Category: The 47%

Obamanoids–dupes in general, the Mass MEdia Podpeople Hivemind (A.K.A. “Bylines for Barry”), The Zero’s campaign mouthpieces (TOTUS, Cwazy UNka Joe and all the other usual suspects) and the whole gaggle of leftard loons have invested tons of disingenuity into the meme that Romney doesn’t pay his “fair share” of taxes. Their argument, such as it is, is that his nominal 14-15% income tax rate on his investment income–the sum total of his income–is “less” than the average person pays. Leaving aside the 47% who receive more in benefits from the “feddle gummint” than they pay in taxes, if they pay any income taxes at all, what about that claim?

The corporations Romney receives his investment income have to make a profit. Those profits are distributed after taxes and reinvestment in the business to investors. So, say a company makes $100 in before tax profits. Yeh, yeh, a ridiculously small amount, but one that makes for easy numbers. After paying JUST the federal corporate income taxes, that number is reduced to about $72 available to return to investors who are then taxed a nominal 15% of that. So, assume only one investor, for simplicity. That investor would then receive about $61. All told, the “feddle gummint” has just gobbled up 39% of the income.

Average Joes don’t pay that sort of income tax rate, unless they’re too stupid to be able to use Turbotax and misfigure everything on their own. (ABOVE average–in income and privilege–“Timothys” however Do use Turbotax and fail to properly pay their federal income taxes for years, but the law only applies to the little people.)