Bain Capital acted as a managing partner in most of its transactions, so this was a pretty good deal for them. After all, most of us who work as managers, even if our pay comes in the form of a bonus that's based on the profitability of the company, have to pay ordinary income tax rates. That's because this kind of work is known as "labor." But if you manage a private equity fund, that exact same kind of work is defined as sweat equity and gets taxed at capital gains rates.

This is pretty hard to defend. If it walks like a duck and quacks like a duck, it's a duck. Except in this one case, where it's sweat equity. There's really not much justification for it.

So this is where we end up. Mitt Romney pays low tax rates on his capital gains because this is supposed to encourage him to invest his money. But it turns out that it doesn't. And he pays low tax rates on his carried interest because his job of managing companies that other people own was conveniently redefined as sweat equity and therefore treated as capital gains. It's a nice deal for the rich, who get nearly all of the benefit of these policies, but neither of them is really defensible. It's one thing for Mitt Romney to have gotten wealthy running Bain Capital. Good for him. But he ought to pay the same taxes on his earnings as the rest of us.

Mother Jones

He pays what tax law requires.

quote:

He pays what tax law requires.

Probably--we won't know until we see his tax returns.

And his 59-point economic plan says he should pay even less than the miniscule amount he said he paid. The plan he's proposing makes his tax break even higher than it is now.

BTW, I suspect one reason for his reluctance to show his tax return is the one a reader mentioned to Andrew Sullivan:

quote:

Romney's campaign has been extremely careful when questioned about his Cayman-based, Bain-related assets. If his tax returns show no foreign capital gains on his 1040 and he has tens of millions of dollars in foreign assets, it will look terrible. More important than avoiding taxes, it's evidence that he's not willing to invest in America and bring his money back home.

Source:
http://andrewsullivan.thedaily...x-cnn-sc-debate.html

Jeff

quote:

Originally posted by Florida Righty:
He pays what tax law requires.

So did Tim Geitner, once it came out during his confirmation process, that is. And funny thing, I remember no outrage from the Left over Tim's failure to pay taxes OWED BY LAW.

quote:

If his tax returns show no foreign capital gains on his 1040 and he has tens of millions of dollars in foreign assets, it will look terrible. More important than avoiding taxes, it's evidence that he's not willing to invest in America and bring his money back home.

Gee, why would that be? Maybe cause the minute you bring it home, a 1/3rd of it disappears?

Let's see, I have a hundred dollars, I'd like to make 10% interest on it, so at the end of a year, I'll have 110 dollars.

So I bring it home, lose 35%, now I have $65. What return will I need on my investment to get to $110? Gee about 70%.

Gee that is a lot. How many opportunities do I have to make 70% interest here in America?

Which is easier, to hunt for 10% interest in my overseas money or bring it home and look for 70% interest?

quote:

Why Willard should pay higher taxes

When I read this I immediately thought of the 47% of Americans who pay no federal income tax.

quote:

Originally posted by Florida Righty:

quote:

Why Willard should pay higher taxes

When I read this I immediately thought of the 47% of Americans who pay no federal income tax.

Don't Libs like to claim that those who did not serve in the military shouldn't be part of Defense discussions?

quote:

Originally posted by Florida Righty:

quote:

Why Willard should pay higher taxes

When I read this I immediately thought of the 47% of Americans who pay no federal income tax.

Thanks to Dumbya Bush, 47% of Americans don't make enough to pay income tax.

quote:

And his 59-point economic plan says he should pay even less than the miniscule amount he said he paid. The plan he's proposing makes his tax break even higher than it is now.

Willard has an obvious conflict of interest.
Something Florro can't see.

There must be some way righties can volunteer to pay even higher tax rates so that the rich can get richer.

quote:

Originally posted by Florida Righty:
When I read this I immediately thought of the 47% of Americans who pay no federal income tax.

You would.

Romney can afford to pay more than 15%. It may be legal that he should only pay 15%, but it's not fair.

It's not like if his tax rate were tripled, he'd be missing some meals.

If something didn't stink, he'd just go ahead and release the tax returns.

quote:

Originally posted by Gus Rodgers:

quote:

Originally posted by Florida Righty:
When I read this I immediately thought of the 47% of Americans who pay no federal income tax.

You would.

Romney can afford to pay more than 15%. It may be legal that he should only pay 15%, but it's not fair.

