The media may say that, and the Democrats will try. 47% of the people don’t pay taxes, but what percentage of the VOTERS don’t pay taxes? How many of them will want to see the 47% start to be part of the system. It makes total sense to make everyone have skin in this game. It has to be shown that the poor and middle class will not pay more and ultimately will benefit greatly from it.
I am sure the question is difficult for many to grasp. Some here don’t like it. I do like it and I do believe that 999 would result in lower prices and higher wages, faster growth and lower unemployment. The higher wages can happen almost immediately if, for example, companies can be ‘pressured’ by media/politics to kick the 6.2% FICA matching funds back to their employees. If you got a 6.2% ‘raise’ that will offset most if not all of the 9% sales tax you are being asked to pay AND ensure that everyone including foreign visitors will help fund the national budget. Even black market drug dealers will pay taxes!
If the economy grows and unemployment drops, wages will continue to rise via wage inflation. With a 9% top rate corporations and foreign investors will want to come here not just for the rate but for the stability our country offers. With no tax on capital gains people will be encourage to take more risks. So it really can’t be allowed to dissolve into a question of “you are gonna pay more on day 1” but instead, assuming Cain wins the nomination, he will have to explain that this is a change that will result in little to no difference for the poor or lower middle class in the short term, and greater potential for them in the long run. And it also virtually guarantees the poor and the OWS crowd near direct participation. Because the taxes are direct and 100% visible EVERYONE becomes part of the decision making. This almost (but not exactly) helps democratize the Federal government.
As for the budget itself, 999 is meant to match dollar for dollar everything we do today. If we can cut the budget 999 can drop to 888 or 777 or lower still.
BTT for discussion.