HERMAN CAIN'S 9-9-9 TAX PLAN
Herman Cain's 9-9-9 alternative tax plan is patently unconstitutional (and completely unworkable to boot)!
First, a 9% flat tax on either the earnings or the income of the American People (the citizens) would be patently unconstitutional, because irregardless of the adoption of the 16th Amendment in 1913, the federal government is still absolutely prohibited from taxing the American people in a direct manner unless the tax is laid in proportion to the last census and is apportioned to the States for collection. Obviously a flat tax, which would be directly laid on the earnings (or income) of all persons, including American citizens, and would also be collected directly from the wallets of the American people themselves, fails on both of these constitutional requirements, and would therefore be a completely UNconstitutional direct tax!
Second, a 9% federal retail sales tax, imposed and collected by the federal government on general retail sales conducted in the fifty states, is also patently unconstitutional. The interstate commerce clause of the U.S. Constitution has long been recognized as a total bar to the taxation of retail sales in the lands and territories of the fifty states by the federal government. This is because ONLY the State governments (legislatures) possess the territorial jurisdiction necessary to tax the retail sales occurring within the lands of the State(s). The interstate commerce clause allows the federal government to, in regard to sales, ONLY tax the first sale at the wholesale level after interstate commerce has occurred, but NOT general retail sales. So a 9% federal sales tax is completely unworkable, as it is unconstitutional, as it improperly appears to allow the federal government to improperly, and in fact unlawfully, invade the exclusive territorial and legislative jurisdictions of the fifty States. Any federal sales tax that Congress attempts to impose on retail sales in the fifty states, will fail the first time it is tested for constitutionality in the U.S. Supreme Court.
Third, a 9% tax on the income of corporations, of course, will not raise sufficient revenues to fund the operations of the U.S. government, as corporations work very hard to specifically engineer the absence of profits at the end of the accounting year, through the assumption of excessive and unnecessary expenses, that are assumed and used to reduce profit in order to appear to legally be avoiding tax. The government will collect, literally, next to nothing!
Finally, there is of course, really a fourth, un-discussed and virtually undisclosed, "9" in Mr. Cain's tax plan, which is the 9% employment tax on the "wages" of all persons working in America, which is of course, plainly and clearly, just the on-going continuation of the existing tax system, together with the federal sales tax, and the existing (9%) income tax, which the government will inevitably, again, eventually need (be allegedly forced) to increase in order to raise more revenue (to steal and pass out amongst their friends). This is all, constitutionally speaking, totally unworkable!
A MUCH BETTER solution would be to entirely repeal the unconstitutionally direct income tax system we currently wrongfully suffer under, and replace it with a 3 to 5 percent flat tax on ALL CORPORATE (and only corporate) earnings, rather than on profits (income) after expenses.
Herman Cain's 9-9-9 tax plan is patently unconstitutional !