Federal Payment $122,703 : Reagans’ Total Tax Bill Runs to 41.2% of Income
President Reagan and his wife, Nancy, paid $122,703 in federal income tax on 1985 income of $394,492, according to copies of their tax return released today by the White House.
Spokesman Larry Speakes said the payment came to 31.1% of the Reagans’ gross income.
Counting state and federal tax payments, he said, they paid 41.2% of their gross income in taxes.
The Reagans claimed $39,795 in state and local tax payments as deductions, including $33,956 for state and local income taxes, a deduction that Reagan has proposed eliminating in his tax revision plan.
Speakes said the Reagans signed their tax return April 2 at their ranch near Santa Barbara, Calif. The return was mailed to the Internal Revenue Service in Philadelphia with a return receipt requested.
The Reagans’ income consisted of his $200,000 salary as President, from which $65,765 was withheld for income tax; $782 which Mrs. Reagan received as fees for television performances, which she is required to accept because she is a member of the American Federation of Radio and Television Artists; Reagan’s $28,091 pension as a former governor of California; $17,282 in royalties accrued over several years from his 1961 autobiography, “Where’s the Rest of Me,” plus dividends, capital gains, rental income and proceeds from a matured life-insurance policy.
The Reagans made contributions of $23,298, which Speakes said is 14.2% of their net income. They included $7,500 to Eureka College, Reagan’s alma mater in Illinois; $5,000 to the Northwestern University Medical School, with which Mrs. Reagan’s father, the late Dr. Loyal Davis, was associated, and $10,798 in smaller contributions.
Reagan listed his occupation as “U.S. President.” Mrs. Reagan’s occupation was listed as “First Lady.”