In 2005, Donald J. Trump married model Melanija Knavs, his third wife. That year, the real-estate mogul and newly minted TV star earned $153 million dollars, about $3 million a week. That’s far more than all but a tiny sliver of the U.S. population.
The newlyweds paid $36.6 million of that year’s take in federal income taxes, a rate of 24%, putting the Trumps in much the same tax league as any other two-earner professional couple making about $400,000 a year.
Or to put it another way, Donald Trump was paid that year like a member of the 0.001%, but he paid taxes like the 99%. And by at least one measure, he paid like the bottom 50%.
Average tax rate for the top 0.1 % in 2005 was 22.48%.
Between 5 and 10% (that couple on $400k, around and about) 12.61%.
It’s entirely possible to argue that US taxes aren’t high enough and all that. But arguing that Trump’s return here is anything out of the ordinary for his income bracket is, umm, well, misleading, nu?
The document offers a rare glimpse at how a super wealthy couple can manipulate and manage our complex tax laws to reduce their obligations far below rates paid by typical salaried professionals or even blue-collar wage earners.
But an average income tax rate of 24% is far above anything paid by typical salaried professionals or blue collar wages.
Tsk. And to get to the comparable number of 24% for that $400 k earning couple Johnston adds in social security….which isn’t income tax, is it?
The Trumps paid $31.3 million in AMT which, together with the regular tax, made their total federal income tax $36.6 million.
Viewed in terms of their positive income of almost $153 million the total Trump tax bill came to 24%. That’s in the range paid by two-income career couples who both work all year to earn about $400,000. The Trumps income was $418,460 per day.
Yep, that’s what he does, adds SS into that second tax bill.