Tax Freedom Day is falling three days later this year, according to the Adam Smith Institute.
The indicator of when Britons have theoretically paid off all their tax for the year falls tomorrow, June 3rd, compared with the 2005 date of May 31st.
Opponents of increased taxation and public sector spending argue the later date indicates an increasing burden on UK taxpayers, which in turn offers a disincentive for greater work and entrepreneurial activity as a smaller proportion of earnings are taken home.
Gabriel Stein from Lombard Street Research agrees with this assessment, and blames the chancellor.
"The British tax burden continues to rise and so Tax Freedom Day advances later and later into the calendar," he told Five Live Breakfast.
However, Chas Roy-Chowdhury, head of tax at the Association of Chartered Certified Accountants, disagrees with the cause of the increased total level of taxation.
He told the same programme: "As much as anything else the day getting later this year is probably down to fiscal drag where people are being brought into higher rates of tax because the allowances aren't being indexed by the rate of wage increased but by inflation."
The Adam Smith Institute is holding a party to celebrate Tax Freedom Day, and recommends others do so too.To read more Banking News, click here.
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