The tax on businesses, which is effectively a VAT, is offset by the elimination of the payroll tax. For some businesses this will be a wash, for others a boon, and for others, a cost that will be passed on to their customers.
The analysis from the Tax Foundation shows the overall effect to be a boon to the economy:
According to the Tax Foundation's Taxes and Growth Model, the plan would significantly reduce marginal tax rates and the cost of capital, which would lead to a 13.9 percent higher GDP over the long term, provided that the tax cut could be appropriately financed.The plan would also lead to a 43.9 percent larger capital stock, 12.2 percent higher wages, and 4.8 million more full-time equivalent jobs.
On a static basis, the plan would cut taxes by 9.2 percent, on average, for all taxpayers.
Accounting for economic growth, all taxpayers would see an increase in after-tax income of at least 14 percent at the end of the decade.
I don't need another convoluted hypercomplex analysis from Ted Cruz or the Tax Foundation explaining how I will be better off when I pay more taxes.