Income Taxes

WASHINGTON -- Many of the people criticized by Republican presidential candidate Mitt Romney for not paying income taxes actually do pay taxes -- specifically the federal payroll tax, the independent Tax Policy Center said. And nearly half of those who do not pay federal income taxes are elderly, the group found in an analysis last year. About 46.4% of households paid no income tax in 2011, according to a breakdown by the center, a joint venture of the Urban Institute and the Brookings Institution.

Former Bell City Administrator Robert Rizzo is expected in court Monday and is expected to plead guilty to filing false tax returns. From 2005 through 2010, the year he was ousted from his job after his salary was revealed, Rizzo claimed more than $770,000 in phantom losses on his tax returns, further inflating his take-home pay. He is already facing 10 to 12 years in prison for his role in a corruption scandal, but agreed to plead guilty to...

MOSCOW -- The Russian government has no idea how about 44% of the country's registered workers are making a living, a top official said Wednesday. Deputy Prime Minister Olga Golodets said the government is unaware of what's happening with about 38 million of the 86 million Russians registered as workers. About 48 million people are working in sectors of the economy that officials “can see and understand,” she said. “It is unclear what everybody else is involved in and to what extent,” Golodets said at an international economic conference at the Higher School of Economics in Moscow.

SACRAMENTO -- Gov. Jerry Brown received more good news Tuesday as he prepared to release his new budget proposal, due at the end of the week. The last six months generated $2 billion more income tax revenue than expected, according to a new report from the nonpartisan Legislative Analyst's Office. That's 8% more money than administration officials were counting on. The state's coffers received much of that boost in December, with income taxes at $1.4 billion above projections for the month.

Senate leader David A. Roberti indicated Saturday that he would oppose increasing income taxes, even if a newly enacted tax reform law is found to be the cause of a surprise budget shortfall of as much as $1 billion. In a radio speech, the Los Angeles Democrat pinned the blame on last October's stock market crash, and charged that Deukmejian Administration tax officials failed to take it into account and make corrective adjustments.

Many of the nation's most profitable companies are paying far less than the government's 35% corporate income tax rate, with dozens paying no taxes at all, according to a controversial new report. Left-leaning advocacy and research groups Citizens for Tax Justice and the Institute on Taxation and Economic Policy examined 280 companies and concluded that they paid an average rate of 18.5% from 2008 through 2010 — about half the official rate. Several firms mentioned in the report lashed out at the findings.

China will introduce an income tax next year in a bid to narrow the rapidly widening gap between rich and poor in this Communist nation, the official New China News Agency said Thursday. The "Provisions on Individual Income Regulation Tax," issued by the State Council, will apply to all Chinese citizens with residence and income in China, the agency said. The tax, to take effect Jan.

By now, most Americans who take their civic responsibilities seriously have no doubt seen, or at least heard about, Mitt Romney's peculiar approach to broad-based voter outreach. We're referring, of course, to his videotaped fundraising speech in Florida, in which he characterizes 47% of the American public as people who are "dependent on the government," who "pay no income tax" and who can't be convinced to "take personal responsibility and care for their lives. " Voters can decide for themselves whether Romney's words, taken at face value, bespeak a hopelessly crabbed approach to government's role in our lives or a principled stand for private enterprise and economic freedom.

WASHINGTON — Here's some encouraging news for financially stressed homeowners across the country: The Senate Finance Committee has approved a bipartisan bill that would extend the Mortgage Forgiveness Debt Relief Act through 2013. Why is this important? Several reasons: The debt relief law spares homeowners who receive principal reductions on their mortgages from being hit with hefty federal income taxes on the amounts forgiven. Without it, millions of owners who go through foreclosure or leave their homes following short sales would experience even more financial stress.

Evelyn Jenkins, 61, who joined her husband, radio talk show host Bill Jenkins, in arguing that income taxes were unconstitutional. In 1986, Jenkins and her husband were ordered to perform 200 hours of community service and to pay back taxes for 1979, 1980 and 1981. They charged that federal and state income taxes are unconstitutional on the grounds the 16th Amendment providing for taxes was never properly ratified.

