My mind was thinking more about Cain's plan, so I threw together this rough example from the statistics provided by the Consumer Expenditure Survey.
Assume a family of four with an annual income before taxes of $94,807 and the after tax income of $92,147. That's about a 3% tax of their gross income. Under a flat 9% their after taxes income would be $86,274. They would pay $8,532 in annual income tax. That's 3 times what they currently pay.
The average annual expenditures for this group is listed as $69,536.
Removing non-taxble expenditures for housing, food, utilities, and the cost of health insurance, etc.....which account for over 70% of the listed expenditures, that leaves about 30% of expenditures on things which would be subject to sales tax.
30% of $69,536 is about $20,860. 9% sales tax on those expenditures would be $1877 annually.
That is over and above the normal state sales taxes that everyone pays.
This particular family would be paying the federal government $10,409 in one year.
Under Cain's plan, this family would be paying $7,749 more than it currently does.
Cain's plan not only would hurt the lower and middle classes, it would hurt the upper classes even more.
Over 31%, and the top 31%, of the "consumer units" fall into the $70,000 and above income level, with the average(or mean?) income listed as $129,151. These households also make up to 52.4% of the annual aggregate expenditures for the country. A 9% sales tax would hit these more wealthy people as hard as it would the middle and lower classes because of their higher consumption of goods. Maybe they wouldn't feel it quite as hard as a family living on $40,000 would, but that is all relative.
Viewed in this way, Cain's plan is actually a disproportionate tax on "the rich" and all those "job-creators" Republicans keep trying to protect.
It's an awful, awful plan. Going over these numbers convinces me that Cain has no clue about how taxes work or the actual breakdown of how his plan would affect the country.
Here are a few articles that touch on the same things I've been posting about.
P.S. I swear that I hadn't come across any of these things until after my posts. Most of these articles(there are more I didn't list) came out today or the day before. Things like that always make me wonder if there is some sort of meta-cognition process at work in the world. ;-)