Quote:
The majority of the candidate's income last year came from his investments: capital gains ($6.8 million), taxable interest ($3 million) and dividends ($3.7 million).
In addition, Romney reported $450,470 in business income.
--snip--
The reason Romney's rate is so low -- despite having one of the highest incomes in the country -- is because his income was derived almost entirely from capital gains and dividends from his extensive portfolio of investments. And that form of investment income is typically taxed at just 15%, well below the 35% top tax rate for high earners.
|
Romney's 2011 tax return, on a matchbook cover.
cite.
Tell me how he can eliminate taxes on capital gains, interest, and dividends and still pay the same proportion of taxes?
According to his own words out of his own mouth, his taxable income will fall from 13.9 million to 0.45 million. Now, that almost half million will be taxed at 35% minus 20% of 35%, so 28% of half a million, about $126,000. That is a big tax bill. But it is far far lower than the $1.94 million dollars he did pay.
How is this possible? How is this consistent with what he says he'll do? It isn't!
By HIS plan, to the extent that he's revealed the specifics, his tax rate goes from 14% to less than 1%.
You're a smart guy. Reconcile this arithmetically. Justify this morally. I'm listening.