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The 9-9-9 Tax Plan and the Importance of Debates




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Disclaimer:
Nannette Chopin-Cook is responsible for this content, which is not edited by the Wilson County News or wilsoncountynews.com.
October 18, 2011 | 2004 views | 12 comments

This week there will be a Republican Debate on Tuesday evening if you have the time come and join the fun and games show. It will be an important debate as Herman Cain will continue to defend his 9-9-9 Tax Plan and Gov. Perry will see if his debate coach has helped him. Debates are just that - Fun and Games! The candidates do not have the time to provide an in-depth analysis of how they will fix this country.

They try to provide funny quips, counter punches, and top level “visions” of what they think will work. They remind me of the “visionaries” that I worked for in the Federal Government. They are brilliant individuals and come up with excellent ideas, BUT they forget one thing - the I-M-P-L-E-M-E-N-T-A-T-I-O-N phase of their plan! That is the key to any plan whether it is planning one’s day, taking a trip, purchasing a new car, planning out a career, etc.

This is where our “political season” falls short and how we, the American Voters, end up with an inexperienced person in control of our country. The American voter has been like high school kids. The guys go for the prettiest girl in school and the girls try to snare the best looking and most popular football player in school! Neither take a look into the future whether either of them have the drive or initiative to become a successful taxpaying citizen, or a solid partner in life. Instead, it is instant gratification or just living in the moment. When people live only for the moment, forgetting that each day brings us closer to the future, failure is inevitable. It is in the planning for unforeseen issues and problems that make life’s road easier to travel and for the visionary’s plans to provide a positive outcome.

Speaking of Planning and Debates - how about that 9-9-9 Cain Tax Plan. One must ask the questions that will never be asked by a Moderator (much less answered by a candidate). “How will you implement your 9-9-9 Plan Mr Cain? Will your plan provide that on January 21, 2013 that the IRS will be abolished? Who will collect the 9% income tax? Will businesses begin collecting the 9% sales tax on everything purchased (remember no more IRS)? Will businesses start increasing the cost of goods and services based on their 9% Business Tax? Will the FICA tax no longer be collected by employers? How will you fund Social Security and Medicare? Will there be any deductions under this plan? What happens on April 15, 2013? Will States be receiving any “funding”? If so, is it based on the amount of taxes each State sends to Washington? Will the American public no longer be liable for state, city, property taxes? What about all the back taxes owed to the Government prior to you taking office? Which deductions will be eliminated and what happens to pretax issues for health care premiums and ROTH IRA’s, etc? Will those still be available?” Now these are the questions I want to hear at a Presidential Debate.

Here is my opinion (based on some assumptions) on the 9-9-9 plan. If Mr Cain were elected, he will NOT be able to abolish the IRS on January 21, 2013, our taxes will not change immediately, Corporations will still be paying 35% - BUT you can bet your bottom dollar that they will be collecting that National Sales Tax within 60 days and that if the 9% Business Tax goes into effect our consumer costs will jump at least 9%! The IRS will still be there. They will have to collect all the money.... No savings there unless we just mail a check (on our honor) to the White House.

Here are 2 examples one might consider if the 9-9-9 Plan is implemented:
Example 1: $50,000.00 (gross income) x 9% equals $4,500.00 - Nice increase! A family has now gone from zero tax liability to $4,500.00. IF you are still in the workforce (whatever is left of it) you would not be paying FICA taxes anymore.

Individuals will pay a 9% Sales Tax on purchases, along with State (6.5%), City, and Property taxes and don’t forget the 9% Business Tax that would affect the cost goods and services (I think I am hearing total tax rate of approximately 40%). So those who are in the workforce, have deductions, and NO tax liability - Welcome to the Real World. At this point it appears that the 47% of Americans who do not pay taxes will now become a player in paying their fair share (an increase for them) and a reduction for those who have been carrying the country in paying a larger portion in taxes.

Example 2: A couple making $100,000.00 (gross income) would pay $9,000.00. Take away the deductions and this an increase. For those who do not have any deductions, it would be a tax reduction. This does not take into account of the effect on Retirees.

