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To: Liberty Valance

The cartoon is factually correct.

If they are to raise equivalent revenue, the 999 tax idea and most of the flat tax ideas I’ve seen (there are so many I don’t want to mischaracterize them) lower taxes so much on high earners that it will have to be made up by increasing taxes on low and middle income people.

I don’t quite understand why this is so difficult for many to understand. If I lower taxes for any group, revenue will go down unless I raise them for some other group.

Theoretically you can make a case that eventually the lower taxes will create such an economic boom that revenue will go back up, but that doesn’t change the immediate fiscal implications.


25 posted on 10/28/2011 11:02:47 AM PDT by Sherman Logan
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To: Sherman Logan

I agree. I was addressing your statement that nobody was attacking Cain.


28 posted on 10/28/2011 11:13:34 AM PDT by Liberty Valance (Keep a simple manner for a happy life :o)
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To: Sherman Logan

The plan includes cuts in spending as well as the tax overhaul. The prediction is that the plan will encourage growth, also, which will increase revenue.


31 posted on 10/28/2011 11:19:51 AM PDT by hocndoc (WingRight.org Have mustard seed:Will use. Cut spending, cut spending, cut spending, now,now,now!)
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To: Sherman Logan
hat it will have to be made up by increasing taxes on low and middle income people

Nope. The flaw in your "logic" is the assumption that the Federal Government must be given double digit budget increases year in and year out.

It doesn't. It can, and must, get smaller. When Govt debt equals 100% GDP you MUST fix the broken tax and spend political system. You cannot just ignore it and hope the problem goes away.

64 posted on 10/28/2011 3:50:57 PM PDT by MNJohnnie (Giving more money to DC to fix the Debt is like giving free drugs to addicts think it will cure them)
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