Skip to comments.The tax plan that's better than Cain's, Perry's or Gingrich's
Posted on 11/02/2011 7:50:20 AM PDT by Paladins Prayer
Bold tax reform is front and center this campaign season. First Herman Cain made waves and poll headway with his 9-9-9 tax plan, which involves national 9-percent taxes on personal and corporate income and a 9-percent national sales tax. Now Rick Perry has followed suit with a 20-percent flat-tax plan, and Newt Gingrich has gone 5 better, with a 15-percent flat proposal. And these ideas certainly haven't fallen flat: tax reform is immensely popular among the Republican base.
Yet there has been criticism, too at least of Cain's plan, the only one around long enough to be criticized. Many are concerned about giving the feds another vehicle a sales tax through which to fleece us. Sure, 9-9-9 sounds good, but what is to stop it from becoming 10-10-10, then 11-11-11 and ending up as 30-30-30? Yet, national sales tax or not, this threat looms with any plan; what is to stop Perry's 20 percent or Gingrich's 15 from becoming 40? Remember, the one-percent income tax sounded good, too, in 1913, but consider what it has morphed into.
So, yes, this threat exists with any plan.
That is, except one.
The plan I've been proposing for years.
(Excerpt) Read more at renewamerica.com ...
Another nonsenical purposal that does not address the fundmental fiscal issues but instead is merely designed to gratify author’s ego.
9/9/9 is 27% of the economy... of everyone..
Business pays zero taxes its all passed on as cost of doing business..
You know....... added to “the Price”...
Irrelevant. The 999 plan is what’s being diecussed.
Like Congress is going to GIVE UP power...after they succeeded with ObamaCare in the largest ever Federal power grab?!!!
I'm not a big fan of 9-9-9 but, to be fair, you have to subtract the 15.3% payroll tax (employee's plus employer's tax rates) that Cain’s plan would eliminate.
YOU GET YOUR WHOLE PAYCHECK. You know, that BIG number, the GROSS amount.
No income tax, so no income tax forms to fill out. NO MORE FILING! April 15th? Just another day. No more jumping through government hoops.
Wake up America, we already have the plan. We have had it for 15 years. NOW is the time to finally pass it. Kiss the IRS goodbye.
[ I’m not a big fan of 9-9-9 but, to be fair, you have to subtract the 15.3% payroll tax ]
What we have would replaced by 27% for everyone..
At least “this week”(the wk 999 is enacted).. it might take a few years to get to 33/33/33...
The federal government does not need MORE money...
It needs LESS money...
Reducing the amount of money going to the federal government is WHAT’s NEEDED..
NO plan to bring in the same amount of cash WILL DO!!!..
How to do that?.. Reducing the scope and size of the federal government.. simply with a meat ax..
Then immediately more money is available to use...
In the article I posted, the author addresses all this. He says he doesn’t care how much money the feds get. I also don’t see how anyone could object to placing the taxing power int he hands of the people.
I really don’t know why I even post articles. It seems like a lot of freepers just read the title and respond to that.
I completely agree with that Hose but it will never happen for so long as we continue to abide the current income tax and the IRS!
We need to radically change the way we pay our taxes to a system FAR more worthy of FREE men!
We need a system that allow FREE men to pay their taxes in a manner that keeps him completely anonymous to the tax collector!
We need a tax system that does not allow the government to manipulate behavior and which does not foment class warfare!
We need a tax system that is not riddled with hidden taxation!
We NEED the fairtax!
What are you talking about? 9-9-9? Good, we finally agree.
[ We NEED the fairtax! ]
We need less federal government before we re-design the federal tax system..
ElSE; we have no idea of what we are trying to design..
As the federal government is reduced the taxes become less of a problem..
But we do need another way of collecting federal taxes..
I say the States should determine what (of their resources) they send to the federal government..
Making the federal government a beggar and not a chooser..
I am not adverse to two United States..
A conservative and a liberal one.. with an alliance.. of some kind..
Which one would be more successful is obvious to me..
I don’t know that you actually read the article. How would placing the power to tax directly in the hands of the taxpayers not address the fundamental fiscal issues? The government wouldn’t be ABLE to raise taxes. Only propose them.
“The People” pay ALL TAXES... business pays none..
Tax to Business is just a cost.. passed on..
The feds do nothing beneficial that the States don’t already do..
Yet they erase a good percentage of the economy from reality..
They are a black hole for money resources even territory..
The feds erase much land from the States.. within the States..
The feds OWN most of Alaska already.. not Alaskans but the feds.. OWN IT..
This is obscene... in any sense..
even D.C. should be “loaned” to the feds.. with rent..
[ Please address how the “embedded cost” of income tax claimed by the “fair taxers” is going to magically disappear. ]
The fair taxers eliminate income tax.. more or less..
Im not happy with the “fair tax”...
Even though its better than the current system..
Im for States sending contributions to the federal government..
eliminating any federal government forced taxation..
I don’t know what you are talking about when you say “...claiming business costs will drop because the taxed portion of my gross is “built into” the cost of items produced by the business.”
What I do know is that the proprietor of the business would no longer be paying a matching 7.65% of your salary in payroll taxes and ALL of corporate taxes and all of the costs of compliance currently embedded in the prices of the product(s) or service(s) he sells would be removed under the fairtax. Of course the price drops made possible by this would be much more modest for items with short manufacturing supply chains than those with longer manufacturing supply chains.
The corporate income tax and all the attendant costs of dealing with it are, in practice, nothing more than a VAT. They get passed on from the miner in the price of the ore he sells to the smelter. The smelter passes them on to the steel mill etc. etc until product or service is finally sold to the retail consumer who finally pays them all.
So the only savings is the social security contribution from the employer coming off the bottom line. Any corporate income taxes are always priced into the final product. Eliminating corporate income tax would allow a lower end product price.
You got it but please note that even if a company ends up not owing a dime in corporate income taxes they will still have incurred a great deal of costs in just dealing with the law! These to find their way into prices and would would also go away with the advent of the fairtax!