Now let’s go for the GUSTO! The 9% National Sales Tax, the 9% Income Tax and the 9% Business Tax is more like a 27% tax (excluding all the other State and Local taxes). Oh boy, am I ever excited! Mr Cain stated in the last debate that if you only purchase used items you PAY NO NATIONAL TAX! REALLY? I ask, “Mr Cain, what do you think that will do to the Business Community? Who will be buying ‘new‘ items? Talk about Class Warfare. If only the rich can afford new items and the average worker can only afford used items - it doesn’t take a Rocket Scientist to figure out that answer. Also, did I hear you correctly during the last debate - that new homes are included in this 9% National Sales Tax, but not ‘used’ homes”?

So far, I am not impressed with the 9-9-9 Plan as it is really closer to 27% tax rate (remember - this does not include State, City, and Local taxes) to all Americans, and until the US Government adopts a balanced budget amendment, no one is protected against higher taxes. Eventually we will be paying a 50% tax rate to good ole’ Uncle. This is why the debates are so important. Candidates who provide a sound plan and show how they will implement it, should be considered viable. Speaker Gingrich is one of the most intelligent individuals among the group and has great ideas. Listen to him as he answers the questions. Now this is NOT an endorsement for him or any other candidate, but with Gov. Romney’s business experience and Speaker Gingrich’s intellect and background, that might be a dream ticket for the Republican Party. Only time will tell. I encourage everyone to take the time to google 9-9-9 Plan to see full and in-depth analysis.
 
« Previous Blog Entry (October 12, 2011)
 


Your Opinions and Comments
 
Senior Citizen  
Wilson County  
October 20, 2011 9:28am
 
 
Debates are not a very effective way to determine a candidate's qualifications. Often questions are designed to trip them up, when in fact, the president relies on his cabinet ... Read More Read More
 
 
Chopin  
La Vernia  
October 20, 2011 8:55am
 
 
Watch for Perry's flat tax of 17% - no income taxes for those making $36,000 or less.... Forget this one.

Mr Cain is now revisiting his 9-9-9 plan.. appears that too ... Read More Read More
 
 
Rock'n chair Rambler  
Over Taxed, TX  
October 20, 2011 6:37am
 
 
"Commander in Chief in training"

I think with few exceptions, all Presidents have been more or less "in training". That's why they have the Joint ... Read More Read More
 
 
Alvin Charmaine  
October 20, 2011 6:17am
 
 
All flawed candidates. The GOP is going to be relying on the VP candidate to take up the slack. I think Christie as a VP candidate could make the difference.
 
 
Chopin  
La Vernia  
October 19, 2011 9:45pm
 
 
My take on the Debate...
1. Gov. Romney was the adult...Muslims scare me more than a Mormon!
2. Speaker Gingrich...Very Intelligent and extremely knowledgeable of hoe ... Read More Read More
 
 
Alvin Charmaine  
October 19, 2011 6:10pm
 
 
You know there's a football expression: if your team has two quarterbacks you don't have a quarterback.

The GOP doesnt have a candidate.
Perry is exactly what i've ... Read More Read More
 
 
Resident  
Stockdale  
October 19, 2011 3:00pm
 
 
I'm beginning to wish we could elect the debate participants as a group to be the "executive branch".

Newt Gingrich of all people sounded brilliant up ... Read More Read More
 
 
Shannon Mcdonald  
Floresville, TX  
October 19, 2011 10:51am
 
 
Ditto the Rambler's comments. I agree completely.
 
 
Rock'n chair Rambler  
Over Taxed, TX  
October 19, 2011 8:33am
 
 
Having watched the debate last night, I must say I was really impressed with Cain's performance under fire. At the very least, he would make a great VP, and it appeared ... Read More Read More
 
 
Chopin  
La Vernia  
October 18, 2011 4:22pm
 
 
I agree with you also. All tax systems - Federal, State, Local, Property, Phones, etc. are corrupt.

The biggest hurdle is HOW to eliminate and replace. The structure ... Read More Read More
 

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