I have issues with a national sales tax when there would still be an income tax as well. But Cain has pointed out the need to simplify the tax code.
"It is unclear if the other candidates are simply piling on Cain because he is leading in the polls or if they are simply ignorant of his plan but it is clear that they are misrepresenting his intentions wholesale."
Cain needs to do a better job explaining how removal of the current tax code and related mandates/regulations will bring the cost and price of goods down far more than the 9% that people will be spending on the sales tax that is put back on those goods.
As for it being a VAT tax, the way Bachmann explained the VAT tax, we ALREADY HAVE THAT in everything we buy at the federal level... so again, the end result is that the NST is a net lowering of federal tax on goods produced. The 9% NST is on the retail level. The current federal taxes/regs are at every level.
Pretty fair analysis. Mr. Cain has done what all good executive leaders do - identify core problem, and cast a bold vision for addressing it. In any organization, public or private, it is the job of professional staff and experts to translate the vision into practical policies or programs and the implementation plans to make it become a reality.
This has been done by other national leaders with great success, including John F. Kennedy’s bold challenge to “put a man on the moon and return him safely to earth”. That vision rallied the nation and led to unprecedented economic and technical growth, and Mr. Cain’s 999 Plan can do the same, in a different way.
That bureaucracy is legion and includes very powerful people in both the public and private sector. They would tear this country to shreds in a fight to the death to preserve their livelyhood/industry.
This is a non starter. But I love the dialog it has created. It's fun to watch the crew fight over how to best rearrange the deck chairs as we go down.
thanks for posting this.
Say what you will about 9-9-9, the state tax issue is just David Gregroyesque in sheer stupidity. I was just horrified by the responses of many of the other candidates, some of whom I like, with this kind of knee jerk idiotic response. Cain was fair, but not great, in calling them out on it. His apples and oranges response was correct, but not complete. He could have won the day bigtime.
Bachmann, who grates on me a lot, actually made the legit case with her point about where to draw the line on the final point of sale to apply the 9%. But even that got drowned out by the kindergarten objections.
To me, the plan was attacked irrationally and defended poorly. So nothing was accomplished.
As Victor Davis Hanson pointed out this morning, Cain is unflappable. But it isn't enough to constantly refer to his website, he must explain it, himself. Or, as we saw last night, the others will explain it for him -- in unflattering and, in some cases, dishonest terms.
I haven’t decided who I will vote for, but Mr. Cain at least cares about cutting the taxes we have to pay and get rid of the IRS. He is the only one who seems interested enough to make suggestions.
How about the complainers about his 9 9 9 plan, come up with a different one which is better.
currently I see Cain as the guy to beat and I probably will vote for him in the primaries...(unless someone sparkling and new shows his/her face)
but the sales tax will complicate things and force Govt. to make up new regulatory agencies...and people in states with no income tax will scream as people in states like NY will scream who already pays almost 9%...the architect of 9-9-9 has already rethought the sales tax thing and can live without out it...I think Cain needs to do the same...
lets stay with the flat tax.
I would prefer 15-15 to 9-9-9
In the meantime, go ahead and abolish the convoluted tax code and simply have a flat 9-10% income tax for individuals. I hate corporate tax, but maybe some kind of flat-rate temporary corporate tax as well.
Bottom line: Most people’s taxes would go up!! Do the math. Sit down and figure it out for YOUR situation. What are you paying now? What will you pay under the 9-9-9 plan in income taxes and sales taxes. And don’t forget the impact of the payroll taxes. Do you REALLY think you won’t have to pay anything for whatever will replace social security?
Care should be taken to watch out for what this idea would do to retired seniors on fixed incomes and social security. They cannot handle LARGE sales taxes.
I think the problem is that it Adds a sales tax to state sales taxes which would kill people who are no longer working and don’t see the benefit of Mr Cains other lowered taxes.
Any tax strategy is subject to abuse in the wrong hands. The notion of simplification has mereit on it’s own. It cuts the costs of the middlemen in the army of private service and rids us of excess govermment bureaucrats. Go Herman.
Any tax strategy is subject to abuse in the wrong hands. The notion of simplification has mereit on it’s own. It cuts the costs of the middlemen in the army of private service and rids us of excess govermment bureaucrats. Go Herman.
The liberals, MSM, and the beltway politicians made sure the first attack was on Herman Cain’s 999 plan. After seeing him rise in the polls the above groups got very concerned that a black conservative actually has a chance at winning the republican nomination. All Herman has to do is say that he is going to tweek and put in provisions to his plan that answeres any objections.
Lets say that today a single mom goes to the grocery store and pays $2.00 to buy a loaf of bread, and under the 999 Plan she pays $1.97. Even though she will have paid a 9% federal sales tax, in addition to whatever state sales tax she paid, she still PAYS LESS. You can call that a tax increase, if you want, but she still PAYS LESS.