Mitt Romney released his tax records this morning and they reveal that he pays an obscene amount of taxes and at a rate higher than 60% of Americans. He uses H&R Block to calculate his tax burden, which comes in at an effective rate of 13.9% of his income. Here's how Reuters reports:
Republican presidential candidate Mitt Romney released tax records on Tuesday indicating he will pay $6.2 million in taxes on a total of $42.5 million in income over the years 2010 and 2011.
Bowing to increasing political pressure to provide more detail about his vast wealth, the former private equity executive released tax returns indicating he and his wife, Ann, paid an effective tax rate of 13.9 percent in 2010. They expect to pay a 15.4 percent rate when they file their returns for 2011.
Romney's tax rate is below that of most wage-earning Americans because most of his income, as outlined in more than 500 pages of tax documents, flows from capital gains on investments.
Actually, that's not quite accurate, is it? As John Hood writes at National Review:
A competent campaign, and candidate, would explain that Romney’s real federal tax rate on his investment income was more than 40 percent (being conservative, after deductions and such), since the revenue stream was subject to both a personal tax rate and the corporate tax rate. A competent campaign would then point out that state taxes would bring the effective income tax rate on Romney’s investment income to 50 percent or higher. Every time a reporter or opposing candidate tried to say Romney’s tax rate was 15 percent, a competent campaign would call them out for misleading the American people.
A competent campaign would then point out that this effective income tax rate of 50 percent is much, much higher than what the average worker pays in federal and state taxes on wage income. Such a campaign would then say that by taxing investment so punitively and then redistributing the revenue to failed giveway programs and government boondoggles, America is eating its seed corn and deterring investors from creating new jobs.
I am clearly a radical right-winger because I'm offended -- not proud -- that Mitt Romney has to pay more money to the federal government than to his Mormon church. That's unconscionable to me.
Also, I'm clearly a radical right-winger because I don't view contributions to one's religious group as nefarious, unlike so many in the media.
Do voters typically get upset at candidates for paying the taxes they owe and being ridiculously generous?