Washington (CNN) - A leading fiscal conservative group, Club for Growth, supported Herman Cain's '9-9-9' tax plan Friday, saying it would pave the way to an "economic boom."
"Herman Cain's proposal might not be the perfect plan, but it is a truly revolutionary tax reform that would amount to a massive job creating tax cut on investments, savings, and income," said Club for Growth President Chris Chocola.
The presidential hopeful hit the road today on a bus tour promoting the plan, which aims to replace the current tax system with a flat 9% rate on income taxes, a 9% rate on corporate taxes and a new 9% national sales tax.
The group, which lobbied strongly against any tax hikes in this summer's debt ceiling showdown, applauded Cain for proposing to eliminate taxes on capital gains and dividends. Meanwhile, its president chided other GOP White House hopefuls for holding back on presenting their own low-tax plans.
"Instead of tearing down ideas that would create economic growth and jobs, the other Republican presidential candidates should produce their own plans to achieve a flatter and more growth-oriented tax code," Chocola said.
But not all fiscal conservative groups are fully enthused by Cain's proposal.
Grover Norquist, an anti-tax political heavyweight in Washington and president of Americans for Tax Reform, described Cain's plan to CNN on Thursday as bold and dramatic but warned against adding a national sales tax.
"If you've got one needle drawing blood out of your arm, that can hurt," Norquist told CNN's Jim Acosta. "You put in two more, you really begin to draw blood out of a person or the income out of people's pockets."
The loopholes that are getting added everyday are wide enough to fly a 747 through. And, beware of the details of this economy destroying tax plan.
The sales tax only applies to "new" items. Does that include houses? Cars? Vintage wines and aged cheese? Stocks and bonds? Since capital gains taxes are eliminated, many of the wealthiest will wind up paying close to 1% or less.
The corporate tax only allows deductions for items "made in America." Nothing is "100% American" made anymore. Businesses are going to be hurt because they can no longer deduct expenses as the plan currently stands.
I wish someone would ask Mr. Cain what is his current effective tax rate, and what would it be under 9-9-9.
Perry Junior: "It's the government's fault I quit my job to work for a failing campaign.... and became unemployed.
I can see whining and taking no personal responsibility ....runs in the familiy. No wonder Perry is in third place and slipping. The guy is a complete loser.
Herman Cain did not create the 9-9-9. A woman on one of the networks told how she created it. Hermn found it in one of the game machines and presented it at the debate. The voters were not aware of this because he never told them how he came to those figures.
And, effectively raise taxes on the poor while simultaneously granting even bigger cuts to the wealthy. Just what we need.
A "leading, fiscal conservative group", Club for Growth!! Who are they, and what kind of braindead twits are members?
No wonder Cain won't mention any "advisors". Even in Texas this would not work. Ask Perry'wife.
A 9% sales tax on the purchase of a home? The current sales tax rate for home sales is zero, and home sales are already low. So Cain thinks he's going to give us a boost by creating a brand new federal sales tax and makin it 9%? This half-baked scheme has more odor than a day-old floater. Cain is the surest way yet.... to get Obama re-elected. What a unit.
"an economic boom"
Yes, it would explode the middle-class and leave little bits and pieces of them all strewn about the ground.
I see Cain's 666 plan has been endorsed by Count Chocula. Next endorsement will be Tony T. Tiger.
Anita Perry sounds like Palin (Part 2) Gov. Perry, you need to talk to her.
@ Romney 2012:
What's a "unit"?