After we published our blog on the Romney vs. Santorum tax plans, we were inundated with requests to add the Gingrich tax plan to the analysis. So, below is an updated chart that includes the results of the Gingrich tax plan. Our methodology remained the same, using the hypothetical taxpayers and the typical income and deductions.
The following are the hypothetical taxpayers and the typical income and deductions:
Single Parent |
Family |
Executive |
Retired |
|
Filing Status |
Head of Household |
Married-File Jointly |
Married-File Jointly |
Married-File Jointly |
Marital Status |
Single/Divorced |
Married |
Married |
Married |
Dependent Children |
3 |
3 |
3 |
0 |
Homeowner or Renter |
Renter |
Homeowner |
Homeowner |
Homeowner |
W-2 Earnings – Parent One |
$30,000 |
$85,000 |
$1,250,000 |
$0 |
W-2 Earnings – Parent Two |
N/A |
$35,000 |
$0 |
$0 |
Pension Income-Both Spouses |
N/A |
N/A |
N/A |
$30,000 |
Social Security Income-Both Spouses |
N/A |
N/A |
N/A |
$35,000 |
Interest Income |
$0 |
$500 |
$10,000 |
$6,000 |
Dividend Income |
$0 |
$0 |
$15,000 |
$1,000 |
Capital Gain Income |
$0 |
$0 |
$250,000 |
$0 |
Mortgage Interest Paid |
$0 |
$15,000 |
$40,000 |
$0 |
Charitable Donations Made |
$0 |
$750 |
$10,000 |
$500 |
Real Estate Taxes Paid |
$0 |
$4,000 |
$25,000 |
$2,500 |
State Income Taxes Paid |
$900 |
$3,600 |
$45,000 |
$1,000 |
The following are the results:
2011 Rates |
Romney |
Santorum |
Gingrich |
|
Single Parent: | ||||
Federal Taxes Paid |
$0 |
$0 |
$0 |
$0 |
Federal Taxes Refunded* |
$5,270 |
$4,631 |
$5,943 |
$5,270 |
Family: | ||||
Federal Taxes Paid |
$9,469 |
$9,294 |
$5,616 |
$6,638 |
Executive: | ||||
Federal Taxes Paid |
$402,147 |
$402,147 |
$331,864 |
$171,000 |
Retired: | ||||
Federal Taxes Paid |
$3,594 |
$1,801 |
$3,063 |
$3,594 |
* A refund would be realized due to the Refundable Earned Income Tax Credit and the Refundable Child Tax Credit |
Some notes about this Update (these are in addition to the notes in the Romney vs. Santorum blog):
Now some analysis (this is in addition to the analysis in the Romney vs. Santorum blog):
If you want to review our backup information, including tax returns for each of these scenarios, please email us at [email protected].
Prior to publishing this blog, we sent it to the Gingrich campaign for their comments, but did not hear back from them.
________________________________________________________________________________________
IRS Circular 230 Disclosure
To ensure compliance with requirements imposed by the IRS, we inform you that any U.S. federal tax advice contained in this document is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code, or (ii) promoting, marketing, or recommending to another party any transaction or matter that is contained in this document.
Discuss your needs with us by clicking the link below.
Schedule an Appointment© 2022. All right reserved.