H Cain 9-9-9

[RACER X]

if you haven't heard

9% corp tax
9% income tax
9% fed. sales tax

"Cain, in his Wall Street Journal opinion piece, said the plan was designed to be revenue-neutral initially but that revenues would increase as the economy grows"

opinions?

[pauldun170]

Originally Posted by RACER X

if you haven't heard

9% corp tax
9% income tax
9% fed. sales tax

opinions?

Would suck for me.

My state taxes would likely go up my effective overall tax rate would go up.
Lets add in that state sales tax is already 8.25...add on federal and now I'm paying 17.25% on everything I buy (food, clothing,fuel...vehicles).
Inflation...yeah that would suck. Cost of goods and services would rise.
supply chain would in plenty of industries would have to be revamped.

Also, I would lose out on all the little stuff like pre tax 401k, commuter, health accounts. No more tax breaks for home ownership or dependents.

I can think of a bunch of other reasons why it would suck.

[Homeslice]

Slick-sounding marketing pitch

[fujimoh]

It would work

[Smittie61984]

I'm suprised Herman Cain has a plan like this. I've heard Cain for years on local talk radio and he is a huge supporter of a consumption tax/Fair Tax. Maybe this is like a middle ground for him.

Don't know much about this plan but I'll take just about anything over our current tax system.

[OneSickPsycho]

It would absolutely cripple the economy...

People aren't going to do the math... Even if it worked in their favor... All they are going to see is that 9% increase on everything they buy and they'll spend less... That wouldn't be terrible if it wasn't for the fact that it would happen all at once.

[OneSickPsycho]

Perhaps a progressive sales tax would fit this plan?

[Cass]

I don't think it's an increase... I thought it was a change. Scrap what is currently there, replace with this.

[Adeptus_Minor]

Originally Posted by Cass

I don't think it's an increase... I thought it was a change. Scrap what is currently there, replace with this.

That's how I read it too.

[Smittie61984]

Originally Posted by Adeptus_Minor

That's how I read it too.

That's exactly how it is. I never heard of hte 9-9-9 plan until recently but I've listened to Cain for 5+ years on local talk radio and he is extremely opposed to the 16th ammendment (and 17th iirc)