Obama targets "wealthy few" after Romney faces tax quiz Published on Wednesday 25 January 2012 00:00 President Barack Obama issued a rallying call for a fairer society in a highly-politicised State of Union address last night, as a potential Republican challenger struggled to defend his vast earnings and low taxes. The White House incumbent's speech argued the need for an American economy in which all would prosper, and not just "a wealthy few." The remarks set out a major theme in the presidential election, with Mr Obama attempting to portray the Republicans as the party of privilege. In anticipation of the speech, potential rivals hit out yesterday at Mr Obama's "divisive" comments, while defending their own personal wealth. After weeks of being pressed to publish his tax returns, Republican candidate Mitt Romney finally came clean on the issue yesterday. Documents released by his campaign team showed the former Massachusetts governor and his wife earned $21.6 million (£14m) in 2010. On that sum, he paid $3m (£2m) in taxes, at a rate shy of 14 per cent - far lower than most Americans. The couple's effective tax rate will increase a little on 2011"s earnings, when they are expected to pay 15.4 per cent on $20.9m (£13.4m). The disclosure also revealed that a large chunk of the former businessman's cash was squirrelled away in the Cayman Islands and Switzerland. During a debate on Monday night, Mr Romney declared: "I pay all the taxes that are legally required and not a dollar a more." He justified the low rate by adding: "I don't think you want someone as the candidate for president who pays more taxes than he owes." But the focus on Mr Romney's money - not least by fellow Republican candidate Newt Gingrich - is damaging. Having seemingly been in a commanding lead a week ago, the perceived front-runner has slipped in the polls and was comfortably beaten in the South Carolina primary by Mr Gingrich. In Florida on Monday, Mr Romney tried to regain initiative by attacking the former House speaker's record. Having branded him a "failed leader" during his time in Congress, Massachusetts's former governor accused the right-winger of becoming a lobbyist for mortgage giant Freddie Mac. Mr Gingrich denied charges of being an "influence peddler in Washington," stating that the $25,000 a month he was paid for six years by Freddie Mac was for his services as a historian. This in-fighting by Republican candidates over tax and earnings plays into Mr Obama's hands. In a video message to supporters last weekend, Mr Obama said he would demand "fairness for all and responsibility from all." He added: "We can go in two directions. One is towards less opportunity and less fairness. Or we can fight for where I think we need to go: building an economy that works for everyone, not just a wealthy few. To hammer the message home, the White House invited tycoon Warren Buffett's secretary Debbie Bosanek as a guest for the State of Union address. Last year, the US billionaire called on Congress to tax him and his friends more, pointing to the fact that many of his employees, including his secretary, pay a higher rate than he does. In a "pre-buttal" delivered on the stump in Florida, Mr Romney accused the president of trying to create a "European-style welfare state" in America. He said: "He has run out of ideas, run out of excuses and in 2012 we are going to make sure he is run out of office." The remarks were delivered under a banner stating: "Obama isn't working" - a nod to the famous UK Tory slogan in 1979.