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just to clarify and no I don’;t want to hear from those who oppose or support and come out with lies, just straight answers please.

Does this mean the child tax credit which went up under Bush will be gone?

Does this mean all deductions will be taken away?

Does this mean 9% will go on top of existing sales state tax therefore 8% will not be added to the new 9% therefore 17% is added on what you buy similar to a VAT?

I’m under the impression that if you make less than 20 grand then you pay 5.75% tax but this will go up to 9%?

Just yes or no please as the last time I saw these threads it turns into accusations, arguments etc and I can’;t be bothered right now with arguing .

Does this mean the child tax credit which went up under Bush will be gone?

As far as I know it does as of this point. That doesn't mean it won't be in the final version passed, but as of today it isn't.

Remember though, you have to look at the plan as a whole. And as hard as it might be, I suggest you also look at this in non-financal terms. I assume you have kids, so consider how changing/not-changing the system would affect your kids 10, 20, or 30 years down the road.

Does this mean 9% will go on top of existing sales state tax therefore 8% will not be added to the new 9% therefore 17% is added on what you buy similar to a VAT?

It is not a VAT. See this link for the difference: http://www.nerds4cain.com/forums/discussion/106/does-everyone-understand-the-difference-between-a-vat-and-a-retail-sales-taxs

There will be a seperate federal retail sales tax in addition to any current state sales tax. They will be two seperate systems. There is a retail price calculator here that will let you see how the expect changes would affect how much you pay for items here: http://www.nerds4cain.com/Blog/archives/917

Does this mean all deductions will be taken away?

Right now, charitable deductions are the only ones allowed. Personally, I hope it stays that way. Politicians used deductions to buy votes and "warp" the tax system to favor some groups over others. Removing them removes politicians ability to control our lives.

Again, you have to look at the system as a whole and how it would affect you.

I’m under the impression that if you make less than 20 grand then you pay 5.75% tax but this will go up to 9%?

999 has a flat income tax rate of 9% for everyone. It replaces the income tax (5.75% in the case you mentioned, and the payroll tax (15.3%, half is hidden becuase it is paid by the employer). It also replaces death taxes, capital gains tax, and reparation tax--the last two have been killers on business and job creation.

Under your scenario, the person making 20,000 currently has an income tax rate of 13.4% (or 21.05% if you include the taxes paid for the employee behind the scenes by their employer.)

There is a calculator that lets you play around with some of the paycheck numbers here: http://www.nerds4cain.com/Blog/archives/723

The maximum tax rate under 999 is 16.5% (this is if you spend every cent of your income, and spend it all on new (taxable) items.

You'll notice from the calculator that you can significantly affect your tax rate by purchasing used items (say at Goodwill, something that a person making under 20,000 a year is very likely to do)--these do not incur sales taxes.

I appreciate you asking questions. Like you said, these tend to turn into arguments instead of conversations. I hope you find the calculators helpful.

Does this mean the child tax credit which went up under Bush will be gone?

Yes.

Does this mean all deductions will be taken away?

There will be a deduction for charitable donations. All other deductions are eliminated.

Does this mean 9% will go on top of existing sales state tax therefore 8% will not be added to the new 9% therefore 17% is added on what you buy similar to a VAT?

The 9% will be added to existing state and local taxes, so if your state charges 8% then it will be a 17% tax on all new purchases. It is not similar to a VAT. A VAT tax is added to the additional value created at each stage of the manufacturing process from mining the raw material to completing the finished product. The Cain tax will be a 9% tax levied once at the final point of sale.

I’m under the impression that if you make less than 20 grand then you pay 5.75% tax but this will go up to 9%?

Depends on your circumstances. If you make $20,000 as a single taxpayer then you already pay income tax. If you make $20,000 and have a wife and a kid or two then you pay no income tax and probably get about a $2800 refund once all the child and working credits are factored in. So in that case you would pay maybe a few hundred dollars net in FICA. Under Cain you pay $1800.