Romney’s 2011 Taxes: 14.1 Pct

Photograph by Scott Eells/Bloomberg

Mitt and Ann Romney during the RNC.

Updated with added details

Mitt and Ann Romney paid $1,935,708 in taxes last year on $13,696,951 in mostly investment income, according to a report from their accountants released by the campaign today.

The Romneys’ effective tax rate for 2011 was 14.1 percent, the accountants said.

The couple donated $4 million to charity, they reported, amounting to nearly 30 percent of their income, and claimed a tax deduction of $2.25 million as a result. They are said to have restrained their deduction for charitable giving to keep their tax rate above 13 percent.

This was the second of two promised releases.

Romney had earlier disclosed his 2010 tax return, which showed an effective tax rate of 13.9 percent paid on $21 million of investment income. Refusing to release more than the 2010 and 2011 returns, Romney also has said that he has examined the last 10 years of his returns and found that he never paid less than 13 percent in taxes.

The typical American household paid 17.4 percent in taxes in 2009, including federal and other levies.

“The Romneys’ generous charitable donations in 2011 would have significantly reduced their tax obligations for the year,” Brad Malt, the trustee of Romney’s blind trust, wrote in a campaign blog posting. “The Romneys thus limited their deduction of charitable contributions to conform to the governor’s statement in August…  that he paid at least 13 percent in income taxes in each of the last 10 years.”

Over a 20-year period, Malt reported today, the Romneys’ annual tax rate averaged 20.2 percent, and over those two decades they have never paid less than 13.66 percent, and they have given, on average, 13.45 percent of their adjusted income to charity,

President Barack Obama paid 20.5 percent in federal taxes on $789,674 in adjusted gross income for 2011, he reported earlier this year. The Obama campaign has been pressing Romney to release more returns, saying it would settle for five years of reports.

U.S. Rep. Paul Ryan of Wisconsin, Romney’s choice for vice president, on Aug. 17 released information showing he paid a 20 percent effective tax rate on his 2011 income.

 

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