At 39%, U.S. has highest corporate tax rate (federal plus state) in developed world. OECD average is 25%
Hard to Be Thankful for Bigger Government this Thanksgiving
Thanksgiving is a time for reuniting with friends and family, but the government wants to be part of your celebration too. Whether you stay home or travel for the holiday, government is a significant contributor to the costs of the celebration. Of an identified $10 billion in spending that occurs during Thanksgiving weekend on the wine and beer, the gas and plane tickets, and the meal itself, government taxation composes 35.86 percent of those expenses—approximately $3.6 billion in revenues.
Many of these Thanksgiving items are subject to the increased costs of income taxes, payroll taxes, corporate income taxes, and other taxes on business activity. Government then includes additional fees and excise taxes that further increase the cost of providing specific items or services.
According to the American Farm Bureau Federation, this year’s Thanksgiving meal for ten increased in cost by $5.73 to a total of $49.20—mostly due to rising food prices. Despite the most significant increase in food costs since 1990, government taxation still gobbles up $13.68 of your meal preparations.
Unfortunately this measure still does not account for beer and wine consumption. Between football games and meals, nearly 53 million cases of beer are consumed. Government collects $219 million in taxes—44.33 percent of the cost of each case. Thanksgiving attendees will also find it hard to be grateful for the 32.77 percent increase in the cost of each bottle of wine thanks to government.
Whether you fly or drive to be with your loved ones this Thanksgiving season, government heavily taxes your preferred mode of transportation. Of the 94 percent of travelers driving their cars, government will raise an estimated $1.1 billion in tax revenue—45.33 percent of the gasoline price tag. Similarly, government also increases the cost of the average $376 Thanksgiving flight, making up 43.57 of each ticket’s price.
The government hits taxpayers particularly hard during the holiday season, filling its plate with these taxes and fees. As you gather with family and friends this Thanksgiving, remember that Uncle Sam is to thank for your smaller slice of pumpkin pie.
Think Thanksgiving is the only holiday to get stuffed with government taxes? Think again - click here to see the frightening costs government imposes on Halloween.
TAGS: Excise Taxes