Here's wishing Tennesseans a happy Tax Freedom Day
MURFREESBORO, Tenn. (WMOT) -- Thursday is Tax Freedom Day in Tennessee, the day residents finish paying all federal, state and local taxes for the year.
The Washington based Tax Foundation calculates Tax Freedom Day every year for each of the states and the nation as a whole. Foundation economist Kyle Pomerleau says Tennesseans fared better than the rest of the country. National Tax Freedom Day doesn’t arrive until April 24.
Tax Freedom Day is calculated by subtracting a state’s total tax bill from the combine income of its residents.
Pomerleau says the size of the nation’s tax bill is staggering.
“$3.3 trillion to the federal government, and an additional $1.5 trillion to state and local governments, for a total tax bill of $4.8 trillion. This is more than the nation as a whole spends on food, clothing, and housing combined.”
Pomerleau says Tax Freedom Day is coming later this year than in the recent past and that’s actually a positive sign. He says Tennesseans are paying more taxes because they’re earning more.