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Posted on 10/15/2011 7:28:56 AM PDT by BarnacleCenturion
Herman Cain’s catchy 9-9-9 tax overhaul system is gathering major supporters as the former pizza magnate consolidates his position at the top of the Republican field in the race for the White House.
House budget committee chairman Rep. Paul Ryan and Ronald Reagan’s economic guru Art Laffer both expressed their support for the plan which would replace the current tax code.
The anti-tax Club for Growth also came out in favor of Cain’s plan which would cut income and corporate taxes to 9 percent and institute a new national sales tax at the same level. Payroll, capital gains and estate taxes would all be eliminated under Cain’s proposals.
Eventually Cain’s plan calls for the complete elimination of income taxes – and the IRS – and the introduction of what he calls the Fair Tax, in which the all Federal revenue would come from a sales tax.
“I love the 9-9-9 plan, it’s a great first step,” Laffer told Fox News’ Bret Baier. “This is a lot better than our current tax laws that are filled with all sorts of ducks, chickens, pigs and turkeys. They’ve just got to be cleaned out and we’ve got to completely revamp the codes.”
Club for Growth president Chris Chocola called the 9-9-9 “an outline for a more prosperous and globally competitive America,” saying it is “both pro-growth and a good starting point on the way to a flat or fair tax.
“Eliminating taxes on capital gains and dividends and combining that with huge rate cuts in both corporate and income taxes would create an unparalleled economic boom,” said Chocola. “9-9-9 also eliminates the regulatory and compliance costs from the current tax code that suck billions out of the economy each year.”
(Excerpt) Read more at newsmax.com ...
Many Conservatives are afraid of 9-9-9. They prefer the Progressive tax code, the 70,000 page IRS code, and the vast bureaucracy of accountants who help twist business decisions in bizarre ways to avoid too much profit and income.
Bold ideas? Herman Cain? You bet!!
THE 999 PLAN,
http://www.minnpost.com/businessagenda/2011/10/14/32418/herman_cain_who_came_up_with_his_999_plan
Great idea, but what happens to retired folks on a fixed income? They have to pay the full blast just like folks that have replacable incomes? Where this becomes a big deal is if all taxation comes from a VAT (sales tax).
That would really hurt these people.
I am a believer in the plan, but the ones who will be negatively affected will be going Nuclear to stop him and protect their little kingdoms...
Getting rid of the IRS? Sign me up
Easy to fix retired folks’ problem. Just exempt soc sec from income tax.
No business deduction for labor?
I run a transport company and labor is my #1 expense.
Count me out on Herman Cain...
Conclusion
Mr. Cain’s 999 plan is on the right track with its goal of a lower, flatter, simpler, fairer, more transparent tax system. Nine percent would be a wonderful top rate for the income tax, compared to today’s 35% top rate. And let’s face it, abolishing the payroll tax and the death tax would simply be awesome.
But adding a national retail sales tax on top of the federal income tax (even a flat tax) is a bad idea, because it creates the infrastructure for a federal-level, European-style VAT.
And if Cain’s 9% personal flat tax failed to remain flat (as happened with Ronald Reagan’s promising but ultimately failed 1986 tax reform), we would end up with the worst of both worlds: a confiscatory income tax and a job-crushing VAT.
Paradoxically, then, if you want higher taxes and permanently bigger government, one way to get there would be to support Herman Cain’s 999 plan!
Two rousing cheers, for boldness and imagination. And one bronx cheer, for a dangerous lack of foresight.
http://www.freedomworks.org/blog/dean-clancy/herman-cains-999-plan-the-good-the-bad-and-the-ugl
A lot of professions have gone obsolete in the past century, its called progress. I guess in that sense then, dumping the tax code is a “progressive” thing to do.
Well, I like Perry - except for his border and illegal immigrant polices. I like Romney - except for his Romney Care. He says he will sign exemptions for every state on his first day in office. But, I don't trust him on this. I like Cain - except for his last 9, the federal sales tax aka Value Added Tax. If you don't believe that his 9% won't develop rate creep should it be implemented, then you're smoking dope - dope. Example, most European countries started out with this tax in the 4% to 5% range and now most have rates around 20%. So, of the three, who do I distrust the least? I'm leaning toward Romney. Reasoning, we need someone tough on the border issue asap so that leaves Perry out. The VAT is like giving an addict a bag full of cocaine, congress being the addict and the VAT being the cocaine. The tax rate with head straight north almost immediately after being implemented from 9% to who knows, and on and on and on........ Anyway, this means Cain is out too.
I'm basing my support for Cain on Cain's tax plan. I have no idea what you're basing your opposition on.
.....No business deduction for labor?
I run a transport company and labor is my #1 expense.
Count me out on Herman Cain...
How much do you pay in SS and Medicare for
your employees which you would not have to pay under 999?
payroll taxes include the following:
•Social Security taxes (6.2% up to the annual maximum)
•Medicare taxes (1.45% of wages)
•Federal unemployment taxes (FUTA)
•State unemployment taxes (SUTA)
Cain's proposal is not a VAT tax.
That Value Added Tax is an indirect tax, which is imposed on goods and services at each stage of production, starting from raw materials to final product. VAT is levied on the value additions at different stages of production.
Conclusion
faulty based on facts not in evidence. TO raise taxes substantially Congress would need the people behind them. 999 creates a broader base of taxpayers, including 50% who now pay no taxe. Do you think Congress will raise taxes on their constituents who now have to pay taxes when they cant just tax the rich any more? Its a win win for smaller govt and less taxes.
.
Easy to fix retired folks’ problem. Just exempt soc sec from income tax.
::::::::::::
Understood for 9-9-9 — no problem. But part of his plan is to convert ALL TAXATION over to sales tax (VAT). That is what hurts the ole folks on fixed incomes. The VAT becomes very large. I don’t think that part of the plan would work for those folks - he would need to see the impact of that.
The 999 part is great — but not a full VAT only.
The federal tax is the VAT tax that has killed Europe’s economy .
The federal tax has been the Dems dream tax.
Can you imagine what Ibama would do with a Federal tax !
It would also allow the UN a way to tax ever US citizen which is another d
Dem party fantasy come true .
I can’t believe no one sees this huge Pandora’s Box?
“Getting rid of the IRS?”
Now, that’s what I’m talkin about!!! Cain needs to keep shouting this from the rooftops! The details of 999 would be hashed out in Congress anyway. However, the potential to stick a knife in the IRS resonates with every voter, except for CPAs, lawyers, tax preparers and IRS agents. I am looking at some form of 999 to eventually replace the current tax code, not be in addition to it, as some of these pundits are saying. This is the kind of innovative thinking we need from
a conservative candidate!! New bumper sticker: Vote for Cain, Kill the IRS!
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