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

Everett pulls ahead in Western Conference standings over Vancouver Giants

Langley-based hockey G-Men, who lost 6-5 to Everett Saturday, now prepares to take on Victoria.

Langley Thunder lacrosse teams pocket gold and silver in Richmond

Top finishes for U15 and U13-1 teams at Richmond Romp over the Remembrance Day weekend

Langley Rams downed by Saskatoon Hilltops at Canadian Bowl

Four-time Canadian Junior Football League champions built up an insurmountable lead

VIDEO: Crash on 88 Avenue in Langley

At least one car suffered extensive damage

Extreme weather alert issued by Langley shelter

Gateway of Hope offers homeless warm place to sleep

Trudeau offers to help Pacific islands face climate change impact

Prime Minister Justin Trudeau met with the leaders from the Pacific island nations on Saturday during the APEC Summit in Papua New Guinea

Price makes 36 saves as Habs edge Canucks 3-2

Late goal lifts Montreal past Vancouver

BC Minister of Agriculture loses stepson to accidental overdose

Lana Popham announces death of her 23-year-old stepson, Dan Sealey

Canadian military’s template for perfect recruits outdated: Vance

Gen. Jonathan Vance, the chief of defence staff says that the military has to change because the very nature of warfare is changing, particularly when it comes to cyber-warfare

‘Toxic’ chosen as the Word of the Year by Oxford Dictionaries

Other top contenders for 2018 include ‘gaslighting’ and ‘techlash’

RCMP bust illegal B.C. cannabis lab

Marijuana may be legal but altering it using chemicals violates the Cannabis Act

1 woman dead, man in hospital after ‘suspicious’ crash: police

Homicide investigators and Burnaby RCMP are investigating the fatal collision

Canada defeats Germany 29-10 in repechage, moves step closer to Rugby World Cup

Hong Kong needs a bonus-point win over Canada — scoring four or more tries — while denying the Canadians a bonus point

Avalanche Canada in desperate need of funding

The organization provides avalanche forecasting for an area larger than the United Kingdom

Most Read