No more tax this year! Tax Freedom Day 2014 was 28th May.

No more tax this year!  What do we mean?

Tax freedom day 2014.  What do we mean?  A light hearted post for a Friday, but an interesting fact when you think about how long you need to work before you have covered off your legal tax obligations.

May 28th 2014 was the day when average earners had paid their tax for the year and started working for themselves.

It is calculated by comparing general government tax revenue with Net National Income (NNI). The total of all government tax revenue – direct and indirect taxes, local taxes and National Insurance contributions – is calculated as a percentage of NNI at market prices. This year it comes to 41.09%. That percentage is then converted to days of the year, starting from 1 January. The first day of the year that Britons work for themselves rather than the taxman is Tax Freedom Day. (Adam Smith Institute)

This year it was 3 days earlier than in 2013, hooray, lets hope it comes even earlier next year.

So in 2014, for 148 days of the year every penny earned by Britons was taken by the government in tax.

Tags: ,

Get in touch

0161 410 0020

KMA Accountancy
Progress House
17 Cecil Road
Cheshire WA15 9NZ

Latest news

Want more cash in your business? Well here’s how!

Cashflow is the life blood of businesses without it you won't survive. Read on to discover how you can improve your cashflow by enticing your customers to pay on...

Need more cash to expand – How do I raise Finance?

Cashflow is often the single hardest issue with growing business. We look at how you can raise finance and what the different options are available to you!

Tweets @KMAltd