Kathianne
09-21-2012, 11:26 PM
http://taxprof.typepad.com/taxprof_blog/2012/09/mitt-romney.html
September 21, 2012 Mitt Romney Releases 2011 Tax Return http://taxprof.typepad.com/.a/6a00d8341c4eab53ef0163000a545e970d-550wi (http://taxprof.typepad.com/.a/6a00d8341c4eab53ef0163000a545e970d-popup)
<tbody>
Year
AGI
Tax
Tax Rate
Char. Gifts
Charity/AGI
2011
13,696,951
1,935,708
14.1%
4,020,772
29.4%
2010
21,661,344
3,009,766
13.9%
2,983,974
13.8%
</tbody>
Mitt Romney today released his 2011 tax return (http://www.mittromney.com/disclosure/mitt/tax-return/2011/wmr-adr-return) (FAQ (http://www.mittromney.com/frequently-asked-questions)). Curiously, the 2011 estimated return (http://taxprof.typepad.com/taxprof_blog/2012/01/mitt-romney-1.html) released in connection with Romney's extension reported $20,901,075 AGI, over $7 million more than the $13,696,951 AGI reported on his 2011 return as filed. $1.75 million of that amount represents a foregone charitable deduction (http://www.mittromney.com/blogs/mitts-view/2012/09/note-trustee-brad-malt):
The Romneys donated $4,020,772 to charity in 2011, amounting to nearly 30% of their income.
The Romneys claimed a deduction for $2.25 million of those charitable contributions.
The Romneys’ generous charitable donations in 2011 would have significantly reduced their tax obligation for the year. The Romneys thus limited their deduction of charitable contributions to conform to the Governor's statement in August, based upon the January estimate of income, that he paid at least 13% in income taxes in each of the last 10 years.
The campaign also released a statement from PriceWaterhouseCoopers (http://www.mittromney.com/disclosure/letter-from-pwc) on the Romneys’ tax filings over 20 years, from 1990 – 2009:
In each year during the entire 20-year period, the Romneys owed both state and federal income taxes.
Over the entire 20-year period, the average annual effective federal tax rate was 20.20%.
Over the entire 20-year period, the lowest annual effective federal personal tax rate was 13.66%.
Over the entire 20-year period, the Romneys gave to charity an average of 13.45% of their adjusted gross income.
Over the entire 20-year period, the total federal and state taxes owed plus the total charitable donations deducted represented 38.49% of total AGI.
The Romney campaign also released this letter (http://www.mittromney.com/statement-former-irs-commissioner-fred-goldberg) from former IRS Commissioner (and current Skadden partner) Fred Goldberg:
These returns reflect the complexity of our tax laws and the types of investment activity that I would anticipate for persons in their circumstances. There is no indication or suggestion of any tax-motivated or aggressive tax planning activities. In my judgment, they have fully satisfied their responsibilities as taxpayers. They have done so by relying on a highly reputable return preparer and other advisors, who have in turn relied primarily on information provided by third parties to them and to the IRS. The end result of that process has been returns that include a multitude of schedules, IRS forms and accompanying statements that provide appropriate transparency and the proper payment of taxes that Governor and Mrs. Romney owe under current law.
September 21, 2012 Mitt Romney Releases 2011 Tax Return http://taxprof.typepad.com/.a/6a00d8341c4eab53ef0163000a545e970d-550wi (http://taxprof.typepad.com/.a/6a00d8341c4eab53ef0163000a545e970d-popup)
<tbody>
Year
AGI
Tax
Tax Rate
Char. Gifts
Charity/AGI
2011
13,696,951
1,935,708
14.1%
4,020,772
29.4%
2010
21,661,344
3,009,766
13.9%
2,983,974
13.8%
</tbody>
Mitt Romney today released his 2011 tax return (http://www.mittromney.com/disclosure/mitt/tax-return/2011/wmr-adr-return) (FAQ (http://www.mittromney.com/frequently-asked-questions)). Curiously, the 2011 estimated return (http://taxprof.typepad.com/taxprof_blog/2012/01/mitt-romney-1.html) released in connection with Romney's extension reported $20,901,075 AGI, over $7 million more than the $13,696,951 AGI reported on his 2011 return as filed. $1.75 million of that amount represents a foregone charitable deduction (http://www.mittromney.com/blogs/mitts-view/2012/09/note-trustee-brad-malt):
The Romneys donated $4,020,772 to charity in 2011, amounting to nearly 30% of their income.
The Romneys claimed a deduction for $2.25 million of those charitable contributions.
The Romneys’ generous charitable donations in 2011 would have significantly reduced their tax obligation for the year. The Romneys thus limited their deduction of charitable contributions to conform to the Governor's statement in August, based upon the January estimate of income, that he paid at least 13% in income taxes in each of the last 10 years.
The campaign also released a statement from PriceWaterhouseCoopers (http://www.mittromney.com/disclosure/letter-from-pwc) on the Romneys’ tax filings over 20 years, from 1990 – 2009:
In each year during the entire 20-year period, the Romneys owed both state and federal income taxes.
Over the entire 20-year period, the average annual effective federal tax rate was 20.20%.
Over the entire 20-year period, the lowest annual effective federal personal tax rate was 13.66%.
Over the entire 20-year period, the Romneys gave to charity an average of 13.45% of their adjusted gross income.
Over the entire 20-year period, the total federal and state taxes owed plus the total charitable donations deducted represented 38.49% of total AGI.
The Romney campaign also released this letter (http://www.mittromney.com/statement-former-irs-commissioner-fred-goldberg) from former IRS Commissioner (and current Skadden partner) Fred Goldberg:
These returns reflect the complexity of our tax laws and the types of investment activity that I would anticipate for persons in their circumstances. There is no indication or suggestion of any tax-motivated or aggressive tax planning activities. In my judgment, they have fully satisfied their responsibilities as taxpayers. They have done so by relying on a highly reputable return preparer and other advisors, who have in turn relied primarily on information provided by third parties to them and to the IRS. The end result of that process has been returns that include a multitude of schedules, IRS forms and accompanying statements that provide appropriate transparency and the proper payment of taxes that Governor and Mrs. Romney owe under current law.