Shopsmith Forums

The 9 percent sales tax only applies to new items that are purchased. There's no tax on used items.

beeg wrote:So ya think state and local gov's wood give up THEIR tax. I wood think it's more like for you that it wood be 6.7% PLUS 9% equaling a total of 15.7%

The 9% is in additon to state and local taxes. It does not matter if 9-9-9 is the best plan, but it Cain is the only one with any plan that can be scored. Since the CBO will not score it lots of people score it differently, some do it dynamically some statically, some assume that businesses will pass the savings through to consumers (this happend with 50% of the airlines when the FAA tax expired and that was only for a few days). Some make the point that 9-9-9 will become 20-20-20, but that is true with the current income tax, it started at ~4% and 400 people paid it the first year and then it went to a theoritical 90%, today it is back at ~38% and 53% of the people pay it.

This week a few people brought back the fair and flat tax, both of which will hit the lower income people much more than 9-9-9 unless you put in exceptions, once you have exception you end up with the 4 million page tax code we have today.

Theoretically, if a lower tax becomes a reality the cost of goods purchased by the lower income folks will tend to increase (because of the tax) but this increase will be "offset" because of less tax on the base materials.

That sounds like "smoke and mirrors".

If I was a candidate - my proposal would take us all back to the late sixties or early seventies. That means wages, prices, unions, everything. I'd be driving my 47 Plymouth and stores would be CLOSED on Sundays.

beeg wrote:Seems to me this 9-9-9 wood COST a lot of jobs and income.

If 9-9-9 was to be adopted, there might be less need for tax accountants and the IRS. Other than that, I don't see why there would be a inevitable decrease in employment.

Anything that would put the masses back to work would be good. Maybe even those who are gathering in the streets in protest of what has been feeding them for years will go back to work.

Hmmm, maybe not. Some of those that were interviewed on TV sounded as though they assumed everything they needed was to be provided by the socalist system.

dusty wrote: . . .

Hmmm, maybe not. Some of those that were interviewed on TV sounded as they though them assumed everything they needed was to be provided by the socalist system.

Well that separates them from the 'tea party'!

beeg wrote:Seems to me this 9-9-9 wood COST a lot of jobs and income.

Just bringing a trillion in offshore profits of US companies back to the US would cause the biggest economic expansion anyone has ever seen, 9-9-9 is only one of many ways to address this. 9-9-9 is a major jobs bill according to every analysis. It is the 9% sales tax that people hate but 9-9 does not work.

Buy a car and see how the 9% national sales tax + 6.5% state and local tax (Ohio) goes over. not too well my guess.

Does anyone believe a flat tax plan has any chance at all to pass?

[quote="dusty"]Thanks for the links]

He has explained it, but most of the media go out of their way to NOT cover it. I saw an interview on (OHMYGOSH!) FoxNews in which he made his case for 999, and it was a credible one. (The biggest negative? It is assumed we cannot trust Congress to treat it honestly!)

1) ex.: Old-- 15% inc. tax + 6+% FICA= 21+%. New-- 9%inc., NO FICA = 9%.
2) you DO pay a lot in Sales Taxes now, but it's hidden, in Corporate taxes and Regulatory add-ons. Corp.'s have to pass on those costs in product costs - TO YOU. // New-- lower Corp Tax rate; scrap unneeded and costly regs.
3) There's lots more, of course.

Big thing is the opposition is trying to take ONE item at a time in isolation and knocking it down. The plan is "9-9-9", not "9". When you look at it, look at the Whole thing. (The "Media" will NOT do that, which tells you how important it is to DO it.)

Imagine if ShopSmith didn't have to pay each and every one of its suppliers the taxes and regulatory fees (penalties) they incur for the Privilege of just doing business. And if those suppliers didn't have to pay those costs to their suppliers, etc.
Imagine if employers (i.e. "The Rich") didn't have to pay 6.2% Soc. Sec. Taxes for each employee. Imagine if The Rich (employers) weren't penalized 35% (THIRTY-FIVE) of any income for the heinous crime of employing Americans, in America!

You'd be buying a brand new Power Pro for about half price.

9-9-9. Deserves a look. So does the alternative.

About "a look"-- have you noticed that FOX is derided, sneered at, attacked, for their motto-- excuse me, HALF of their motto-- "Fair and Balanced"?
Why then does the "media" refuse to cite the other half of their motto "We report, YOU decide"?
One says "listen to everybody, then decide for yourself".
The 'other' says "don't listen to FOX."
And you trust "who"?
..................

And think-- with all those lower taxes and such, when you and wifey visit ShopSmith just think of the Extra accessories and goodies she can add to that credit card, for the Same total!

cincinnati wrote:Buy a car and see how the 9% national sales tax ...

That 9% national-- only on NEW cars, btw. Used cars= ZERO%.
Et Cetera.--[ For instance-- the sales tax on a used, Fully accessorized MARK VII? $0.00. Even adjusted for inflation!]

Hm, and since the auto maker (et al) will be paying at LEAST 10% LESS Corp. taxes, what will that do to the free market price of the new Whatevers?

(Go ahead and be cynical about other manufacturers, my bet is that ShopSmith WILL pass on the 'savings' to us.)