To my way of thinking, Cain scored big with his apples and oranges comments.
Romney rather embarrassed himself because he couldn’t grasp the idea that state taxes will remain the same, whether federal taxes stay the same or not.
The 999 plan must be judged on it’s own vs current federal taxes. Trying to tie state taxes and federal taxes together just makes a candidate look like they can’t grasp simple issues.
There may be some validity to criticizing the 999 tax plan, but that is unrelated to state taxes.
If the 999 were to kick in, it would change the federal tax exposure. What people pay now would be changed to a 9% FIT + a 9% federal sales tax.
If you need to cut federal tax exposure under the 999 plan, you can opt to hold off on the new car purchase for a year, and eliminate the 9% tax on it.
Sure would hate to pay a 9% tax on the purchase of a new home.
Talking to a guy today he said what he liked about 999 is it destroys the IRS and all of the political loopholes. It eliminates an entire level of corruption.
Where in his 9-9-9 plan would the 9% be added to the cost of a new home?
Also, the cost of a new home would likely drop by at least 9% based on 9-9-9 as the builder wouldn’t be paying a 35% tax rate. Instead, they would be paying 9%, which would allow them to pass some of the savings on to the consumer.
Because if they don’t, someone else will.
That’s just how business is - it’s cut throat and if someone can sell the same product for less, but make up for it in volume, then they will.
I’ve used several analogies and examples over the past few nites to back this claim.
In truth, the cost of most goods and services would drop dramatically.
Remember the “Gas wars?” of the late 1960’s?
One station would be .03 cents a gallon cheaper than the one across the street.
And that’s when gas was .33 cents a gallon.
That’s just one example.
And they used to even give you free stuff like drinking glasses (collect them all!) and other incentives to buy gas at their station, like S&H Green Stamps.
Who else remembers those?
IMO, Herman Cain is best suited for bringing this country and its economy off of life-support and making it healthy once again like it was before the Dems started making the rules.