Primitive Dissonance -Cain's 9-9-9 tax plan is simple: Most will simply pay more

[miskie]

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=439x2112717

underpants  (1000+ posts)          Thu Oct-13-11 07:25 PM
 Original message
Cain's 9-9-9 tax plan is simple: Most will simply pay more
      

http://bottomline.msnbc.msn.com/_news/2011/10/13/8304334-cains-9-9-9-tax-plan-is-simple-most-will-simply-pay-more

But the odds are much higher that, when the public understands it, the vast majority of taxpayers will be horrified to realize they face a huge tax increase. That assessment comes from Bruce Bartlett, a senior official in the Reagan and George H.W. Bush administrations, who described the plan as a “distributional monstrosity.”

“The poor would pay more while the rich would have their taxes cut, with no guarantee that economic growth will increase and good reason to believe that the budget deficit will increase” Bartlett recently wrote in the New York Times. “Even allowing for the poorly thought through promises routinely made on the campaign trail, Mr. Cain’s tax plan stands out as exceptionally ill conceived.

The reason the plan would hit poor people much harder that the wealthy is also simple. The current tax code provides a series of deductions, credits and exemptions that ease the tax burden on all households, but they have a greater positive impact those at the bottom of the income ladder. As a result, some 38 percent of U.S. households pay little or no income taxes. They would now suddenly be hit with what amounts to a tax bill that represents 27 percent of their income, according to USC law professor Edward Kleinbard, who published a paper this week calling the 9-9-9 plan “a terrific example of fiscal hocus pocus.”

NYU law professor Daniel Shaviro thinks part of the popular appeal of Cain’s plan is that it appears to hold tax rates to single digits – even though the cumulative tax paid by most households would amount to 27 percent.

Okay --

So - when it benefits the primitives, the lower classes pay all the taxes, and the top 1% pay what amounts to nothing - except in this case, where suddenly the lower 38% of earners pay little or no tax , and this flat tax proposal will be devastating - Even though it insures that the top 1% will pay the same percentage of their income as everyone else.
- someone earning 10 thousand dollars will lose $2700.00 a year, whereas a 10 million dollar income will net the government 2.7 million dollars.


The only consistency the Democrats bring to the table is their inconsistency on anything and everything.

[Freeper]

My concern about 9-9-9 is before long the dems will have it up to 20-20-20.

[miskie]

My concern about 9-9-9 is before long the dems will have it up to 20-20-20.

I'd be happy with 10-10-10 - since the missus and I are losing better than 40% at the moment - even considering deductions we do take.

[Freeper]

I'd be happy with 10-10-10 - since the missus and I are losing better than 40% at the moment - even considering deductions we do take.

If we lose in 2012, 40% will look darn right cheap.

[Rebel]

My concern about 9-9-9 is before long the dems will have it up to 20-20-20.

They'd need 2/3rd of Congress and it would affect EVERYONE, hence it wouldn't be easy when people can't say, "I'm not in that group, f'em, raise it". Class warfare cannot be used with 9-9-9.

[Freeper]

They'd need 2/3rd of Congress and it would affect EVERYONE, hence it wouldn't be easy when people can't say, "I'm not in that group, f'em, raise it". Class warfare cannot be used with 9-9-9.

Realistically, if Cain is our next president, the odds of 9-9-9 becoming law is slim to none. Congress will never go for it. 

[BlueStateSaint]

Realistically, if Cain is our next president, the odds of 9-9-9 becoming law is slim to none. Congress will never go for it. 

I think that the chances of Cain being the next President are infinitely greater than his 9-9-9 plan surviving Congressional action.

[DumbAss Tanker]

H5s to Miskie and Freeper!

 

Great, sound comments.

[GOBUCKS]

Cain could be a formidable candidate.

His 9-9-9 slogan doesn't matter, because it will never be passed into law.

If the focus would shift to him, without the 9-9-9 business, he'd be hard to beat, because he's a brilliant leader.

Hopefully, he'll get a big-time team together and back off his dead-on-arrival tax plan.

[SSG Snuggle Bunny]

Realistically, if Cain is our next president, the odds of 9-9-9 becoming law is slim to none. Congress will never go for it. 

Absolutely true however it will mean that a flat tax and a system that does not pick favorites is NOT a political non-starter. It will be valuable because the debate will have shifted towards a system that minimizes free-loaders and cronies.

[Ballygrl]

Everyone needs to have a stake in this Country and that means everyone should pay something. It'll also bring money in from people working under the table and even people who sell drugs.

[Freeper]

Everyone needs to have a stake in this Country and that means everyone should pay something. It'll also bring money in from people working under the table and even people who sell drugs.

That's why they want a high percentage of people not paying taxes, that way when they want to raise taxes, most people won't see their taxes go up so they won't care.