Herman Cain’s 999 Tax PlanSeptember 27 | Posted by politicol | Republican Conservatives
Herman Cain’s 999 Tax Plan
Who is the real Herman Cain besides the guy who owns a string of pizza joints, GodFather’s Pizza? Herman Cain is an establishment republican who once promoted the TARP program to bail out businesses like his own.Cain also endorsed the US Treasury’s position of buying equity positions or preferred stocks in US banks! 1.
Herman’s Education includes a Math degree from Morehouse College fifty years ago, a computer science degree from Purdue and working as a mathematician for the Navy. He also worked as an Analyst for Coca-Cola, worked for Pillsbury in the corporate world. Cain also managed 400 Burger King restaurants in Philadelphia’s poorer districts and then finangled a buyout of Godfather’s Pizza Inc. Cain is also on the board of the NRA and still is today.
For a republican to call for 9% national sales, tax, 9 Percent business tax, and 9 percent personal income tax -a revolution wouldn’t be near enough to throw this man under a bus.
We’ve taken a look at Herman Cain’s plan if he were voted in as President of the United States after hearing his claim and very little else about his 9-9-9 Tax Plan. The 999 plan has become Herman Cain’s campaign slogan or jingle, The 9-9-9 Plan. He mentions it but never describes what his plan really does specifically, you have to do the research on it.
According to his campaign website the Herman Cain Plan would be phased in starting with Phase 1, that he calls: The Immediate Boost, or the Enhanced Plan, which one is Phase 1 is anyone’s guess. Very confusing already.
What Herman Cain is proposing will benefit the wealthy, not the poor and middle class in fact it will finish off and decimate the middle class.
Top 10 Flaws in Herman Cain’s 999 Tax Plan
1) Currently wealthy people play 35 percent Income tax -Herman Cain will reduce that to 9 percent. What a gift to the rich!!! The CEO’s of BP Oil, Chevron, Wal-Mart will enjoy not paying more taxes with Herman Cain’s plan.
2) There are more middle class tax payers and the poorer who will now be paying more taxes on basics, and that is where his plan hurts the majority of Americans including 45 million below the poverty level.
Cain’s 9% sales tax plan will gouge the people who need financial assistance, but then again they are not included in his plan. What does he mean by “across the board” has not clearly been explained but would definitely harm the poor.
3) Under Cain’s plan there won’t be any income tax credits or deductions, just a flat 9% income tax and when you add the sales tax to that -families will be paying 18% taxes! Cain doesn’t explain this part on debates but what he’s not telling voters is:
1) Will his national sales tax be in addition to the state retail sales tax?
2) Or will it replace the state sales tax, which really doesn’t increase revenues and decrease the deficit?
3) Will he tax services, like a service tax -like on funerals?
4) Will he tax food, restaurant bills, etc., like they do in some countries, will taxes be expanded?
Cain gives no real details on what products, services or food he would apply this 9% tax to or any differences than the current system. Also some regulators prefer that the states collect the sales tax not the federal government and some states would now be paying sales tax that didn’t before his plan. Unfair.
Taxes are also collected differently in different areas of the country, with different rules on some products that are exempt from tax like children’s clothing. Would families now have to pay tax that didn’t before?
4) Cain’s plan rewards the rich and punishes those who’s income is at peril of falling further below the line of devastating consequences and he does not address this group roughly 45 million Americans.
5) You cannot use a One Size Fits All in the Herman Cain 999 plan, and across the board taxes do not work, there has to be some offsets or else many Americans will go into bankruptcy.
6) Cain’s plan will not motivate consumers to spend more and move the economy forward and they make up 70% of the economy. His plan does not take into consideration that consumers will cut back if taxes are too high, and that is an economy and job killer. Herman’s plan means: Buy Less, Pay Less Taxes and is not a real boost to the economy.
7) Accountants who have looked at Cain’s 999 Plan say it is very deceptive especially on removing tax credits and issuing refunds on income. There won’t be a need for refund checks, because there won’t be any refunds!
8) The Cain plan doesn’t end at 999 and there is no rules when government decides to make to 10-10-10 or 12-12-12 or even higher. This would also increase tax breaks for the rich even more.
9) Paying taxes at 9% of income hurts Warren Buffet’s secretary more than it hurts Warren Buffet the billionaire, same story there. If Warren Buffet’s army of accountants find deductions he benefits, even if he is currently paying 35% tax on income.
10) A higher national sales tax will bring up states rights to define their own tax rules and adding a federal run tax program would definitely start some federal v.s. state battles in the court system.
Herman Cain’s 999 Tax PlanHerman Cain might have won the Florida straw poll and pulled the wool over their eyes in the deep south of Republican territory but he’s pulling a fast one here.
Although his 999 plan may seem like a good idea, Cain has yet to get about 9 % in the popularity polls for Republicans. Yet people are still saying to themselves: “Who is this guy?”.
Herman Cain Tries to Explain his One Size Fits All Tax Plan -The 999
The 999 Plan Favors Wealthy and Hurts the Middle Class More
The President of the Economic Policy Institute, Lawrence Mishel has a few problems with Herman Cain’s 999 Plan in that it would tax middle income earners since they spend more of their income than wealthy people.For the middle class that relates to the more you buy the more tax you pay. This in itself, would slow down the economy.
Wealthy people -spend less, the Middle Class and there are more people in that category spend more and will pay more taxes. Cain’s proposal does not exactly eliminate tax loopholes for rich corporations or wealthy billionaires who will highly skilled accountants can get away with paying no corporate or income taxes.
By his plan, Cain emphasizes that he eliminates payroll and estate taxes, but only the rich get high estate taxes again this plan favors millionaires and billionaires.
The Tax Policy Center states that 23,000 millionaires would pay no income tax at all, causing a further deficit in the country’s economy.
Herman Cain is a devoted corporatist business man that is the truth, he has done well for himself through the corporate ladder however that does not translate to being a President that can handle this economy. His plans would put the country back to the Bush days where giving tax breaks to the rich and taxing the poor was the name of the game that got us into this mess.
Instead of Nine-Nine-Nine – our response is: Nein Nein Nein
(Translated from German means: No, No. No.
Herman...you are no Mitt Romney. His plan is much much better. No thanks Herman!!!!!!