mr. buffett, do that, i'll release my tax returns. warren buffett wrote back and said, i will be delighted to release my tax returns if you can also get some of the wealthiest americans to do the same. so, let's take a listen to what warren told me about why he is saying that. take a listen. >> i'm delighted. i would be delighted to get my return along with the others of the ultrarich and then we can just see exactly why the tax system produces these huge tax inequities that result in me and the ultrarich paying a much higher tax rate than probably you pay, poppy, or for that matter, that the congressman pays. >> also some news he made also yesterday to us, kyra, what he made. you can see it right there on the monitor next to me. $63 million, that's what he brought in in 2010 alone. he paid roughly 17.4% in taxes. his argument here is that he says he is paying less than those in his office and less than americans. i spoke to him in depth yesterday and he also issued this statement. he said, "mr. buffett still refuses to release his tax

mr. buffett? >> my class has won. we've gotten our tax rates reduced dramatically. >> you heard the man, but all i hear out of you is this -- >> we could get into this, tax the rich, tax the rich, but that is not -- that's not the basis for america. >> higher taxes are not the answer. >> why are we even talking about tax hikes. >> tax increases i think are off the table. >> off the table? let me show you hoe ridiculous you are. the president is proposing a jobs plan funded by the wealthiest 0.2% of these taxpayers. that's about seven inches of a football field. american taxpayers are this whole field, and your party is concerned about seven inches of it. that's about half the length of an actual football. you accuse this president of class warfare? >> when i wake up every single morning, what i'm thinking about is how to create an america, in which you have opportunity in which anybody can make it if they try, no matter what they look like, no matter where they come from, no matter what race, creed or faith. we are go

mr. buffett still refuses to release his tax returns.he does disclose may be accurate but is incomplete and fails to explain how he shelters millions of dollars in income. he went on to say that it's unprecedented to say that we would write an entire law based on one man's anecdote without actual proof through charitable giving he demonstrates that he does not trust washington with his own money either. so i think this is interesting, brooke. we're going to want to watch this. this is one man saying if the tax proposal is going to be named after you, look, in august he just gave us and the congressman and follow this very closely. >> poppy harlow, thank you very much. >>> still ahead, the defense drops a big bombshell in the trial of michael jackson's doctor. this one day after the entire world sees the singer's autopsy photo. >>> plus, a teacher is fired after a parent complains about a picture on her facebook page. she's seen on vacation holding a drink. so we're now learning whether she won the lawsuit or not. >>> also, new video here

mr. buffett came before my budget committee, we'd expect to see the information under oath and that's a reasonable expectation if we're going to change our nation's tax policy based on his claim. i'll trade my tax returns for his tax returns and we'll compare them then make a discussion about tax policy after we see them. >> congressman huelskamp followed that up by a letter to warren buffett with a i'll show you mine if you she ow me yours proposal. this letter was publicly released today. the statistics published by the irs, assembled by the congressional research service available to every congressman which show that the 400 highest income americans, the 400 highest income americans whose income averaged $227 million each, paid only 21.4% in federal income taxes. that's 14% below the actual top tax bracket rate. the federal government has the numbers numbers proving buffett's point. the congressional research has those numbers. the congressman doesn't seem to know that. in his letter, buffett specifies the key points in his tax return. "to be specific, my adjusted gross income, line 37, was $62

mr. buffett. of course he's one of the president's big allies, but i would like to suggest something called the solyndra rule. under this rule, before any proposals are offered to raise any taxes, we first put an end to the wasteful, inappropriate spending in washington. shouldn't we first clean up our act before we demand the american people to send more money up here? until we do that, raising tax rates only will be funding continuing abuse of the american taxpayer. raising taxes to bail out congress is like giving money to the alcoholic on the way to the liquor store. it doesn't help matters if the money comes from a wealthy person if the money is going to be used for an unwise or unhealthy result. so it's time for the president and this senate to get their spending habits under control. and these bills before us, i'm afraid, and the ones that we will be seeing really don't reduce spending but increase spending. so, mr. president, i thank the chair for the opportunity to express my concerns abo

