date ever in 2000, but this was largely due to capital gains taxes on the bull market of that era rather than an increase in tax rates. Source: Internet

In other words, variations in capital gains income and their associated taxes cause changes in the amount of taxes, but not in the income used in the calculation of Tax Freedom Day. Source: Internet

In the U.S., Tax Freedom Day for 2015 is April 24, for a total average effective tax rate of 31 percent of the nation's income. Source: Internet

Purpose According to Neil Veldhuis, Director of Fiscal Studies, Fraser Institute, the purpose of Tax Freedom Day is to provide citizens of tax-paying countries with a metric with which to estimate their "total tax bill". Source: Internet

Tax Freedom Day is the first day of the year in which a nation as a whole has theoretically earned enough income to pay its taxes. Source: Internet

That is, the tax burdens of most Americans are substantially overstated by Tax Freedom Day. Source: Internet

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