I've been a stead fast supporter of Carson's tax plan for a reason. Because I've looked into the Flat Tax system over the years and believe it is the Fairest and most simplistic way to end the massive CFR's with the IRS. It honors the constitution on being uniform to all, and eliminates all the loop holes that everyone always bitches about. It would also stop the Inversion that limits investment capital horded overseas.
It is projected to lose revenues, but historically tax cuts have increased investments and created jobs which is exactly what this country needs. Our companies are hauling ass to over seas and if they keep going I believe the American Dream will go with it.
If his plan at 14.9% was incorporated with higher tariffs to countries like Mexico and China, by getting out of the Free Trade agreements, then it would pretty much not lead to less revenue coming into the Gov't. Or, as I studied this before, go to Flat rate of 18% and it would create growth in the economy and actually increase revenues as the tax code is now.
Details and Analysis of Dr. Ben Carson’s Tax Plan
This is Trumps plan, and it doesn't really end the problem with a massive tax code.
http://www.taxpolicycenter.org/UploadedPDF/2000560-an-analysis-of-donald-trumps-tax-plan.pdf
Cruz's tax plan is a VAT tax, and I've been against it from the get go. Especially when he dances on stage saying it's not a VAT. Well it is a VAT Tax Ted, by those looking at it.
Details and Analysis of Senator Ted Cruz’s Tax Plan
In grading their plans.........Carson's is the best plan of the Candidates. With a few percent more it would stop the supposed losses in revenues as the analysis's have shown. It would massively increase investment and bring back the Trillions being horded overseas...............
Sigh.............yet the people don't look at the issues.
I completely disagree with you in regard to stopping free trade, particularly with Mexico. The opposition to free trade is based on the belief that free trade cost us jobs. This misconception stems from the fact that while the greater benefits of free trade are often dispersed relatively evenly across an economy, losses tend to be concentrated in a few sectors or industries which attract huge media attention. Governments love protectionist tariffs because it produce huge amounts of revenue. The protected industry has less competition and can often increase revenue in spite of it's economic inefficiencies. The problem of course is that the other country will also apply protectionists tarries to their imports.
Once you start applying tarries they will spreads like wildfire in both countries. And both nations suffer. In the case of the US and Mexico, Mexican goods exported into the US increased by 39 billion after free tree. American goods exported to Mexico increased by 137 billion. Clearly the US is the beneficiary of free trade with Mexico.
I disagree. We have a large trade deficit with Mexico. We have company after company leaving the U.S. and rebuilding in Mexico. It has cost us jobs. Some say over a Million jobs. Depends on which source.
I believe in Fair Trade. Their wages are low, epa regs low, don't require retirement or medical insurance for employees...............no one can work like that here given our cost of living. It gives all the advantage for jobs to Mexico.........closes plants here................we lose............they win..........
We simply cannot let so many leave this country without destroying our own work force.
I agree we need to encourage businesses to not just stay in the US but come to the US. This is not done with tariffs and quotas but rather by reducing corporate taxes. We can't reinvent this government but we can change tax rates.
When you speak of business going overseas, keep in mind there are three entirely separate issues here..
One, is moving the corporate office overseas which means the government looses some tax revenues but that does not mean the company is moving all their operations overseas just their headquarters and possibly selected decisions. Most companies that do this are multinationals moving to get a tax break or possibly to be closer to their largest market or their largest facilities. Reducing corporate taxes would probably stop some of this.
Second, is companies that are packing up their entire operation in the US and heading oversea. These are usually smaller companies or single divisions of larger companies that have strong ties to some other country. Despite media attention, this is fairly rare. It is very difficult for most companies to just pack up and leave. Reduction in the corporate tax rate would certainly help.
Lastly, there is outsourcing jobs overseas. This has gone on for decades but the trend seems to be reversing. We're seeing in sourcing as labor rates have increased in a number of countries. There are many problems associating with outsourcing oversea, language and customs, time differences, employee training, coordination of activities, and dealing with different local, regional, national regulations and laws. It was certainly worth the cost and problems when the organization saved 75% of it's labor cost but as labor costs rose, regulations, taxes, and trade unions much of the allure of outsourcing overseas has been lost.