Herman Cain’s 999 Tax Plan [POLL]
Herman Cain is at or near the top of all polls now and is quickly becoming the favorite of the Tea Party and some conservatives. He brings an outsiders view into the race and he seems to relate to everyone. On the issues, he is very conservative, but there is one issue that has many people divided. Taxes. Herman Cain wants to throw out business as usual, and implement a new tax code. It’s called 999 and I bet you’ve heard of it but you may not know the details. According to his website, 999 would:
Our current economic crisis calls for bold action to truly stimulate the economy and Renew America back to its greatness. The 9-9-9 Plan gets Washington D.C. out of the business of picking winners and losers, using the tax code to dole out favors, and dividing the country with class warfare. It is fair, simple, transparent and efficient. It taxes everything once and nothing twice. It taxes the broadest possible base at the lowest possible rates. It is neutral with respect to savings and consumption,capital and labor, imports and exports and whether companies pay dividends or retain earnings.
9% Business Flat Tax
Gross income less all purchases from other U.S. located businesses, all capital investment, and net exports.
Empowerment Zones will offer deductions for the payroll of those employed in the zone
9% Individual Flat Tax
Gross income less charitable deductions.
Empowerment Zones will offer additional deductions for those living and/or working in the zone.
9% National Sales Tax
Unlike a state sales tax, which is an add-on tax that increases the price of goods and services, this is a replacement tax. It replaces taxes that are already embedded in selling prices. By replacing higher marginal rates in the production process with lower marginal rates, marginal production costs actually decline, which will lead to prices being the same or lower, not higher.
You can read more about Cain’s 999 plan here. What are your thoughts? Do you like his 999 plan? Is it the right direction for our country? Let us know in today’s LFN Poll of the Day.