A lot of people are complaining that this will be the 29-29-29 plan before long. Any tax plan is subject to increases. The income tax started out as a simple plan to tax only the wealthiest and look at what we have today.
It will be harder for congress to raise a tax that affects everyone. Now only the top 50% pays any income tax so close to a majority aren’t affected by increases.
Money put into savings will be taxed at a lower rate. And too, there will be no capital gains tax to eat away at interest earned on savings.
Foreigners will be contributing to our tax base from purchases.
Businesses will be moving here from overseas instead of the other way around.
And, one of the best parts to this is the saving of the 400 billion now spent to comply with the current laws.
Yes it could become a monster just like the tax code we have now but it will take some time and the economic boom that results will be obvious to everyone. It will be up to the citizens to keep congress in line and with 100% paying in that will be much easier to do. When the top 10% of earners pay 70% of the tax it is a lot easier to get the population behind raising taxes.
Finally, the tax code should be a vehicle for funding legitimate government and not to pick winners and losers or affect peoples’ behavior or to redistribute wealth.
Well said. And welcome to FreeRepublic.
Oops, sorry—misread the date and thought you were new to FR!
The plan is supposed to be revenue neutral. So it is impossible for everybody to be getting a tax cut from it.
So far as I can tell, my current federal tax rate on my gross income is about 16%, if I include payroll tax. With all my deductions gone, and my income and savings taxed again at 9% when I spend the money, my marginal rate under Cain will be greater than 18%. I’m sure someone will come out ahead, and a lot of us will be taxed more.
A lot of people are complaining that this will be the 29-29-29 plan before long. Any tax plan is subject to increases.
You can worry about 9-9-29, but not 20-20-20.