It's not like if his tax rate were tripled, he'd be missing some meals.

If something didn't stink, he'd just go ahead and release the tax returns.

Haven't you heard? Nothing in life is fair. Get used to it.

Common knowledge tells us that others never released their tax returns until they became the nominee, right? So why should Mitt do any differently? He'll prolly release tax returns his faster than it took that lying ***** you voted for to release his 180, huh?

Mitt has been running for president for so long now, that if there had been any issues with his legal investments and/or dividends, the Democratic majority would've found them already. You how they operate. They lie, cheat, steal, and certainly would've been screaming from the rafters if there was something fishy going on.

All they can do now is lie through their filthy teeth and hope the little people never learn about all that Democratic insider trading Nancy Pelosi and the rest of those lying AHs exploited for profit.

And let's be real here...you know that a lib's basic inclination is to do anything and say anything, and pass off any damage as just politics during election season. Painting that dude as something he is not isn't going to help your stupid, inept party score points. There may be another monument built in front of a library filled with cheap shots perhaps, but that's about it, bubby.


LadyBug

quote:

Originally posted by LadyBug:

Haven't you heard? Nothing in life is fair. Get used to it.

Oh, okay, so we shouldn't even try to make it more fair?

Rich people like Romney should be rewarded for their success by having to pay no taxes at all, and they should be further rewarded by being completely immune from lawsuits.

Let the little people pay all the taxes. That will punish them for their failure and give them an incentive to get off their butts and become partners in private equity firms like Romney.

That's what Republicans really believe, isn't it Lady Bug?

quote:

So I bring it home, lose 35%, now I have $65. What return will I need on my investment to get to $110? Gee about 70%.

Why are you losing 35% investing in America?

You are claiming you and Romney think investing in America is bad.

I doubt voters want a President that thinks America is a bad investment.

quote:

Haven't you heard? Nothing in life is fair. Get used to it.

Oh? You think that makes it okay to rip us off?

Sounds like a mugger's excuse.

quote:

Why are you losing 35% investing in America?

Do try to pay attention before shooting off your mouth. Another posted the theory that Willard has money that he earned overseas, parked in overseas accounts, because he does not want to pay the 35pc tax that would be collected if he brought the money onshore.

quote:

Originally posted by Zorro:

quote:

Why are you losing 35% investing in America?

Do try to pay attention before shooting off your mouth. Another posted the theory that Willard has money that he earned overseas, parked in overseas accounts, because he does not want to pay the 35pc tax that would be collected if he brought the money onshore.

Say he is currently collecting 5% on his money. The current situation is that in a year, each hundred will be worth a hundred and five.

If he brings the money he earned off-shore, back home, each hundred will turn into sixty five, so to get the 105 he can get know with 5% interest will require an investment that will gain 62% interest. You know where to gain 62% interest in the US economy?

Good news for the working class. Chili Dogs are just 99 cents at Der Weinerschnitzel this week!

If you would like to discuss the price of hot dogs, do start a discussion on that, this discussion is on Willard's tax rate.

It's about inequality. Willard nets 85% or more on the dollar, and we get chili dogs.

Obviously, like all RWW whores, Willard puts money above nation.

The Wall Street Journal speculates that Romney may have a jumbo IRA, with $20 to $100 million in assets.

quote:

Like many Americans, Mitt Romney has an individual retirement account. Unlike most Americans, Mr. Romney has between $20.7 million and $101.6 million in it, a big chunk of his fortune.

Experts on estate planning said it is highly unusual to accumulate such a considerable sum in an IRA, an investment vehicle restricted by annual contribution limits. It appears that Mr. Romney's grew so large mostly because it holds investments in Bain Capital, the private-equity firm he helped start.

quote:

Originally posted by BullDoug:

quote:

Haven't you heard? Nothing in life is fair. Get used to it.

Oh? You think that makes it okay to rip us off?

Sounds like a mugger's excuse.

Who is ripping you off Bull? Mitt Romney? Get a grip, little fella.



LadyBug

quote:

Originally posted by Dr Chango:
Good news for the working class. Chili Dogs are just 99 cents at Der Weinerschnitzel this week!

Good. Enjoy!


LadyBug

quote:

Originally posted by Harpy Bane:
Obviously, like all RWW whores, Willard puts money above nation.

Bullsquirt!


LadyBug