TAX NEWS - JUNE 2010

Canada Tax: Congratulations: It's Tax Freedom Day

05 June 2010 -- As of today, Canadians can finally take home the bacon and eat it, too.

According to the Fraser Institute, Tax Freedom Day is here, three days later than it was last year.

If Canadians paid all their taxes upfront, rather than a little bit each paycheque and every time they make a purchase, Tax Freedom Day would be the day they could start keeping all their money.

"One of the reasons you're seeing a later Tax Freedom Day in 2010 is because the economy is rebounded," said Niels Veldhuis, a senior economist at the Fraser Institute. "People are spending a little bit more money, governments are therefore collecting more sales taxes and other types of taxes, so that's part of the reason for the three-day increase in Tax Freedom Day."

According to the annual report -- which factors in all federal, provincial and municipal taxes -- the average couple will fork over more than $39,000 by year end, more than 42 per cent of their household income.