Going on the Larry Kudlow Show in about an hour to debate Candidate Herman Cain’s 9-9-9 tax plan…check it out—there’s a lot of solid analysis coming out on the plan, so the research pickings are pretty rich. And coincidentally, “pretty rich” is exactly who this plan helps.
OK; but what if it were modified? Say, including estates, capital gains, and other unearned incomes? What if you included on the income portion a standard deduction of, say, $10K per person?
Would that then turn it sufficiently progressive? Are there other options to do so?
There’s a real appeal to a simplification of the tax code– especially if by simplifying, a reduction or elimination of the nooks and crannies in which the megarich hide their money can be made.
I think what makes the code complex is not the progressive schedule, so a flat tax has no obvious appeal to me. The complexities come from treating all kinds of incomes differently and piling on loopholes. So I’d keep a progressive schedule and simplify with a broad base and minimize differential treatment.
It hurts so bad to see smart people wasting their time on this crap.
Thank you for being out there fighting the good fight. I hope that you can keep it up. But, I stopped watching CNBC back when it obvious that Goldilocks was a two bit tramp and Kudlow didn’t want to admit it. I occasionally turn it on. When I do I seem to catch it when things like Rick Santelli’s Tea Party comment comes across. Kudlow’s whole mustard seed catch phrase was especially sickening.
Maybe 9-9-9 could work:
9% Income tax
9% VAT
9% Wealth Tax
9-9-9 is a joke in my town.