The case against Cains 999 and for Newts tax plan!

The Cain people have been saying individuals will save 15% when they repeal the payroll tax. Well this is false because No individual pays a payroll tax of 15.3%...the employer pays over half of it, so individuals pay approx. 7% and after deductions most lower income individuals pay only 2% of their salary in income tax. So in all truthfulness lower income individuals generally pay about 8% or 9%. Under Cains plan these people will pay a 9% sales tax and a 9% income tax.... therefore your asking lower income individuals to pay almost 10% more in taxes. Not going to work! This plan could win the primary but has zero chance of winning the general election. Newts plan of being able to have the FREEDOM to choose between the old tax code or a 15% flat tax with a 12% corp. tax rate is far superior and can easily win a general election and it doesnt add a third tax. Plus manufacturers would be lined up to come back to this country with a corporate tax rate of 12%.

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Comment by Peter j on October 17, 2011 at 9:50am
This is to phillip I was discounting not having to pay fica thats why it came out to approx. 10%.
Comment by Peter j on October 16, 2011 at 5:28am
Mark Levin says he can not support Herman Cains 999 plan unless the 16th Amendment is repealed. Which is nearly impossible!

Mark Levin is the radio show host for the 4th largest radio show, he worked for the reagan administration and is a constitutional lawyer for landmark legal foundation( which is helping bring suit against Obamacare)....Mark says he can not support Herman Cains 999 plan unless the 16th Amendment is repealed. Which is nearly impossible! when you get to the page go under audio rewind and select the 10/13 show then fast forward to the 17 nminute mark....then listen away!

here's the Audio:


here's the process to repeal which is nearly impossible!


here the 16th amendment!


Comment by Peter j on October 16, 2011 at 5:13am

Also this is to Marilyn where does it say that there will be as you say "no state tax" ....do you mean there will be no state income tax? I havent heard that! As far as I know not a single state tax is touched.

Comment by Peter j on October 16, 2011 at 4:59am
i'm sorry because my employer gets to keep the 7.5% doesnt mean I do. It may help the self employed but not people who work for someone because the employer almost definitely will keep that other 7.5% that they now don't have to pay. Listen as a low income wage earner Im willing to pay a little more to me its fair. I dont think its right that half the country only pays 9% in taxes.....but the problem is most don't have that mindset, even people who are well to do are always playing a violin for the poor. That being the case the issue is can 999 win a general election...the answer is no way, 999 will be demagogued to no end by the msm and the democrats.... a billion dollars in campaigning from Obama on how cain wants to raise taxes on the poor and lower taxes for the rich....unsurvivable! 999=4 more years of Obama=the end of America as we know it. I wish someone could get cain to rethink this plan I'd otherwise like to support him as a candidate, but this plan is a deal breaker for me.
Comment by Jerry Morris on October 15, 2011 at 3:04pm
Peter, you are confusing the income tax withholding with FICA. The 15% withheld for FICA is 15% for self employed. As an employee, we have 7.5% withhelf from our paycheck while our employer matches that (pays the other half of the 15%) Under Herman Cains plan, FICA will no longer be withheld and employers will not have to match it, which means they won't be adding this cost to them, as a business cost, to what the consumer pays for the product/service (embbeded taxes <-- this goes away too, lowering retail costs of products/services). The 9% sales tax is for NEW items, not used.

The "income tax" withheld from our paychecks is another animal, which varies with how much we make annually, and will also be elliminated.

I suggest you learn more about Cains 9-9-9 plan.
Comment by Marilyn Parker on October 15, 2011 at 12:37pm
OK I did a little analysis here for my self on  apersonal basis. I already pay on average 9% federal income tax on my gross earnings, so no difference there. Yes we pay 7.5% in payroll tax, and the employer pays 7.5%. I will be curious to see if Cain's plan requires or intends for the employer to "give" that 7.5% to the employee which would equal a 15% savings, minus the 9% sales or consumtion tax would be a 6% savings for all working people. If you don't purchase aboe what you can afford and live within your means you willl see great savings if this is the case.Plus You save on capital gains, no state or death taxes. It closes all the loop holes for businesses and for those that get "breaks from the federal governmnet, (according to their campaign donations) like GE that pay no taxes. It will be more fair and  bring businesses back to America. It taxes illegals that are here getting paid cash and paying no taxes. (Will be great incentive for them not to come here.) From what I can see so far unless Herman has more details SS recipients do not pay any federal income taxes if they make under $32000. They would see the biggest jump in what they pay. , 
Comment by Eric D. Russell on October 15, 2011 at 10:01am

Although I have no problem with Cain's 9-9-9 proposal, I concur that it may be a real tough sell in a general election. However, I do take exception to Gingrich's plan, which I also really like, and that is the corporate tax rate of 12%. Although this is much better than our current corporate tax rate, I think we must strive to have and maintain the rock bottom lowest corporate tax rate in the world. I believe that the world's lowest corporate tax rates, coupled with our technology, infrastructure, and outstanding job force would propel us to the top of the heap in no time. The fact is this, America should be THE "go to" location for business, manufacturing, energy, and freedom.

Comment by Rev. Robert M. Celeste on October 15, 2011 at 9:03am
Herman Cain's 9-9-9 plan is starting to make Newt look better and better each day.  I do not see how anyone earning under 59K is benefited by this, nor do I see how a family of four with a mortgage earning 250K or under could possibly benefit from this 999 scam.
Comment by DannyCurtis(Conservative Comedy) on October 15, 2011 at 8:53am
Dear Herman......Remember George Washington? The Bridge not the President. When it opened years ago...FIFTY CENTS to cross the GW Bridge. "Once it is is paid off we will get rid of the tolls"....ROFLMAO......Last week it cost $12.00 to cross the old GW Bridge...

9-9-9...SURE......9% sales tax...what about the state sales tax....9 will multiply as did fifty cents. It is a political law....never give a sucker a break....Sorry Herman...that pizza don't bake......
Comment by Chuck Lowery on October 15, 2011 at 8:37am
I agree with Newt on this one. I live on SS, we pay 9% sales tax on everything here, including food. 999 would be a 9% cut in my meager income. I like Herman, but he needs to tweak this one a bit.

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