Romney returns reveal tax code complexity

In examining presidential candidate Mitt Romney's tax returns, The New York Times reports, a close analysis indicates that he actually overpaid by about $44,000.

Many may have failed to realize this, the source notes, but it appears that Romney's returns overstated his capital gains so that he and his wife were assessed extra taxes. The news source reports that this occurred because of an error by the trustee of one of the Romney trusts.

The source also points out that Romney and his wife saved $1 in taxes during 2010 due to a tax credit for employers who hire workers who meet certain criteria, such as people who have been on welfare for some time.

These details, the source notes, underscore the complexity of the nation's tax code. Another example found in the Romney tax returns is a grantor trust set up by Romney and his wife for their five children. Through some knowledgeable estate tax planning, they effectively give their children millions of dollars. While the two cannot use the profits from assets in the trust, the source notes, they pay taxes on the trust's gains themselves to give their children more.

Time magazine notes that the candidate's returns were nearly 550 pages long. While day traders may not have to cope with complexity on that scale, the services of a professional accounting firm may still be useful in coping with the many, ever-changing provisions of the U.S. tax code, particularly with many lawmakers proposing further changes.