Yesterday evening I was clicking around the dial looking for baseball when I happened upon the Mike Huckabee show where he was talking to Herman Cain about his 999 tax proposal. I stopped to watch and learn. I like Mike, but I disagree with much of what he says.
Herman Cain explained that the 999 tax plan is composed of a 9% tax on corporate profits, a 9% tax on individual incomes, and a 9% VAT, Value Added Tax, a national sales tax, which is severely regressive. Payroll taxes would be eliminated, no Social Security or Medicare taxes. No taxes equals no programs, I guess. Herman may intend that Social Security and Medicare be privatized, but that is the same thing as no programs. Herman also told Mike that the 999 tax plan is a pathway to the FAIR tax which I also oppose.
In addition, the 999 tax proposal would eliminate the progressive income tax, the fairest tax I believe, and the capital gains tax, and the inheritance tax, the so-called death tax. I oppose the elimination of the capital gains tax and the inheritance tax and here is why.
The wealthy receive most of their income from capital gains and making capital gains tax free would mean that the wealthy would pay little or no taxes. Secondly, eliminating the inheritance tax would allow the wealthy to pass their wealth from one generation to the next untaxed and undiminished. That would create wealthy dynasties in the US that would allow the wealthy to purchase influence in Washington from whomever we elect forever. As it stands now, only the wealthy pay inheritance taxes; it is not a tax that faces the 99%, just the top 1%.
Louis Brandeis was an Associate Justice of the US Supreme Court from 1916 to 1939. He argued that you could have great concentrations of wealth or democracy, but not both at the same time. I agree, and I favor democracy, not great concentrations of wealth, either in private hands or corporate coffers.
- Andrew C (✓): ANALYSIS: Cain’s ‘999′ Plan Would Cause Largest Deficits Since WWII, While Increasing Taxes For Most Americans | ThinkProgress (thinkprogress.org)
- What’s More Important – Jumpstarting the Economy, or Raising Taxes on the Rich? (thehalshow.wordpress.com)
- Fox’s Chris Wallace Grills Herman Cain Over Tax Proposals In His ‘999 Plan’ (mediaite.com)
- Herman Cain’s “999” Plan: Tax policy or pizza special? (shortformblog.tumblr.com)