There is something to look forward to on the May Bank Holiday that the weather cannot spoil. 30 May is the day when the UK has collectively paid its tax debt for the year and from now on what you earn is your own!
In 2010, from 1 January to 29 May, every penny you have earned the government takes in some form, PAYE,NI, VAT and the others taxes to pay for its spending for the year. Up until the 29th May you have been working for the government.
The date falls 3 whole days later than it did last year mainly due to the impact of VAT rate changes.
For those who can remember that far back, in 1963 Tax Freedom Day was 5 weeks earlier than now, falling on 24 April.
In the US this year Tax Freedom Day falls on the 9th April. However, we are still better off than some of our continental cousins. Taxpayers across the Europe are expected to have to work nearly another month to finance the demands of their governments. The prize though goes to Denmark where their citizens work exclusively for the government until the end of July!
To learn more about Tax Freedom Day you can visit the Adam Smith Institute's website here.
