Posted on 02/08/2016 7:00:17 PM PST by kiryandil
**snip**
...Ted Cruz has endorsed policies that would fundamentally change who pays the federal government’s bills, and how.
Expect the establishment wing of the Republican Party to increasingly draw attention to this fact, especially when it comes to his tax policy. While on the one hand Cruz’s plan hews to Republican orthodoxy in its large tax cuts for the wealthy, he also embraces a European-style Value Added Tax, which is a lot like a sales tax, as replacement for all payroll taxes, and which would enable the elimination of all income tax outside a 10% flat tax for all earners...
**snip**
...The downside to this is that his plan is both very regressive - shifting the burden of paying for the federal government onto the middle and lower classes during a time when only wealthy Americans are seeing economic gains - and that it places particular pressure on older Americans living off of social security.
As my colleague Shawn Tully points out, the Cruz plan would increase the price of the things we buy everyday by a lot. Cruz would argue that this would be more than offset by his tax plan’s increase in take-home pay. But what about people who no longer earn wages, like retired folks living off social security? They worked their whole life paying income taxes, and if Cruz’s plan is enacted, will have the rules of the game change on them when they can afford it least. Their entitlement payments won’t go up, but the price of everything they buy will.
Since older Americans vote in greater numbers than any other demographic group, and senior citizens are now one of the Republican Party’s most reliable voting blocks, expect Republican hopefuls to increasingly attack Cruz on this point in New Hampshire this week and beyond.
(Excerpt) Read more at fortune.com ...
That is his actual plan. the hidden VAT tax is supposed to make up for the revenue lost on the 10% flat tax. How do think think the feds would actually operate on a flat tax of 10% and nothing else. The business VAT could also be raised behind closed doors without much public awareness. It would be great for Cruz’s hedge fund donors.
I didn't put it Breaking News.
I don't think I've put anything in Breaking News since 1998.
You actually have to GO to that section of the topics posting area and select it. I got my fill of being the first one on the trigger in the impeachment wars.
ok, I see what you are saying. That is not his intent IMO but run with that if you must. I am a Trump supporter but I want Cruz over ksick and Pu$$y.
Of course you didn’t notice the backdoor way of ending Social Security, right. That will go over big.
I warned the cruzers about the Media DeathStar.
There isn’t any. It’s the backdoor way to bleed Social Security.
Flat not VAT tax, you moron Matthews.
But there are people here who hate Cruz so much they would post drivel from one of the press’ most craven idiots. I'm surprised more people aren't getting zotted these days.
I didn't put it Breaking News.
I don't think I've put anything in Breaking News since 1998.
You actually have to GO to that section of the topics posting area and select it. I got my fill of being the first one on the trigger in the impeachment wars.
A VAT STINKS ON ICE !
The VAT is terrible, institute tariffs on imported goods if the US government needs to raise money in a different and better way. The VAT is the key to socialism....
Laffer did NOT help Teddy with his tax plan.
This thread is delusional.
Cruz does not advocate a VAT in any way.
Trump's tax plan is more in line with Bernie Sanders than it is with anything resembling Conservatism. Here is what he said back in August:
SEAN HANNITY: "Do you believe in supply-side economics inasmuch as you reduce taxes on everybody, including the wealthy, and that a rising tide lifts all boats?"
TRUMP: "I don't fully believe in it, but there is something to it. I don't fully, you know, I've studied it..."
HANNITY: "But you don't want a flat tax, you have said that."
TRUMP: "I don't like when everybody's paying the same."
Oh yeah...like Cruzers post every single anti-Trump article they can find, from Slate to Salon, to the HuffPo, and on to blogs NOBODY has EVER heard of, many times over, 24/7!
Your photo doesn’t appear on my screen most likely due to my browser’s noscript/adblock settings or something.
Its a loser.
Trump's plan is much more business friendly.
Can you provide the details, reasoning, and logic behind those statements, or are they just statements?
Apparently, National Review thinks it's a VAT. They had another article on the same thing a few days later.
A proposal as comprehensive as what is being proposed will need to be examined so NO GROUP of Americans is harmed, and ALL GROUPS of Americans benefit. Simplifying the tax code, lowering the rates, and eliminating the payroll tax to restore incentive to work for the lower middle class are vital. But, fairness is important. I myself share this particular concern (I have some some other concerns as well). This particular concern can be addressed by an increase in the S.S. monthly payments so as to offset the VAT or sales tax-like aspect of the proposal. (This fix is really that simple!) Working people will get a huge increase in their take-home pay because of the elimination of payroll taxes. This will more than make-up for the VAT aspect of the proposal. But, those receiving S.S. benefits won’t have this off-set. Going through the proposal step by step in such manner might require an adjustment in the rates so as to not blow a hole in the deficit, but fairness has to be a very big priority has to be as high a priority as tax simplification, lowering the rates, restoring the incentive to work, balancing the budget and ensuring the solvency of S.S. and Medicare. We can and must do all these things without hurting any group of us.
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