Herman Cain’s 9-9-9 Plan

Several people have asked me my opinion of Herman Cain's 9-9-9 plan.  While on the surface this may appear to be a lot different than what has been proposed in the past, it really is not.  The proposal is to start with a 9%  Business Flat Tax, 9% Individual Flat Tax, and 9% National Sales Tax.  As always, the devil is in the details as to what income, purchases, etc are included in any of the above 9%'s.  When you start thinking about that it is not so simple.  The reason that this plan is not much different is that the 9-9-9 phase is a transition to get us to a flat tax (it is in the details).  To date, everyone that has proposed the flat tax has failed.  The current system is so convoluted and evolved that it is difficult to break the inertia associated with staying with the current system.  Any changes associated with the 2012 election are a good ways off so I would encourage you to continue to plan under the current system as we know if it.  If/when the system changes drastically, I will be on top of it and let you know how it could impact you as either a business owner, individual, and/or consumer.