Cain's 999 Tax Plan

[frayne56]

Thoughts, ideas, suggestions, everybody ready for a federal 9% sales tax, on top of state and city sales tax ? Lets see that would be a total of 18.25% sales tax in Chattanooga and 16% in Georgia !

The 9% personal income and corporate tax rates might sound good on the surface but a 9% national sales tax is a deal breaker IMHO.

What say you, oh wise sages of the CMF ?

[mikeydokey]

Turn the 999 plan over and you get 666.

[frayne56]

And your point is ?

[ssmynkint]

And your point is

Cain is the DEEVIL!!!!!!!

[Justin Thyme]

Cain is offering a plan that will move us from an income based tax system to a consumption based tax system. I would prefer a move straight and completely to a consumption based tax system but I don't think it can happen without being weened off of our current system. Cain's plan will put a little money in most people's pocket by reducing their income tax deduction while taking it back out when they go to buy something. The lowered corporate tax ought to lower prices some before the new consumption tax is applied before that tax then raises prices a bit. However, I don't expect to see his 999 proposal be more than a conversation starter about a consumption tax. We need to be there and we can't get there without talking about it.

[JC]

I'm all for a "fair tax".

Only, I want to see all income taxed the same. Screw the IRS, deductions, credits and loopholes. Screw coddling the balls of the rich and the poor. Tax everyone the exact same.

This is way too simple to ever work, though.

[rstewart]

I'm with you JC. NOTHING could be more fair than to tax ALL income at a set level. No deductions, no tax credits. nothing. If the rate is 23% as the fair tax uses then if you make $10K per year you pay $2300 in taxes. If you make $10 Billion you pay $230 million in taxes, period.

[frayne56]

The fact that 47% of Americans pay no income taxes at all and in fact get refundable credits like EITC, American Education Opportunity Credit, etc. and that some corporations pay little or no corporate taxes, I can't see how Cain's 999 plan would ever stand a snowballs chance in getting passed or implemented. Not to mention all the lobbying groups on behalf of CPAs, Lawyers and Tax firms that need a complicated and convoluted tax system to stay in business. There is no incentive for the people and firms that get favorable tax treatment to favor any changes in the tax code, much less something that is fair and that simplifies the tax code. Just my two cents.

[osrb]

All I know as one of the 53% I sick and tired of supporting the other 47%. There needs to be more equality.

[Half-Tard]

tired of supporting the other 47%. There needs to be more equality.

The other 47 may not pay federal income taxes. They do however pay payroll taxes, sales taxes..ect. I tennessee cains plan would increase oor sales tax to 18.75 %. 9, 9 dollar 9 dollar footlong..

[osrb]

They do however pay payroll taxes

No income tax means they do not pay payroll taxes. If they do pay they get it all back. Many times more than they put in.

[frayne56]

Oct 14, 2011 17:03:44 GMT -5 osrb said:

They do however pay payroll taxes

No income tax means they do not pay payroll taxes. If they do pay they get it all back. Many times more than they put in.

Correct you are, they may have some money withheld from their pay checks but due to filing status, dependent exemptions, and various credits they get back everything withheld, plus addition funds if they qualify for refundable credits, like EITC for example. Our current tax system does in fact redistribute wealth.

[Half-Tard]

Payroll taxes are FICA tax no one gets that back.

[frayne56]

FICA is your contribution to social security, so if you do reach the age where you can draw social security or become disable and qualify you will in fact get some of your contributions back and possibly more depending on how long you live. To my knowledge Cain's plan will not eliminate the FICA tax.

[mikeydokey]

Oct 14, 2011 22:13:08 GMT -5 Half-Tard said:

Payroll taxes are FICA tax no one gets that back.

Most of the time you're dumb, sometimes your ignorance is overwhelming.

[frayne56]

Cain's alternative to social security: www.timesfreepress.com/news/2011/oct/15/fact-check-closer-look-cains-retirement-model/?breakingnews

Instead of contributing 6.2% as we do now to social security, we would be required to contribute 10% and employers wouldn't kick in anything.

[mikeydokey]

Which would give employers lots of incentive to hire new employees, unfortuanately no one wants a job in America except for the Mexicans.

[Half-Tard]

Meaning know one gets that back via a tax refund.

[Half-Tard]

Most of the time you're dumb, sometimes your ignorance is overwhelming.

Thank You Miley

[frayne56]

Oct 15, 2011 13:40:47 GMT -5 Half-Tard said:

Meaning know one gets that back via a tax refund.

Meaning if there were a flat 9% tax, there would be no refunds, unless the tax code was loaded up with loopholes, via credits, exemptions, EITC as it is currently.

The FICA payroll tax (social security) would be replaced with a 10% mandatory withholding tax via Cain's Chilean model plan. This would be in addition to his flat 9% income tax.

So in effect everyone would have 19% withheld from their repsective pay check in addition to paying a 9% sales tax which would piggyback on the state and local sales tax. So if you live in Hamilton county Tennessee you would be looking at a total sales tax rate of around 18%.

Cain's simple solutions are just that, simple, and not well thought out at all. IMHO.

[Half-Tard]

I like a flat income tax. I don't like the sales tax portion. I know how this gov. works it wouldn't stay at 9 very long. Thought of a 18.75 % sales tax in Tennessee is a deal breaker.

Plus he stole it from The Sims Video game.

[gridbug]

Don't you love politicians making promises that can not be kept? Either he is intentionally lying or has no idea of the powers of the President. Either should disqualify him (but only the latter actually does)

Anyone wanting to overhaul the tax system has to take on the IRS, and they are way more powerful than even the DOD!

[TNBear]

Politician without a clue. Do the math dumbazz.

[Bryan Stone]

is aceman serious?

[Conservator]

If nothing else, it's gotten everyone talking about re-working our tax system... Something that is very much needed and could spark the economy at the same time. Kudos to Cain.

[Half-Tard]

[/quote]is aceman serious? [/quote]

serious as a heart attack. That's the base tax system in the vidiya game the sims..(in my best hank hill impression.) Love his new campaign commercial. busting out the Marlboro Red early trying to get on boner's side.

[pictureman]

For a good discussion of a fair tax plan, take a look at this book: www.amazon.com/FairTax-Book-Neal-Boortz/dp/0060875410

As others have alluded to, do we really think a program that will eliminate most of the IRS, countless congressional committees, and billions of dollars in CPA and Liberty Tax fees nationwide will get passed? (Rhetorical question.)

While it may have worked for OJ ("If it doesn't fit, you must acquit"), chanting "999" just doesn't have the same ring to it.

But seriously folks, any good tax person knows you must take your "Contribution" off the top; waiting for me to buy something to enhance the Federal coffers will serve only to drive me (further) to the underground economy ("black market", if you will).

There's no question that the Federal tax code needs serious revision, but, again, as has been noted here, the system is so infested with PACs, lobbyists, "special-interest groups", and similar ilk that osrb, I, and others in our 53% stand little chance of a bailout.