Posted on 10/24/2011 1:45:55 PM PDT by smoothsailing
Carl Cameron
October 24, 2011
Texas Governor Rick Perry is formally unveiling his flat tax proposal Tuesday in South Carolina. His campaign hopes the plan will gain traction with people who are fed up with the current tax system.
Sources tell Fox News it will be an optional 20% flat income tax with a $12,500.00 deduction per individual, per household. Taxpayers may otherwise choose to keep paying under existing IRS code.
(Excerpt) Read more at politics.blogs.foxnews.com ...
You do realize, don't you, that the reason 999 is controversial -- from a Democrat and Michele Bachmann point of view (see my well-justified slam of Bachmann at #76) -- is that it taxes people who previously paid NO taxes? Zero taxes?
That most of these people were not taxpayers AT ALL?
That in fact, most of them get a check from the the rest of us every year called the Earned Income Tax Credit?
999 changes all that. Leading Dems and some GOPers with diarrhea of the mouth (see link above) to say "it hurts the poor the most."
I think your comment about reparations is in poor taste. But regardless, it's simply not well-founded. Making people pay something, when they were paying nothing, is not a new way to reward them.
Except Perry’s plan doesn’t simplify the tax code. It adds a new mini-tax code to the existing one.
That’s a problem.
these are not issues Cain is opposed to, he's opposed to them for his Empowerment Zones for African Americans (his words, not mine) because they would cause the area to begin to prosper "as companies move to these zones" to avoid the hassles of Unions and taxes. Move them from where they are now to the inner city Empowerment Zones.
As a back of the envelope calculation if you spend 100% of income. Approximately right because the national savings rate is so low - but admittedly an approximation.
If Cain could pass his 999 I’d be happy, but I think we have reached the point politically that people will reject it because they don’t understand it or decide that it might adversely affect them (those calculations of embedded taxes are difficult for the average voter, who is intellectually quite lazy, to understand).
That’s a separate issue from whether or not Congress has the power to go ahead and eliminate the income tax.
It does.
These two actions can be pursued concurrently.
I mentioned the big exemptions. I assumed that anyone can multipjy $2,500 by integers.
I mentioned the big exemptions. I assumed that anyone can multipy $12,500 by integers.
Flat tax we all pay the same rate. 9-9-9 we don't. The lower middle class suburbanite loses his deductions and gets a 9% income tax increase and a 9% sales tax increase. The inner city Empowerment Zone occupant doesn't pay that same rate, does not see his income tax go up.
Imagine Rick Perry advocating special tax rates for white suburban zones, everyone would go nuts, and they would be right to do so. Cain gets away with it and I know why but I wont tell.
Imagine no unions or minimum wage and special tax breaks to move business to predominately white neighborhoods.
“That just seems to weird and weaselly at this time in history.”
It does not inspire confidence in the man when even his fairy tale proposals are full of weasel words.
Yeah, you emphasized that Cain was giving low-income people a break using snide language, but hid the fact that Perry does the exact same thing.
You are absolutely right on all points!
You misinterpreted the language and didn’t think at all about the phrase “big exemptions”. In any event, I like Cain, and I like 999. I simply don’t think that it will prove as attractive as Perry’s plan for the reasons I mentioned. If I’m wrong, I’m still happy.
I forgot to mention that no one has seen the details of Perry’s plan to give people a choice between the new and old systems. Those details may be fine, or they might cause the entire plan to be unsaleable. We’ll see. I do wish we wouldn’t eat our own, though.
Thanks for sharing your insights, dear brother in Christ!
Perry's plan does not broaden the tax base (i.e., turn more non-taxpayers into taxpayers).The tax base is not who or how many pay.Perry’s plan does not broaden the tax base by making everyone pay something.
A tax base is what you pay on or of.
A broad sales tax base means you pay tax on absolutely everything you spend money on. When a sales tax base is broadened it means you pay tax on more stuff. They usually fool the dupes by lowering the rate a little. (do you really cheer that on?)
A broad income tax base is paying a percentage OF more of your income like savings, capital gains etc..
BTW, it's a little hypocritical to knock Perry's tax PAYER base when Cain is out there touting "empowerment zones" and his phase 2 Fairtax with "prebates".
That most of these people were not taxpayers AT ALL?
Mmm-hmm ...that's the claim. Until he makes exceptions for that very group of people.
"poor taste" comments? That's about all I see in FR these days.
Maybe it's catching.
Oh, and normy's last post is exactly right.
And Opportunitny Zones will be drawn around predominately black neighborhoods. Sloppy reparations.
Opportunity Zones? What kind of politically correct doublespeak is this in the Republican Primary?!
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