Cain could benefit handsomely from '9-9-9'
His recent income from capital gains wouldn’t have been
taxed at all under plan
Cain's 999 tax plan is simple; you'll pay more
Unfortunately Hermann Cain’s plan includes 9% National Sales Tax which is another name for Value Added Tax (V.A.T. which is one of the disasterous conditions imposed on Citizens and Visitors in the U.K. For entry into the E.U. it started at 3.5% and swiftly and easily grew to 27% taxation upon each stage of the any manufacture or retail processes – thus stranging economic activity.
Roberton Williams of the Tax Policy Center, a nonpartisan research group in Washington, says 23 percent of households appear certain to see their income taxes go up under the Cain plan.
9-9-9 tax plan is helping Herman Cain soar in GOP presidential polls. But does a 9 percent national sales tax and a flat 9 percent income tax take from the poor and give it to the rich?
Unfortunately Hermann Cain’s plan includes 9% National Sales Tax which is another name for Value Added Tax (V.A.T. which is one of the disasterous conditions imposed on Citizens and Visitors in the U.K. For entry into the E.U. it started at 3.5% and swiftly and easily grew to 27% taxation upon each stage of the any manufacture or retail processes – thus stranging economic activity.
Roberton Williams of the Tax Policy Center, a nonpartisan research group in Washington, says 23 percent of households appear certain to see their income taxes go up under the Cain plan.
9-9-9 tax plan is helping Herman Cain soar in GOP presidential polls. But does a 9 percent national sales tax and a flat 9 percent income tax take from the poor and give it to the rich?
Presidential candidate
Herman Cain made over a dozen stock sales over the past year and a half that
earned him between $230,000 and $1.3 million in capital gains — income that
would not be taxed at all under his “9-9-9” plan.
Cain’s 9–9-9 proposal has kicked off fierce
controversy spurred by criticism that it will primarily benefit wealthy
Americans — in part by eliminating all taxes on capitals gains from the sale of
stocks and bonds.
Former Reagan administration official Bruce
Bartlett recently called Cain’s proposal a “distributional monstrosity” because
“with no tax on capital gains, the rich would pay almost nothing” while taxes
on the poor and working class would increase.
On Saturday, Bartlett said Cain, the former
CEO of Godfather’s Pizza, is one example of the sort of wealthy investor who
would reap the most benefits from his proposal. “No question about it,” said
Bartlett. “The wealthier you are, the more your income is going to come from
capital gains. And [Cain] is a wealthy man.”
On Saturday, Cain’s campaign did not
dispute the figures on Cain’s income from stock sales, calculated from his
disclosure statement filed with the Federal Election Commission on August 24,
2011.
But J.D. Gordon, his spokesman, said Cain
under his proposal would still have to pay nine percent in income taxes — “the
same as everybody else.” He added that the candidate’s plan to set uniform
income tax rates and eliminate all capital gains taxes would expand the economy
and create jobs by spurring new investment.
In an interview this week, Rich Lowrie — a
Cleveland-area market analyst who serves as Cain’s chief economic adviser and
helped craft the 9-9-9 plan — said there is nothing unfair at all about
eliminating capital gains taxes for stock investors like Cain.
“If you want the same treatment as Herman Cain, it’s available to
everybody,” he said in an interview. “All you have to do is work and follow the
same path as Mr. Cain. That’s fairness.”
