Romney's Tax Returns - thoughts?

iVillage Member
Registered: 11-18-2008
Romney's Tax Returns - thoughts?
163
Tue, 01-24-2012 - 12:52pm

Do you have any feelings about Mitt Romney’s annual income for 2010, and the less-than-15% tax rate he paid?

http://www.nydailynews.com/news/politics/mitt-romney-releases-tax-records-gop-presidential-candidate-paid-3m-14-2010-article-1.1010823

“That means the former Massachusetts governor made about $59,452 every day in that year, dwarfing the median household income of $49,445, according to the U.S. Census Bureau.”

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iVillage Member
Registered: 04-09-2011
Tue, 01-24-2012 - 7:47pm
iVillage Member
Registered: 02-06-2003
Tue, 01-24-2012 - 7:51pm
and if some have their way, your years of planning for the future will be for naught because you would have to pay a much higher rate on your income from your investments than you paid on the income you invested in the first place.
iVillage Member
Registered: 04-09-2011
Tue, 01-24-2012 - 7:55pm

Why should capital gains be taxed at a higher rate than earned income? You earn money, pay the taxes on it, then invest it in the hopes of getting a return. That investment allows provides the capital for others to open or expand businesses providing income to others. If you're going to tax an return on investment at a higher rate, you might as well just stick the money under the mattress rather than investing. And you realize that would affect annuities, pension funds and other instruments people have used to save for their retirements?

What if the only money you've ever earned is from capital gains? I seriously doubt Romney's wealth traces back to wage roots. At best, capital gains should be treated as regular income. This rule, put in place by the wealthy, serves the wealthy. We didn't write the rules most everyone else follows - they did.

Warren Buffett for one has said he's never seen someone shy away from investing because of a tax rate. Only in marginal investments will it be a factor. Keep in mind this lower rate went into effect in 2003... for a bit of history for anyone wishing to talk cap gains...

Historical Capital Gains and Taxes

iVillage Member
Registered: 05-13-2009
Tue, 01-24-2012 - 8:01pm
2010, he made $7.4 million from carried interest. It wasn't generated from income that he had already paid tax on; it was compensation for managing investments of other investors, and it's taxed at the capital gains rate.

In my upper middle class job, it's called profit sharing and it's taxed as ordinary income.

It's legal and inequitable.



iVillage Member
Registered: 02-06-2003
Tue, 01-24-2012 - 8:08pm
What if the only money you've ever earned is from capital gains? I seriously doubt Romney's wealth traces back to wage roots.

And what if it was? I'm assuming inherited wealth here, not something gained by fraud.
iVillage Member
Registered: 04-09-2011
Tue, 01-24-2012 - 8:12pm

What if the only money you've ever earned is from capital gains? I seriously doubt Romney's wealth traces back to wage roots.

And what if it was? I'm assuming inherited wealth here, not something gained by fraud.

It should be taxed as regular earnings. There are people on Wall Street who have their earnings funnelled through capital gains mechanisms. Raise the top income tax rate to 39% as it was in the 1990s, and increase capital gains to the same level, but put CG on a progressive scale as well so it is fair to lower tier investors.

iVillage Member
Registered: 02-26-2006
Tue, 01-24-2012 - 9:43pm

I think the problem is not Romney's wealth, it is actually your misunderstanding of it. First, he graduated top of his class at Harvard. Yes, Harvard. Sorry but he had to work hard to do that. Next, he worked his way up the corporate ladder and made a lot of money because he was successful. Why should we fault him because of his success? Do you disagree with success?

iVillage Member
Registered: 05-03-2011
Tue, 01-24-2012 - 10:32pm
<>

The Obamas gave 14% of their total income last year to charities.
iVillage Member
Registered: 05-13-2009
Tue, 01-24-2012 - 10:43pm
1. Romney graduated in the top 5 Percent of his class, not the top of his class. Excellent, of course, but Obama graduated in the top 10 percent of his class at Harvard too

2. A third of his income in 2010 was carried interest. He did not pay any interest on that though legal.

3. 47 percent of the taxpayers in 2010 paid no income taxes, though they did pay more than Romney in payroll taxes as a percentage of their income.

4. Charity? Really tithing to the Mormon church for more than half? I lived in slc for awhile, I thought they were the kindest nicest people. I know they are charitable people, but supporting your church should not be a charitable deduction.

5. Bain was in the venture capital business with the sole mission to make a profit. It was not a job creator, US business savior as Romney would like the new narrative to run. He downsized, sold off valuable assets, gutted and outsourced in the interest of profits, not US jobs.

Lastly Newsflash! Candidates running for president should appear to invest in the US.
iVillage Member
Registered: 03-03-2009
Tue, 01-24-2012 - 10:53pm

I do not misunderstand Romney, at least not in the context to which you refer.

Jabberwocka

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