‘Tax Freedom Day’ is April 13 in Utah

(Mike Mergen | Bloomberg News) So-called "Tax Freedom Day" will come a little later for Utahns this year.

This year, Utahns would need to work from Jan. 1 through April 13 just to earn enough to pay all their taxes but that, at least, is five fewer days than the national average.

That news came as "Tax Freedom Day" for the nation and each state was announced Tuesday by the Tax Foundation, a conservative but nonpartisan Washington, D.C., tax research group.

The national Tax Freedom Day this year is April 18, which is five days later than last year indicating tax burdens have increased.

William McBride, chief economist for the Tax Foundation, said Americans will pay 29.4 percent of their income this year in federal, state and local taxes. That "amounts to more money than is spent on food, clothing and housing combined," he said during a webinar.

Converting that to calendar terms, McBride said that means Tax Freedom Day does not come until day 108 in the 365-day year.

McBride said three major factors raised tax burdens this year.

"The biggest one is the fiscal cliff deal that raised federal payroll and income taxes. Second, there is the Affordable Care Acts taxes that go into effect this year. Lastly, despite these increases, the economy is continuing to grow. As incomes grow, people are boosted into higher tax brackets so their tax rates go up," he said.

Tax Freedom Day varies greatly among the states, depending on state and local tax burdens.

Mississippi has the earliest Tax Freedom Day, arriving on March 29 slightly earlier in the same day than Louisiana, followed by Tennessee on April 2.

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‘Tax Freedom Day’ is April 13 in Utah

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