Rick Perry has finally revealed his tax plan which among other things includes a 20percentage flat tax. How does his plan stack facing the rest? Released details of his plan in an op ed in the Wall Street Journal, rick Perry will formally make his announcement today. Perry is taking an old idea that Steve Forbes ran on in 1996 with support of a national flat tax. Besides, perry’s plan allows everyone to choose between his new flat tax system or the current system. To me that sounds pretty weak. Why leave the current system in place, if the plan is very much better. Perry’s plan does have some interesting tidbits that can not be overlooked. While increasing the standard deduction to $ 12, Another thing Perry’s plan does is keep current deductions for mortgage interest. State/local taxes for families that earn less than $ 500000,I seem to remember plenty of republicans bashing Mitt Romney for his ‘fifty something’ point plan that included keeping certain deductions for families earning less than $ 250,The claim was that Romney was drawing a line in the sand on who was rich and who was middle class much like Obama has done.
There are specific provisions to would eliminate social security income from taxation. That’s right! This must be a big boost to seniors across the country. Perry will also eliminate taxes on dividends and capital gains. Actually, this would boost investing. Known another major part to Perry’s plan, and one that oneups Herman Cain’s 9 9″ plan, is that he wants to pass a balanced budget amendment and cap federal spending to 18percentage of GDP.
There’re a number of consequences to these actions that need to be panned out before this particular action takes place, these things sound great.
Perry also wants to repeal ObamaCare, DoddFrank, and section 404 of ‘SarbanesOxley’.
Perry will also ban earmarks and freeze federal hiring and salaries until the budget is balanced. Section 404 is the section that is noted of being the most costly for companies to comply with. Anyway, perry has heard that message and came out with a plan of his own as the answer. All and all, I believe Perry’s tax plan is fantastic! Anyways, look, there’re similar to keeping the current tax code in place and allowing people to pick and choose which system they look for to use. Normally, should be very careful in its crafting, as for the BBA, By the way I am not necessarily against a BBA. Whenever repealing them should take us backwards I believe, Until most of us are aware that there is a plan for a replacement of these bills, that do serve a purpose.
ObamaCare, Dodd Frank, and section 404 of ‘Sarbanes Oxley’ outright as long as I should like to see a proposal for their replacement before an outright repeal is done.
Previous iterations of a BBA floated by the GOP included the requirement of a super majority to raise any revenue but a straightforward majority to cut spending.
The biggest part of Perry’s plan that I am not sold on is the second part which calls for a cap in federal spending on the basis of GDP, a BBA, and the repeal of ObamaCare, DoddFrank, and section 404 of SarbanesOxley. The most dangerous part of his plan in my view is the spending cap of 18 of GDP.
In World War 2, total government spending reached 53 of GDP! This is very dangerous as if enacted via an amendment to the Constitution, it would dampen our ability to ramp up spending rapidly in the event of emergencies like a recession, depression, or war. Herman Cain deserves much credit for making this a significant issue in the race since before he introduced his ‘9 9’ plan and started to soar in the polls because of it, talk of fundamental tax reform was on the backburner. Perry’s plan. Then the negative consequences do not surely is worked out, it all sounds great on the surface. Oftentimes david W Gray invites you to join The Political Zealot’s community at where we bring politics from an independent’s outlook to light.
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