aside, the real issue voters should be concerned about with Herman Cain’s campaign platform is his “9-9-9” tax plan, which would jack up taxes on more than 80 per cent of low-income households.
A recent study by a Washington think tank picked apart Cain’s tax plan, finding that not only would it raise taxes for the majority of low- and moderate-income household, but it would give the wealthiest taxpayers a tax cut.
Cain’s “9-9-9” plan, which he’s said will simplify our current corruption-laden tax code, would scrap the individual income tax, corporate income tax, payroll tax, and estate and gift tax in favour of three taxes set a 9 per cent rate. Conservatives have been vying for such a plan for years.
There would be a national sales tax, a business tax and an individual income tax. When all is said and done, the plan would basically amount to a 25 per cent national sales tax, according to the Tax Policy centre’s study.
What does that mean for you? Well, if you’re among majority of people who take in less than $37,090 per year, expect to pay more taxes.
But the higher earners can rejoice, as Cain would put more money in the pockets of America’s wealthiest. About half of the top 20 per cent of earners with incomes greater than $111,000 would see their taxes cut by $14,400, according to the Wall Street Journal.