Like you say, stores collect sales tax every day.
The issue, as I understand it, is when you get to the level of taxation that cause the black market to thrive. My state tax of 7% plus Cain’s 9% gives 16% and starts getting close to black market level.
I don’t think you can just add your state tax and a NST and say that’s going to be your tax burden.
Several other things about your financial situation will change.
For example, if you are employed, you are now paying payroll (”Social Security”) tax, sometimes listed on your pay stub as FICA.
That is around 7%, although presently it’s temporarily lower as part of a “stimulus” program. (BTW, ironic isn’t it, that even President Obama agrees that lowering the payroll tax helps the real economy. I guess Cain’s idea on this point isn’t so looney after all, eh? :O )
Under 999, that payroll tax is eliminated. You would no longer pay that 7% (just using a round number). Now remember that was 7% on every dime you earned, whereas the NST would be on every purchase you *decided* to make.
I think if you do your numbers, you’ll find that getting 7% more of your pay compared to paying 9% on your consumer purchases (which are majority discretionary) works out well for you.
And that doesn’t factor in that lower corporate tax rates under 999 would free up corporations to drive sales through lower prices if they wish or are “forced” into it by competition.