By making the flat tax optional and maintaining the entire present albatross of the present tax code monstrousity and the IRS, Perry’s plan seems to be building in more bureaucracy, more compliance costs, more desperation for crony capitalism to be pushed under the code, and more, rather than less, social division among Americans.
One of the very important principles that animates the 999 plan, a principle which comes from the Laffer Curve, is that the tax base must be broadened.
Perry’s plan does not broaden the tax base (i.e., turn more non-taxpayers into taxpayers). And it further complicates and balkanizes the tax base we have now.
I don’t see it.
And what about the fact that the 20% can be raised and raised and raised, all the while the present tax code can be made more and more complicated (i.e, corrupt) — because there is no more, and in fact there is LESS, political accountability built into the system than there is now because taxpayers would be further balkanized and, thus, could be further pitted against each other?
It is not something I would want for our country.OBTW it is not revenue neutral.
I agree that the optional part of Perrys plan leaves the current bureaucracy in place.
But I see no hope of Cains plan becoming reality without repeal of the second amendmant.
Heck, he calls on the “Super Committee” to implement phase 1