Herman Cain lashes out at 9-9-9 critics

Washington Post ^ | 14 Oct 2011 | Sandhya Somashekhar

[mandaladon]

Bartlett, Tenn. - Herman Cain lashed out at his critics Friday, accusing detractors of his 9-9-9 tax reform plan of trying to slow his newfound momentum with baseless attacks. During his first campaign swing since surging in the polls, Cain told a tea party crowd near his birthplace of Memphis that the plan would grow the economy by five percent at minimum, and pledged to pass it in his first 90 days in office.

“Can y’all see the bull’s eye on my back?” he joked to the crowd of several hundred supporters who had gathered in a city park here to see Cain. His critics, he said, “don’t know how to respond to a real solution to a problem.”

Questions have mounted about Cain’s proposal, which would throw out the federal tax code and replace it with a nine percent flat income tax, a nine percent flat corporate tax and a nine percent national sales tax.

The name of the plan has become so synonymous with Cain’s upstart presidential bid that a supporter here held up a sign that read, “Category 999 HURRICAIN.”

Independent analysts who pored over the plan in recent days have said it would raise taxes on the poor and middle class. Fellow conservatives have warned that those nines could creep upward over time. And observers have noted that it would face an uphill battle in Congress.

Cain on Friday derided the former criticism as “Washington math.” He said that citizen pressure would prevent lawmakers from gradually raising the tax rate, which he called “sneak-a-taxes.” And the businessman said he is not afraid to promote a plan that is politically unpalatable.

[Jane Long]

Thanks ;-)

[Jane Long]

Thanks for the link ;-)

[eyedigress]

No problem. Your post begged for it, as you know. ;^)

[Antoninus]

Those criticizing Cain really seem to be defending a tax system that is a thousand times worse than his very straightforward flat 999 plan. Strange how liberal conservatives become when they actually get what they say they want...hmmm maybe they don’t really believe in small govt afterall.

Exactly. And that's the genius of Cain's position. To those who attack it, all he has to say is: "You want to defend the complicated system that everyone hates in place right now? How's that workin' for ya?"

[eyedigress]

I will repost it as we are on the second 50.

https://www.hermancain.com/donate

[eyedigress]

Or third......

[sybilll]

I was at that rally today. He hit on ALL cylinders. WaPo dare not mention the racial make up of the crowd because it was quit diverse. I agree though that the 9% national sales tax will be hard to get any traction, seeing as 47% of American’s pay zero income tax. They have no motivation to want to impose a sales tax on themselves, even if it is the only way back to prosperity.

[DTxAg]

It would be harder to raise taxes under 9-9-9 because everyone pays so everyone would know they would be paying more.

Nope. You keep assuming under 999 that Congress can't raise taxes differently. It can. Unless you amend the Constitution, Congress can and will raise income taxes on the rich just like it does now. 999 doesn't change that.

[New Jersey Realist]

Instructions for making cheap, durable Cain car-window stickers.

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Why go to all that trouble. Just go to Cain’s donate website and buy the stickers from his store.

[Eepsy]

I figured things fairly pessemistically when I ran the numbers. If every non_tax/non-savings outlay I have is taxed at 9%, that and the 9%income tax equates to a 20% tax increase for my family. If I can shelter 25% of outlays from the sales tax, it will be neutral. The only thing I’m sure I can exclude is mortgage payments on my “used” house, so I’d only need to find a 15% reduction. this plan would surely cause the prices used items to soar in tandem with the rate on new items so I can’t be certain how much I could reliably save.

Has anyone seen mention of whether the sales tax would apply to purchase of stocks or mutual fund shares?

[Atlas Sneezed]

I’m not sure I could support cuts in government spending. After all, whats to prevent future presidents/congresses from ratcheting the spending right back up again, perhaps to levels even higher than we have now?

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LOL

[Atlas Sneezed]

Do you oppose spending cuts when there is a chance that a future Congress might increase spending?

[DTxAg]

Do you oppose spending cuts when there is a chance that a future Congress might increase spending?

Cain's plan is allegedly revenue neutral, so we aren't talking about tax cuts. And the claim is constantly being made that under 9-9-9 it's harder to raise taxes because it affects everyone. That is absolutely false. You can raise the income tax rate on "the rich" or drop the income tax rate on "the poor" under 9-9-9 just as easily as they do now unless you amend the Constitution.

[Tax Government]

No trouble, really. Think of slogan, print, visit store. Send $ diff to a worthy cause.

[MNJohnnie]

Screaming hysterically doesn’t change your ignorant lie to truth.

Glad you have feelings about Perry. Your feelings about Perry do not excuse your complete inability to make a rational case for him.

[DTxAg]

Screaming hysterically doesn’t change your ignorant lie to truth.

You argue like a liberal. Complete inability to stick to the facts, but plenty of name calling and insults. The fact is that nothing in 999 says Congress can't increase the tax rate on "the rich" or reduce the tax rate on "the poor". Nothing but a Constitutional amendment would do that. But since I'm lying, I'm sure you can point to the provision in Cain's plan that would prevent different income tax rates on different people, particularly after a Democrat gets elected president.

[07Jack]

Sorry not going there. My post was directed at a like minded Cain supporter describing Cain's interview on the Smirconish radio show and was not intended as an attempt to sway hearts and minds that a FAMILY making $50K would be better off under 999. That is not our personal situation as we are in a higher tax bracket than you are assuming. My wife is a payroll clerk and used her salary as she is very familiar the tax breakdown. My point was: Cain is asking folks to stop listening to media critics and do the math for themselves and decide how 999 will affect their personal situation and then balance that on what they think is best for the country. I personally think 999, if enacted, would be good for the country and good for conservatism but as a practical mattter I am concerned about how it will be received by the public in the general election.

[Netizen]

No trouble, really. Think of slogan, print, visit store. Send $ diff to a worthy cause.

Like to the candidate you claim to be supporting?

[Tax Government]

Like to the candidate you claim to be supporting?

What's this "claim" stuff? He isn't in the bumper-sticker business.

[rolling_stone]

...Has anyone seen mention of whether the sales tax would apply to purchase of stocks or mutual fund shares?.....

I dont know, under 999 but its probably not taxable like under the fair tax as it is supposed to be a personal consumption tax.

Fair Tax
What happens to the stock market, mutual funds, and retirement funds?

Investors prosper greatly under this plan, since corporations face lower operating costs and individuals have more money to save and invest. The reform significantly enhances the retirement savings and/or retirement spending power of most Americans. The purchase of stocks is considered a purchase for investment purposes and not personal consumption so they are purchased tax free. The service fees charged by the broker, however, are personal consumption and therefore subject to tax.

http://www.fairtax.org/site/PageServer?pagename=about_faq_answers#29