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+--- Thread: Question about 999 plan (/showthread.php?tid=125221)
Question about 999 plan - space-time - 10-14-2011
is the proposed 9% sales tax a national tax, and it comes on TOP of the state sales tax?
Re: Question about 999 plan - Lux Interior - 10-14-2011
space-time wrote:
is the proposed 9% sales tax a national tax, and it comes on TOP of the state sales tax?
Yes, but I believe pizza is exempt.
Re: Question about 999 plan - BCam - 10-14-2011
Cain's plan is in reality a Value Added Tax, isn't it?
I build cars.
I buy steel + 9%.
I buy tires + 9%.
I buy electronics + 9%
I buy upholstery + 9%
I buy glass + 9%
I buy paint + 9%
etc.
So when I sell the car to you, I need to recoup my additional costs, and then of course, you add another 9% to your purchase price.
Re: Question about 999 plan - Mac1337 - 10-14-2011
Sales tax is a state tax revenue stream. It stays. That third 9 is giving a lot of conservatives pause too. Cain's response is that you have to look at your bottom line. Individual components might go up or down. He proposes to eliminate payroll taxes too. For the self-employed, that is a 15.6% increase in take home pay. It is not clear what happens to the employer contribution for people working for private employers.
Re: Question about 999 plan - mattkime - 10-14-2011
don't think too hard about it. it supposed to be simple, thats the point.
Re: Question about 999 plan - OWC Jamie - 10-14-2011
Sounds like a good way to curb consumption in a consumption and service based economy to me.
Just what we need to kick start the economy - more sales tax.
Re: Question about 999 plan - Mac1337 - 10-14-2011
BCam wrote:
Cain's plan is in reality a Value Added Tax, isn't it?
I build cars.
I buy steel + 9%.
I buy tires + 9%.
I buy electronics + 9%
I buy upholstery + 9%
I buy glass + 9%
I buy paint + 9%
etc.
So when I sell the car to you, I need to recoup my additional costs, and then of course, you add another 9% to your purchase price.
So you are making the case that tax increases are passed on to consumers? Missed your posts arguing against raising taxes on businesses.
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Re: Question about 999 plan - space-time - 10-14-2011
BCam wrote:
Cain's plan is in reality a Value Added Tax, isn't it?
I build cars.
I buy steel + 9%.
I buy tires + 9%.
I buy electronics + 9%
I buy upholstery + 9%
I buy glass + 9%
I buy paint + 9%
etc.
So when I sell the car to you, I need to recoup my additional costs, and then of course, you add another 9% to your purchase price.
it is value ADDED tax, you don't pay 9% tax on something you already paid 9% tax on. Nothing is taxed multiple tax, as far as I understand the VAT (again, value ADDED tax)