Canadians now pay more in taxes than they spend on housing, clothing, and food combined. That’s not just a catchy line—it's a cold, hard fact. The Canadian Consumer Tax Index, compiled by the Fraser Institute, paints a grim picture of the tax burden placed on the average Canadian family. From 1961 to 2023, the total tax bill for the average family skyrocketed by an eye-watering 2,705%. To put that in perspective, housing costs, which have made Canada infamously unaffordable, only increased by 2,006%. Food prices surged by 901%, and clothing costs rose by 478%. Even the Consumer Price Index (CPI), which tracks inflation, has been outpaced by taxes by a staggering 300%.
Adjusting for inflation to 2023 dollars, the tax burden still increased by 180.3%. In other words, even after accounting for the erosion of purchasing power, the real weight of taxes on Canadian families has grown significantly. As of 2023, the average Canadian family forks over $46,988, or 43% of their income, to the government. This surpasses what they spend on basic necessities—food, shelter, and clothing—which amounts to about $38,930 or 35.6% of their income.
Keep reading with a 7-day free trial
Subscribe to Blendr News to keep reading this post and get 7 days of free access to the full post archives.