Posted on 10/18/2011 3:59:44 PM PDT by mdittmar
The first detailed analysis of Republican presidential candidate Herman Cain's 9-9-9 tax plan found that it would cut taxes for Americans making $200,000 or more a year and raise taxes for those making less than $200,000 a year.
The analysis was released today by the independent Tax Policy Center, a joint venture by the Brookings Institution and the Urban Institute.
Cain's 9-9-9 plan, which would institute a flat 9 percent business, individual and national sales tax, has been credited for catapulting the former Godfather's Pizza CEO to the top of the Republican race.
The Tax Policy Center found that if the plan were instituted, those making more than $1 million would receive a $455,000 (15 percent) tax break, while those making $20,000 to $30,000 would see a $3,800 (15 percent) tax increase.
Derek Thompson of The Atlantic put together a graph with the information from the Tax Policy Center. It shows the percentage change on effective tax rate by annual income:
Illegals and welfare moochers will begin paying federal tax. What’s so difficult to understand???
“those making $20,000 to $30,000 would see a $3,800 (15 percent) tax increase.
This presumably ignores the repeal of the payroll tax, as well as the price reductions in goods due to the reduction of embedded taxes.”
Considering the Earned Income Credit (i.e., where the government write you a check, rather than you paying any income...as long as you file)...yea, it’s about time to SCRAP IT, once and for all.
Why am I paying good money for government supported propaganda?
The MSM will propagandize me without tax money.
Cain plans to cut too. 10% across the board, and deep dives and he has specifically mentioned the EPA and NEA. He plans to repeal Obamacare. He mentioned in one speech he would have a “deregulating” committee made up of people most hurt by the EPA :-) He also says we need to stop giving money to our enemies.
If you read it their whole analysis is flawed. They try to equate all the taxes to a relative Sales tax amount and get 27%. The then apply that rate to everyone as the “Tax Burden”. The plan is not structured that way and it is an insane way to approach analysis.
Turns out you are wrong ~ the CLAIM is that half of Americans pay no FEDERAL INCOME TAX. It is wrong to say that half pay no taxes at all. Saying that identifies you as someone who does not have a clue about taxation in this country.
Actually they are all right. People and households making around a bit lss than $50k/yr get the EITC (earned income tax credit) and if they have children they get a $1500 credit per child.
Some of them actually get rebates. You may want to bone up on this a bit more.
I don’t think so. My cpa and I both did the calculations using my 2010 federal taxes for comaparison and I would take roughly an additional $4100 hit with the 999 plan. It matches well with this report. People are jumping on board this plan without actually seeing how it affects them. Wake up people.
Cut taxes for WHICH rich guy? Not for the head of General Electric. The rich are accomplished tax dodgers.
No, he's not and I think it's a great plan. I also like Buffet's plan to balance the federal budget: In any year when the budget is not balanced, NONE of those members of Congress can run for reelection. Perfect!
Seems like the right direction to me.. We might even catch up with China & India who are creating more NEW millionaires than we are, currently.
I said anyone who talks like you do about the income tax is just TOTALLY IGNANT of taxation in this country.
Try studying up on this stuff before opening your piehole.
BTW, the people in Occupy are probably as IGNANT although that would be difficult.
I highly recommend people crunch the numbers themselves:
http://raisingcain2012.wordpress.com/about/
A lot of people end up pretty surprised at what they find.
Also, there is a sales tax calculator:
Yes, they should pay, but why are you wanting to hurt yourself at the same time? Do you have an extra $3000 or $4000 lying around to give to the govt every year?
And we are expected to believe that someone who thinks it is okay for 2 % of the population should be the only ones paying income tax?
You sound like someone who should be camping in some city park.....or under a bridge.
Aha....you are one of those lucky people benefiting with the right tax loop holes! About time the loop holes are closed!
Simply eliminating EITC would probably cut the federal budget less than $50 billion per annum. Ronald Reagan invented this one. Why don't you take up your arguments with him.
SO.....
I won’t take up anything up with Taft - he’s dead and it’s irrelevant. The only people that would want to tax just the top 1-2% are communists, fools and idiots. So save your patronizing history lesson crap and go join your friends at Occupy Wall Street since you have so much in common.
I don't think you are very Conservative. You don't know American history and you don't even begin to understand what the more Conservative Republicans have done for or to this country.
It probably ignores the reduction in price of goods, because so far as I can tell, there won’t be a reduction in the price of goods. People who claim that forget that current taxes, though high, are only paid on profit, while the new sales tax is paid on the entire cost of goods.
They also ignore that Cain gets rid of corporate deductions, so the 9% tax is applied to 2-3 times as much of a corporation’s earnings as the current tax is. For example, Cain doesn’t allow a deduction for the cost of wages, which means it effectively taxes the employee’s pay 9% at the employer side. That is more than the employer payroll tax right now. So the employer actually pays MORE in tax per employer under Cain then under the current system.
Look — Cain’s plan is revenue neutral. That means it raises just as much in taxes as the existing plan. And it is also obvious that rich people pay a lot less under Cain — that’s because rich people already lose their deductions in existing law, so cutting deductions doesn’t hurt them, and they paid the most now.
If the rich pay less, the poor have to pay more. And sure, WE like that, but the average american will NOT like it.
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