Average Kiwi pays over $1 million in tax over their lifetime

The Taxpayers’ Union have done a great report calculating the average tax paid by the average New Zealander over their lifetime. The details are:

1. Income Tax $649,000
2. GST $291,000
3. Rates $67,000
4. ACC $40,000
5. Fuel tax $21,000
6. Alcohol tax $11,000
7. Fire levies $10,000
8. Tobacco tax $7,000

This is highly progressive. Someone who is in the bottom decile or 10% of income earners will pay $33,000 in lifetime tax while someone in the top decile will pay $4,287,000 in lifetime tax. Remember that when people claim our tax system is not progressive enough!