New York Times
Mitt Romney's campaign released details of his federal tax returns Tuesday morning, showing that he will most likely pay $6.2 million in taxes on $45 million in income over the two tax years of 2010 and 2011.
Romney said last week that his effective rate was "about 15 percent," a figure lower than that of many affluent Americans. But his returns suggested that he paid an effective tax rate of slightly below that of nearly 14 percent.
In addition to his 2010 taxes, Romney is set to release estimates for his 2011 taxes, which he will file in April. The campaign will report that he will pay $3.2 million in taxes for 2011, for an effective tax rate of 15.4 percent. That is a slightly higher effective rate than he paid the year before, when he paid about $3 million to the IRS.
Romney, a Mormon, has long said that he had promised to give 10 percent of his income to his church. His tax return shows that over two years he and his wife, Ann, gave $7 million in charitable contributions, including $4.1 million to the Church of Jesus Christ of Latter-day Saints.
The Romneys hold as much as a quarter of a billion dollars in assets, much of it derived from his time as founder and partner in Bain Capital, a private equity firm. And federal financial disclosures Romney made when he began his presidential campaign revealed those assets generated at least $9.6 million in income in 2010 and part of 2011, most of it from capital gains, dividends and interest on their investments.
Questions about Romney's wealth have dogged him for weeks as his rivals for the Republican nomination attacked his tenure at a private equity firm and pressed for details about his taxes.
Details about Romney's tax payments, wealth and income will inevitably be compared to similar disclosures already made by his Republican rival Newt Gingrich, as well as the man they hope to unseat, President Barack Obama.
Gingrich, who on Saturday won the Republican presidential primary in South Carolina, released his own tax returns last week showing that he and his wife, Callista, had an adjusted gross income of $3,142,066 from their various business ventures in 2010. They paid $994,708 in federal tax, according to the return, for an effective tax rate of 31.7 percent.
Obama and his wife, Michelle, released their tax returns in April, showing an adjusted gross income of $1,728,096 for 2010 - much of it from sales of his books Dreams From My Father and The Audacity of Hope. The Obamas paid $453,770 in federal taxes, for an effective tax rate of 26.3 percent.
The candidates' tax returns
A comparison of the 2010 taxes for the candidates who have released their returns.
Candidate BarackObama MittRomney NewtGingrich Adjusted gross income $1,728,096 $21,646,507 $3,142,066 Federal income taxes and effective rate* $453,77026.3% $3,009,76613.9% $994,70831.7% Description Most of President Obama's income came from royalties for his best-selling books about his life. As a large share of those sales were overseas, Obama benefited from a foreign tax credit of more than $22,000. Romney's income came almost entirely from investments, which are taxed at a much lower rate than wages. His tax bill did go up by about $230,000 because he had to pay the alternative minimum tax. The bulk of the income for Gingrich and his wife, Callista, came from profit distributions from an S-corporation that oversaw their businesses. Since profits are not subject to payroll taxes, the Gingriches saved tens of thousands of dollars. Wages $395,188 $0 $450,245 Investment Income $15,063 $20,792,324 $35,547 Business, S-corporation
and trust income $1,384,212 $314,112 $2,567,308 Charitable donations $245,075 $2,983,974 $81,133
* Does not include payroll taxes.
New York Times