H. Ty Warner, the billionaire creator of the popular Beanie Babies toys, is urging a federal judge to sentence him to probation for tax evasion. The 69-year-old tycoon pleaded guilty to a single count of felony tax evasion in October, acknowledging that he failed to report millions of dollars of interest income from a secret Swiss bank account from 1999 to 2007. Warner was on a list of 285 names that Swiss banking giant UBS gave to the Justice Department in 2009 in an attempt to mitigate its own criminal liability in a massive U.S. crackdown on offshore tax evasion.

Economist Arthur Laffer occupies an exalted place in Republican tax-policy circles thanks to his influential but controversial theory that some tax cuts generate more income for the Treasury. A staple in supply-siders' policy toolbox, it helped build support for the major tax cuts under President Reagan and President George W. Bush. So you have to wonder how House Republicans will react to Laffer's public endorsement of the push in Congress to require online retailers to collect sales taxes even from shoppers in states where they have no physical presence.

SACRAMENTO - California tax revenue is much better than expected, says the nonpartisan Legislative Analyst's Office. In a report released Tuesday, the office said income taxes collected in June will probably be $500 million more than Gov. Jerry Brown's administration projected. That comes on top of a strong May, which saw $561 million more from income taxes than expected. Tax revenue has been so good that it may even outpace more optimistic projections from the Legislative Analyst's Office.

This post has been corrected. See the note at the bottom for details WASHINGTON -- Apple Inc. has used an elaborate web of offshore subsidiaries to avoid paying billions of dollars in U.S. taxes on $44 billion in foreign income over the past four years, a Senate investigation has found. Many of the tactics, such as cost-sharing arrangements, are common among large multinational corporations seeking to shift profits to countries with lower tax rates. T he investigation did not find Apple violated any laws.

WASHINGTON - Apple Inc., one of the most successful and valuable companies on the planet, will be tested Tuesday when Chief Executive Tim Cook testifies about the company's controversial tax practices before a hostile Senate subcommittee. Should the company, as Apple and Cook argue, be applauded for creating hundreds of thousands of jobs and paying $6 billion in federal taxes last year, among the most of any U.S. corporation? Or should Apple be reviled for stashing a hoard of cash overseas so it could legally skirt an additional $15 billion in taxes over four years, making it potentially one of the country's biggest tax avoiders?

SACRAMENTO - California has been flooded with revenue this tax season and is on track to finish the fiscal year with a surplus of billions of dollars, according to officials. State coffers contain about $4.5 billion more than expected in personal income tax payments. Nearly $2.8 billion of it arrived April 17, the third-highest single-day collection in California history, according to government figures. Business taxes have also rebounded and are likely to be $200 million ahead of projections.

A former San Diego police officer pleaded guilty Wednesday to evading $63,000 in income taxes from 2001 to 2003 on his salary and money he made selling property stolen from the police evidence room on EBay. James Estrella, 46, faces up to five years in prison when he is sentenced Dec. 5 in federal court. He has also pleaded guilty in Superior Court to four counts of receiving stolen property.

SACRAMENTO -- California is primed for a strong month for tax revenue after the Legislature's top budget advisor said Tuesday was among the biggest days for tax collection in state history. The state raked in $2.7 billion in income taxes Tuesday, according to the latest figures from the Legislative Analyst's Office. April is the most critical month of the year for income taxes, which are expected to supply more than 60% of general fund revenue for the current budget. So far this month, the state's income tax revenue has totaled $6.02 billion.

MOSCOW -- The Russian government has no idea how about 44% of the country's registered workers are making a living, a top official said Wednesday. Deputy Prime Minister Olga Golodets said the government is unaware of what's happening with about 38 million of the 86 million Russians registered as workers. About 48 million people are working in sectors of the economy that officials “can see and understand,” she said. “It is unclear what everybody else is involved in and to what extent,” Golodets said at an international economic conference at the Higher School of Economics in Moscow.