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Canadians Spend More on Taxes on Necessities: Study

A new study finds that the average Canadian family paid $34,154 in taxes of all sort last year, not to mention "hidden" business taxes that are passed along in the price of goods and services purchased.

The authors of the study commissioned by the Fraser Institute conclude that visible and hidden taxes would have been equal to 42.4% of the cash income for an average Canadian family in 2015, estimated at $80,593.

By comparison, the study estimates the average Canadian family spent $30,293 on housing, food and clothing last year — about 37.6% of the family’s total cash income.

The Vancouver-based think-tank estimates that the average bill for income taxes collected by governments was $10,616 in 2015.

The second-biggest category was payroll and health taxes, at $7,160, followed by sales taxes at $4,973 and property taxes at $3,832.

The other categories include taxes on profits, liquor or tobacco, fuel, natural resources and import duties — which, on average, totaled $7,573.