If you like a VAT, Cruz’s plan is great. I do not want a VAT. It is another tax the morons in DC can tinker with that we do not need.
And you don’t think the Feds aren’t already tinkering with the rates in place??
According to the Tax Foundation (http://taxfoundation.org/article/details-and-analysis-senator-ted-cruz-s-tax-plan), Cruz’s tax plan would enact a 10 percent flat tax on individual income and REPLACE, not SUPPLEMENT the corporate income tax and all payroll taxes with a 16 percent “Business Transfer Tax,” or subtraction method value-added tax.
Explain why that is somehow inferior to the current structure.
In addition, his plan would repeal a number of complex features of the current tax code.
The plan would cut taxes by $3.6 trillion over the next decade. While it would reduce tax revenues by $768 billion over the next decade, it would generate economic growth from increases in the supply of labor and capital and the much broader tax base due to the new value-added tax.
The plan would significantly reduce marginal tax rates and the cost of capital, which would lead to a 13.9 percent higher GDP over the long term, provided that the tax cut could be appropriately financed.
The plan would also lead to a 43.9 percent larger capital stock, 12.2 percent higher wages, and 4.8 million more full-time equivalent jobs.
On a static basis, the plan would cut taxes by 9.2 percent, on average, for all taxpayers.
Accounting for economic growth, all taxpayers would see an increase in after-tax income of at least 14 percent at the end of the decade.
It cuts taxes and shrinks government. Meanwhile, Trump wants to increase taxes on the rich.