Years ago I had a babysitter who, by her own admission, was pretty fried due to more than 20 years of heavy drug use. Even still, she was quite a conspiracy theorist and had strange religious beliefs. One of those strange beliefs that she taught me was that Ronald Reagan was the anti-Christ as evidenced by his names (Ronald Wilson Reagan) all having 6 numbers in them. A few weeks ago Michelle Bachman decided that she would align herself with the too often dazed and confused by implying that the 9-9-9 plan was bad because if you flip it over it would be 6-6-6. I wasn’t impressed with her rebuttal to a serious tax plan. I wonder if they used that kind of rhetoric when she was a tax lawyer (we would have a lot less of those if we implemented the 9-9-9 plan).
I’ve listened to a lot of people attack the Cain plan (which is what happens when you become the frontrunner) and I have been underwhelmed with their lack of understanding of the plan. Is the plan perfect? Of course not, it’s a tax plan. Allow me to speak to some of the specifics in this plan that I appreciate.
First, I am not thrilled with the idea of creating a national sales tax, but if it means getting rid of the current tax code – I will take the lesser of the two evils. I know that Bachman and others have attacked the idea that creating another avenue of taxation for government is dangerous. The idea behind this attack is that it will just add another way for government to tax us. This argument is either ignorant or disingenuous. The 9-9-9 plan does create a new avenue of taxation, but it closes countless others that are already in place and fuel the fire that destroys our economic progress.
Every year hundreds of billions of dollars are wasted in order for individuals, government and businesses to comply or enforce the current tax code. How many Bachmans would your business have to hire in order to figure out your tax burden for any given fiscal year under the 9-9-9 plan? Maybe Herman Cain won’t get the tax lawyer vote, but he may pick up a few business votes…Unless those businesses are voting based on their desire to be “in” with the future President for the purpose of capitalizing on crony capitalism. This all but destroys this dreadful aspect of our federal government. GE couldn’t go through the year capitalizing on every possible loop hole that congress or the current administration is willing to give them. They would play their low flat rate like everyone else.
That is the beauty of this plan, with all due respect to Mr. Romney, it is simple. It takes the guessing game out of entrepreneurship and removes government (in part) from our economic and social systems.
Have 20 kids and make a few thousand every year in your tax return? Well, this plan doesn’t act like a middle man between the haves and the have nots. I know that Mr. Santorum, a good man, is all about big families – as am I; but I challenge him to find a constitutional basis for his argument against Cain’s 9-9-9 plan. Where does our federal government get the authority to encourage family growth by essentially paying people to have children with the earnings of someone else? That’s not conservatism, that is social engineering.
Finally, one of the best things about Cain’s plan is its gimmicky name. No, not because I like the way it sounds like a hot weekend pizza deal, but because everyone (to include the apolitical) will know EXACTLY what the tax rate is. This transparency is something that Americans want more of in Washington, but this also rebuts the idea that once instituted that Congress could EASILY raise it to a 10-10-10 plan. Well, while they could, that wouldn’t fly easily. How many different tax hikes have been implemented in the last year? Four years? Ten years? The answer is…You don’t know. In fact, I don’t know if anyone knows. We do know that there have been more than 14,000 changes to the tax code since 1986. If Congress raised taxes tomorrow in some obscure area, few Americans would know or even blink at hearing it. Raise the 9-9-9 plan, and everyone will know instantly. That is exactly why so many politicians are against it; it takes away their means to move money and reward their buddies.
Sure, Newt was right in regards to the fact that it is a little more complicated than Cain has led on. Sure, he has had to make some adjustments (to include the 9-0-9 plan). Still, it would be quite a stretch to attack this plan for its complications especially compared to the status quo. There are a lot of economists that have written it off as a non-serious plan, but I could walk outside and find a dozen economists that think we should continue to pass trillion dollar stimulus packages. I know this, Paul Ryan, Arthur Laffer (Reagan’s economic advisor), and Steve Forbes have all given Cain’s plan a thumbs up.
No more Social Security and Medicare payroll taxes, no more death tax, no more federal nickel and dime passes to be found on your phone, gas, internet, or electric bills. We all love to complain about taxes, but are we willing to get behind a bold plan to make some REAL change or do we just want to make a few more changes to that giant 10 million word document? You tell me.
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