[newzjunkey]

It is *NOT* a VAT. Having _a_ supposedly defining feature of a VAT does not make it a VAT.

This is something Cain explained in an op-ed yesterday.

9-9-9 has no VAT. There's a retail sales tax on new item purchases only that consumers pay.

American business-to-business sales are deductible from the business income flat tax as are capital investments like machinery purchases.

Anyone claiming there's a VAT are scaremongers.

As anyone can see there's no supply-chain consumption tax in 9-9-9 and that's what a VAT is.

[Brookhaven]

The critics of Cain's plan seem desperate to label some part of it a VAT.

First they were calling the retail sales tax portion a VAT. That died down when people started educating themselves on what a VAT actually was.

Now their trying to call the 9% corporate income tax a VAT. I think that will die down when people start to compare it to the current 35% corporate income tax.

After all, if you're going to call Cain's 9% corporate income tax a VAT, what do you call the current 35% corporate income tax?

There isn't a VAT in the plan, and saying the 9% corporate income tax works like a VAT is not a valid criticism. Heck, I pointed out a while back that the current 35% corporate income tax works like a VAT, but for some reason you don't hear Michele Bachmann screaming about that.

The hidden 22% tax

[Brookhaven]

The critics of Cain's plan seem desperate to label some part of it a VAT.

First they were calling the retail sales tax portion a VAT. That died down when people started educating themselves on what a VAT actually was.

Now their trying to call the 9% corporate income tax a VAT. I think that will die down when people start to compare it to the current 35% corporate income tax.

After all, if you're going to call Cain's 9% corporate income tax a VAT, what do you call the current 35% corporate income tax?

There isn't a VAT in the plan, and saying the 9% corporate income tax works like a VAT is not a valid criticism. Heck, I pointed out a while back that the current 35% corporate income tax works like a VAT, but for some reason you don't hear Michele Bachmann screaming about that.