Tax Reform Group: Tax Burden Increased in 2009

It took 26 more days than in 2008 for taxes to fully fund Washington spending, according to the antitax group Americans for Tax Reform. But to celebrate the final payment, the group is hosting an event Wednesday at the National Press Club to highlight what it calls "Cost of Government Day 2009."

According to ATR, the tax burden has increased this year. Here's what it plans to release at the event tomorrow:

At Last: Happy Cost of Government Day!?!

Cost of Government Day 2009 arrives on August 12 - almost a full month later than 2008

WASHINGTON, D.C.—On August 12, Americans mark the national Cost of Government Day (COGD), the date of the calendar year when the average American finishes paying off his or her share of federal, state and local taxes, and regulatory burden.  This means that the average American worker had to toil 224 days out of the year just to meet all costs imposed by government.   In other words, the cost of government consumes 61.34 percent of national income.

"As taxpayers struggle to pay for their mortgages, and their gas and grocery bills, Cost of Government Day serves as a grim reminder that much of their struggle is a direct result of a government that has grown too big and eats up too much of their hard- earned money," said Grover Norquist, president of Americans for Tax Reform. "Cost of Government Day moving into August is very disconcerting, but unfortunately, in light of bailout after bailout, the nationalization of entire industries, a misguided " stimulus " package and other bloated spending bills hardly surprising."

Cost of Government Day is calculated every year by the Americans for Tax Reform Foundation and the Center for Fiscal Accountability (CFA).   While other indices look primarily at taxation as a measure of the cost imposed by government, the annual Cost of Government Day Report takes into account the total spending burden as a percentage of GDP coupled with government regulations, an oft-forgotten, but significant burden also borne by the economy.

• Cost of Government Day falls 26 days later in 2009 than in 2008, when it fell on July 16.

• This is the latest Cost of Government Day has been since 1977, the first year for which this date was calculated. 

• The 2009 date of August 12 even marks a sharp leap from the previous record date in 1982, when COGD fell on July 20.

• The average American worker has to work 111days just to pay for federal spending which is now consuming 30.36 percent of national income.

• The average American worker has to work 49 days to meet the burden of state and local spending, compared to 42.5 days in 1999.  This means that in the last ten years alone, state and local spending has grown almost 14 percent in relation to national income.

• Regulatory costs force the average American worker to labor 65 days this year, and will consume 17.7 percent of national income.

The full Cost of Government Day 2009 Report will be available at www.costofgovernmentday.org on August 12. This year's report also features several case studies exploring the effects the implementation of certain policies has had, or would have on the 2009 COGD.