How much does the average person pay in taxes? By taxes this percent
should include federal state local sales gas products and compounding
tax as well. By compunding this is to include the fact that when I buy
a car I pay taxes on it...the dealership paid taxes on it...the
manufacturer paid taxes on the parts...the manufacturer of the parts
paid taxes on the sale of the scrap metal...and I am sure that scrap
metal has taxes on it too. If you need a starting point assume a
married single baby family in Birmingham AL making $50000 a year.
I found this answer some time ago and it "seemed" like I "remember"
somewhere in the world of 70%.
I really would like to have all the resources you used to find this
info as I have SEARCHED everywhere...and I even asked jeeves...hee
hee.

The Tax Foundation aggregates U.S. taxes in a most-comprehensive
manner.  Their "tax freedom day" marks the percentage of the year in
which TOTAL federal/state/local taxes are paid, on average, each year.
 In 2002, Tax Freedom Day was the 117th day of the year -- and was two
days shorter than in 2001.  So, looking at the macro-economic side of
it, 32% of the year is spent working to pay taxes.

This Tax Foundation report gives more details than I can tolerate for
the end of a workweek:
http://www.taxfoundation.org/images/sr112.pdf

Some 'low' points of the report:
*  the worst year in terms of U.S. tax burden was 2000, when we worked
until May Day to pay the tax burden.  (We're down 4 days since then.)
*  the period from 1994 to 2000 saw an increase of 10 workdays in the
tax burden.  Whatever happened to the dividend from the end of the
Cold War?  Oops, we researchers strain to be impartial.
*  state and local taxes are more than 43% of the burden.
*  sales and excise taxes are about 15% of the burden.
*  my home state (WA) has no income tax, yet still ranks worse than
average.

The Tax Foundation study has the kinds of details that are interesting
for all.  It notes that federal taxes are progressive, with the
highest per capital income states paying the highest taxes.  It also
notes that compliance costs -- those for mandatory programs like
environmental protection -- fall most heavily on the small states
because they're 'fixed' costs.

International comparisons are more difficult.  However at least one
major study by the Fraser Institute (co-sponsored by the Cato
Institute in the U.S.) has attempted to rank countries by tax burdens
-- the annual report for Economic Freedom of the World:
http://www.cato.org/economicfreedom/

In this latter report, tax burdens and transfer payments are rated for
each country.  My old 1995 version of this report notes that "the U.S.
received below average ratings for only two components: size of the
transfer sector and interational trade as a share of GDP (gross
domestic product)."

Best regards,

Omnivorous-ga

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Request for Answer Clarification by darckn1te-ga on 11 Sep 2002 14:02 PDT

Well accually after I rated your answer I noticed that i misread the
pdf file and it must not be showing the truth...because there is no
way that only 32% of all my money goes to taxes....I can quickly
calculate well over 50% and I am not including things...think about it
you pay federal tax...ss tax...fica...state local...sales...gas...and
other such niceities....plus the compounding taxes on products like
when you buy a car...Could you please research a bit further to see if
this info is available somewhere

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Clarification of Answer by omnivorous-ga on 11 Sep 2002 15:54 PDT

The Tax Foundation numbers have long been considered among the
most-authoritative on the "total" tax burden.  In fact the objective
of the Tax Freedom Day is to make apparent what governments are
spending.  From the 2002 report:
"Tax Freedom Day provides taxpayers with a 'tax barometer' that
measures the total tax burden over time and by state."

The 32% total represents ALL government spending and it's made up of
21.8% for the federal government and 10.2% for state and local
governments.

Many of us are in a high marginal tax bracket, paying 33% in income
taxes to the federal government; 5% to the state; 7% to social
security.  But these are our MARGINAL tax rates -- not AVERAGE taxes. 
Thus, for every extra dollar earned the taxes are at the highest rate,
but it's not the average.

Average taxes are figured after reducing income by $2800 for each
dependent; subtracting mortgage interest; real estate taxes; and other
expenses.  The average tax rate is lower than 33% in most cases -- and
the Tax Foundation says that it's 21.9% for the federal government in
2001.  A portion of those taxes paid include corporate income taxes,
excise taxes and tariffs on imports.

Best regards,

Omnivorous-GA

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Request for Answer Clarification by darckn1te-ga on 11 Sep 2002 17:54 PDT

being more realistic to myself and you. I have reviewed this info and
have determined that you answered this question to the best of anyones
ability due to the way that I asked my question...when I asked for the
average I was really trying to figure out how much I pay...but looking
over my paycheck and trying to be as realistic as possible I have come
up with a number around 45% minumum... BUT to be fair to you I think
you answered this question correctly because we have to take into
account people that dont pay taxes. And people that have personal tax
shelters. But because we are coming up with the average number then we
have to calculate both the hard working and the working hard at living
off his neighbor type. Thanks for your answer to my impossible
question.

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Clarification of Answer by omnivorous-ga on 11 Sep 2002 18:01 PDT

darckn1te --  Thank you for your kind comments.  As is often the case
the answers are hard to find, even with the resources of the Internet.
 But I've watched the Tax Foundation's work for years, so knew right
where to look.

This is the first time that I've read the full report and was
astounded at the detail.  They should send a copy to every radio talk
show host in the U.S.

People in my home state have lower than average property taxes and no
income tax.  Yet it's above average in state tax burden.

Thanks for an interesting question!

I am only giving you 4 stars for making me break out the
calculator...because I wanted the TOTAL not just federal...the answer
to my question is on average you pay 64.1% to taxes but thanks for the
link to the pdf... :)

Further statistics (and international comparisons) are available from
the OECD (for OECD countries only) and from IMF (International
Financial Statistics).

I think the easiest way to determine the total taxes percentage is to
find out just how much money the governments federal and local from
every source and divide by the number of people then take the average
salary for the average person and calulate...but that is not gonna be
correct because of tax shelters and untaxable income and such...I wish
the government would just come clean on this number...but then I guess
everyone would be more depressed...