You’re still not getting it.
In your table, his full income including wages and business profits is taxed only at the personal level. The 9% Business tax would ALSO apply to his profits and wages, since they are not deductible from total business revenue. If it was a corporate structure, and the profits were passed to him as Dividends, then they would be taxed only once at the individual level. But without the corporate structure paying out dividends, the business tax applies to all of it, then the individual income tax applies to all of it AGAIN. Then when it is spent, it is taxed AGAIN, except there is less to spend because it was taxed away by the business and individual taxes.
As you know (or maybe you don’t), the existing 15.3% Payroll tax doesn’t apply to all wages. It only applies to the first $106K of wages, and only the Medicare 2.9% rate applies to the other $268K of wages. Payroll tax doesn’t apply to ANY of the $5.2M in business income. So stop throwing around the 15.3% number as though it applies to all income rather than just a tiny portion of it in cases like this.
You are insincere in suggesting the FairTax appeals to you. You complain that someone with numbers like this tax return would only pay ~$1.4M under ‘9-9-9’, but under the FairTax they would only pay ~$1.2M of their $5.2M income. Probably much less since the FairTax gives them the option of paying nothing if they spend outside the country.
Same with your talk about a “flat tax above a certain exemption amount”. An exemption amount accomplishes nothing but rewarding the low income people for being low income, and guaranteeing a large pool of voters who have no skin in the game and no incentive for responsible government spending.
Your entire rant amounts to professing Marxist ideology — maintain punishingly high tax rates on successful people so you can preserve the tax-freeloaders who’ve failed at life. Rewarding failure and punishing success is the Democrat’s position. You are on the wrong website. Go back to DU where you’ll be more comfortable.
http://larrymwalkerjr.blogspot.com/2011/10/obamas-9-9-9-tax-cut-for-blind.html
And who will Cain be running against in the general election? I think you’re not getting it. Cain simply plays into the rant, “Republicans just want to help the rich.” And there is no way in hell I would vote for him. I would either sit it out, or go with a 3rd party. You better give me Newt, or somebody with common sense.