Herman Cain wins the Florida Republican Straw Poll

[swamprat]

I am still gathering information on him, but on the surface I like what I see. His 999 plan has merit from where I sit, if only but a starting gun to real tax reform.

 

In a nutshell the 999 plan overview is...

 

9% flat corporate income tax rate

9% flat personal income tax rate

9% national sales tax

 

No deductions.

[cammando]

Ahhh. Herman Cain. One of those racist Tea Party guys. LOL

[Clyde]

I am still gathering information on him, but on the surface I like what I see. His 999 plan has merit from where I sit, if only but a starting gun to real tax reform.

 

In a nutshell the 999 plan overview is...

 

9% flat corporate income tax rate

9% flat personal income tax rate

9% national sales tax

 

No deductions.

 

Way too many questions about this plan to be able to say it's a good idea or not IMO.

 

I've read that the lower middle class and the poor will be harmed the most due to the sales tax hitting them the hardest as far as % of income.

 

Questions about people who get 1099s today for labor. Are they now going to have to start charging sales tax to cover their new liability?

 

Will the 9 9 9 revenue be enough?

[Randy Parker]

Will the 9 9 9 revenue be enough?

 

That was my first question. By the numbers & estimates I've seen, it will need to be a 10/10/10 plan.

 

Overall, I like the idea a lot.

[Clyde]

That was my first question. By the numbers & estimates I've seen, it will need to be a 10/10/10 plan.

 

Overall, I like the idea a lot.

 

We all like any idea that simplifies the current system. The devil is in the details.

[Randy Parker]

We all like any idea that simplifies the current system. The devil is in the details.

 

He's also in the current system.

[woodsrider]

I like Cain pushing for a simpler system but I don't see how that system wouldn't be an increase and the majority of Americans

[Voice of Reason]

^ I agree woodsrider. At first glance, that tax looks to be an increase on the lower income earners and a decrease on the higher income. The more you make, the better that plan looks.

[Hatz]

So with this plan, a person may have to pay upwards of 14 to 15% tax on any and all items? What about food?

 

Does that also mean that with the restaurant meals taxes of some localities, a meal could have a tax bill of 18 to 20%?

 

I'm not against the plan, just trying to figure out what it really effects. One thing is for sure, the poor waiter/waitress better expect lower tips and thereby lower pay on that job.

[Clyde]

He's also in the current system.

 

He is. He's buried under so much crap that we still can't find him though.

[75center]

Doesn't he end the payroll tax with his plan? If so, that's 7.65 from both employer and employee. That's going to offset a lot of the sales tax effect but how do they figure social security into the equation? I would love to see some revenue projections.

[Clyde]

Doesn't he end the payroll tax with his plan? If so, that's 7.65 from both employer and employee. That's going to offset a lot of the sales tax effect but how do they figure social security into the equation? I would love to see some revenue projections.

 

The most common projection I've seen is revenue of $1.8T with spending of $2.1T.

 

However, that assumes our behavior stays the same.

[Hatz]

Doesn't he end the payroll tax with his plan? If so, that's 7.65 from both employer and employee. That's going to offset a lot of the sales tax effect but how do they figure social security into the equation? I would love to see some revenue projections.

 

Didn't think about that part. You are correct that it makes one wonder where SSI fits into this. Thanks for the feedback.

[swamprat]

I see where he's going now, toward the Fair Tax. I noticed that there are deductions. Ugh. Better than what we currently have, though, IMO.

 

http://www.hermancain.com/999plan

[Clyde]

BTW I'm immediately skeptical of any tax plan that is a good sound bite such as "9 9 9." The emphasis seems to be on the slogan vs the details. It's just my cynical nature.