mr. buffett came before my budget committee, we'd expect him to show us the information under oath. and that's a reasonable expectation if we're going to change our entire nation's tax policy based on his claim. i'll trade my tax returns for his tax returns and we'll compare them. and then we'll make a discussion about tax policy after we see them. >> i tell you right, he backed him into a corner. there's no way warren buffett is going to come forward and say this is how much money i made last year. congressman husk, you got him nailed. he's not going to follow you into that briar patch. >> warren buffett responded -- >> what? >> to be specific, my adjusted gross income, line 37, was $62,885,38. my taxable income, line 43 was $39d,814,784, and my federal income tax, which is line 60 was $6,923,494. in addition, my payroll taxes were $15,300. >> kind of like watching a tennis match. so buffett has hit the ball back over. so buffett went on to point out that, if you look at the statistics that are published by the irs, it shows the 400 highest income americans whose incomes average $2

>>mark: warren buffett, the man behind mr. res' tax is revealing how much money he made last year. he disclosed that he made $63 million. he revealed that he paid 7 million in federal taxes. that is a 17.4% tax rate. buffett has said the tax rate is too low compared to what middle income wage earners may. he has been challenged by the wall street journal board to reveal his entire tax return. he said he will do so when rupert murdoch reveals his. >>justine: you are watching the kron 4 morning news, much more ahead. >>mark: an icy in san francisco with spots around the bay in the '80s and '90s. [people chatting] everyone, it's $37 a piece. paying with your smart phone instead of cash. that's a step forward. with chase person-to-person quickpay, you can send money directly to your friend's checking account. all you need is their email address or mobile number. don't worry honey, i'll show you. thanks everyone. so take a step forward... and chase what matters. (male announcer) live from the bay area news channel, this is the kron

buffett says he pays more than his secretary. he should pay his secretary more and she will pay more. >> mr. smith, i want to follow-up on that. we had the president's chief strategist on fox news sunday last week and he made the argument, you have heard a lot, the wealthy are not paying their fair share. take a look itch the american people are screaming out -- saying, it's unfair that the wealthiest, the largest corporations who can afford the best attorneys, the best accountants and take advantage of special tax treatments the lobbyists have along with lawmakers have cooked into the books here. >> mr. smith, is the white house right? are businessmen like and you mr. johnson getting off too easy on taxes? >> well, i think you have to divide the tax argument into a little bit more discreet argument. first of all, the top 10% of the taxpayers in the united states pay 70% or near 70% of all federal personal taxes. corporate taxes are only about 9%. the problem is when you talk about personal taxes, it takes everyone's eye off of the corporate tax situation. from 1986 forward, the united states has had, in essence, a similar tax

this is what warren buffett is talking about. mr.resident, if you look at the top .1% of our taxpayers, the very top, two-thirds of the money that they take in is from capital gains and dividends. only one-third is from wages. what does that mean with respect to this surcharge that we're going to put down? this is what the surcharge on earned income for millionaires will do. it will bring the tax on ordinary earned income from 35% first under the assumption to 39%, which is the failure to renew the bush tax cuts, and then to 45.2%. someone making wages -- who is really in this category? very few people. a lot of them -- let's say you're an athlete, as warren buffett mentioned. you have got three or four years in your career where you can actually make the money. you're going to get your income because it's ordinary earned income taxed at 45% of everything you make just for the federal, at the same time that capital gains tax, which is where two-thirds of the top .1% of our earners make their money is going to stay at 15%. that's what

mr. goldberg, i watch you and loud. -- a lot. what if we propose a 1040 holding tax. pay 40%. warren buffett would owe approximately $32 billion -- $32 million. holly would have [unintelligible] russell simmons, about $40 million. host: let's get his take. guest: i would have to look more at the actual proposal. i do not go into discussions of tax reform, figuring out how we can slice off greater portions of millionaires and billionaires. this whole idea that if only millionaires and billionaires paid their fair share and all the rest does not hold a lot of water with me to begin with. i am not in the business of -- warren buffett annoys me these days, but i am not looking to punish him. host: this tweet coming in -- guest: i think they are justifiably angry. what do you want to do with your anger? if you are angry, you can kick a kitten or you can dig a well. it depends on what you want to do with your and there. to the extent that the occupy wall street guys are these young and rugged individualists building their own water reclamation systems and biodegradable and whatever else, more powe