Tax Freedom? You'll Have To Work Until April 26Tax Freedom Day 10 Days Later Than 2004POSTED: 9:21 am EDT April 12,
2006 WASHINGTON -- The Tax Foundation reported on Wednesday that Tax Freedom Day will be arriving April 26 this year. Tax Freedom Day calculates how many days you have to work to pay off your taxes.In the days leading up to it, everything you earn is paid in taxes. After that day, everything you earn -- you keep.This year it's taking three days longer than last year and 10 days longer than in 2004 and 2003.In those two years, a combination of slow income growth and tax cuts caused Tax Freedom Day to arrive comparatively early. This year, Americans are working an average of 77 days to take care of their federal taxes and another 39 days to cover state and local taxes.According to the Tax Foundation, that makes taxation a bigger financial burden than housing and household operation (62 days), health and medical care (52 days), food (30 days), transportation (30 days), recreation (22 days), or clothing and accessories (14 days)."Despite all the tax cuts that the federal government has passed recently, Americans will still spend more on taxes than they spend on food, clothing and housing combined," said Tax Foundation President Scott Hodge.Here’s the Tax Foundation's top 10 list of the states with the heaviest tax burdens and the latest Tax Freedom Days.
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