Posted on 10/18/2011 1:36:16 PM PDT by TLittlefella
Cain’s 999 Individual Flat Tax of 9% removes all
payroll taxes and unites all tax payers
What constitutes payroll taxes?
Will the Federal Income withholding tax be removed?
Will the Social Security withholding tax be removed?
Will the Medicare withholding tax be removed?
Are all those taxes considered payroll taxes?
Federal tax withholding - no (but lowered to reflect 9% rate)
SS and Medicare - yes (that is what offsets much of the bite for sales tax, for lower income earners).
“Payroll Taxes” are Social Security and Medicare.
Like a lot of legislation, they’ll have to pass it before you can find out that you’re screwed.
Yes, in the current lingo, payroll taxes include SS & Medicare. The 999 tax is to replace those payroll taxes as well as the Federal Withholding Tax.
This is a job for http://nerds4cain.com via brookhaven
Putting a national sales tax into Nancy Pelosi’s hands is like handing a can of gasoline to an arsonist. The next thing you know Herman Cain’s 9-9-9 plan will morph into 19-19-19.
Putting a national sales tax into Nancy Pelosi’s hands is like handing a can of gasoline to an arsonist. The next thing you know Herman Cain’s 9-9-9 plan will morph into 19-19-19.
Man that’s the truth. 9-9-9 will quickly become 20-20-20.
Hah! beat you by 1-1-1. :)
So does SS just officially become a welfare program rather than, in theory, being its own separate retirement account?
Also, why does Cain assume if he eliminated the employer paid contribution to Social Security that this money would go to employees in the form of salary/benefits? Some might, over time perhaps most will since it is part of corporate payroll budgets - but there is no guarantee of that at all. Unless pressed to do so, many employers would just treat that as a tax cut and be in no hurry to add that amount to employee salary/benefits.
Social Security deductions
Medicare deductions
Union Dues
So far my simple questions has yielded conflicting answers, so once again I ask these simple questions:
What constitutes payroll taxes?
Will the Federal Income withholding tax be removed?
Will the Social Security withholding tax be removed?
Will the Medicare withholding tax be removed?
Are all those taxes considered payroll taxes?
Barbra Streisand! see my post below in blue letters.
Everything is removed. You pay a one-time 9% flat tax.
Here’s your simple answer:
You ONLY pay a 9% flat tax. All the other crap is gone.
You will only pay 9% in federal withholding the rest goes away except for state withholding.
The national sales tax is one more playtoy in the Democrat’s arsenal. I support a consumption tax in theory. But in the hands of Washington politicians addicted to spending, it would quickly spin out of control.
The Steve Forbes approach from a decade ago is far more plausible: Single flat rate of 17%, while preserving deductions for home mortgage and charitable contributions. If Cain would sign on to something along those lines, his stock would skyrocket far beyond what it already has.
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