Double standards for John Kerry and Mitt Romney's tax records?

John Kerry is wealthier than Mitt Romney, but he has paid a smaller percentage of his income in taxes. Yet, where was the media outrage over Kerry's tax returns?



Blogger Raven Lunatic said...

To be fair, the economy hadn't imploded yet in 2004, so people were much more forgiving of the wealthy.

1/31/2012 12:09 AM  
Blogger Dipo Dwijaya said...

Poor the little man. I know nothing about tax, but I think it's not fair if the wealthier pays small amount than poor.

1/31/2012 3:30 AM  
Blogger John Lott said...

The wealthier do pay a lot more in taxes. The issue here is whether they pay more as a percentage of their income. But even these attacks are incorrect as there are two reasons for Romney's relatively low tax rate: 1) the vast majority of his income was from capital gains and 2) he gave several million dollars to charity (which allow him a deduction, but which means that isn't money that he is keeping). On the capital gains, you must realize that when you invest in a company the company that you own is already paying a 40 percent marginal income tax rate. The 15 percent capital gains tax is on top of that. As a shareholder in the company you bear the direct cost of that corporate income tax before you get any money out of your investment.

1/31/2012 6:14 AM  
Blogger John Lott said...

Raven Lunatic:
Thanks. The difference is that Obama is demonizing wealthier people now, but I am still willing to bet that Romney's wealth would have been a campaign issue in any year that he ran for president. I also think that Democrats would have also attacked him for the percent of his income that he paid in taxes. The media would have covered this. Kerry had a much higher income and paid a lower income tax rate.

1/31/2012 6:16 AM  

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