Perry Unveiling Flat Tax Plan Tuesday

GRAY COURT, S.C. (AP) — Republican presidential candidate Rick Perry is rolling out an economic plan that includes a flat tax proposal, private retirement accounts for Social Security and a lower corporate tax rate.

The Texas governor on Tuesday was outlining a proposal he calls “Cut, Balance and Grow” that is aimed at creating jobs and fixing the struggling economy, voters’ top concerns heading into the 2012 election. Perry’s plan sets a flat 20 percent income tax rate, but also gives taxpayers the option of sticking with their current rate.

He would maintain popular deductions for families making less than $500,000 a year, and eliminate taxes on Social Security benefits.

His plan also drops the corporate tax rate to 20 percent, and eliminates taxes on qualified dividends and long-term capital gains.

Perry outlined the plan in a Wall Street Journal opinion piece early Tuesday and was set to speak about it later in the day. In an interview on CNBC, he dismissed suggestions that it would be a giveaway to the wealthy, saying, “I don’t care about that.”

Perry said he wants to give business people incentives to invest in their companies and start new ones. He said he rejects “this idea that we’ve got to have a tax system in this country where you take more away from those that have the ability to create jobs. … What I’m interested in is getting America working.”

The major policy rollout is a critical part of Perry’s efforts to right a struggling campaign. It’s an opportunity to demonstrate a heft and seriousness that wasn’t on display during recent debates. And it sets Perry to the right of chief rival Mitt Romney, who wants to make less sweeping changes to the tax code.

The policy rollout comes as he prepares to start airing TV ads in Iowa and has hired a roster of experienced national campaign operatives to help him. Perry’s chief adviser on the economic plan is former presidential candidate Steve Forbes, who proposed a 17 percent flat tax when he ran for president in 1996.

It’s taken Perry about 2-1/2 months to put together an economic policy package, and he’s had to attend the series of debates without his detailed proposal. Romney also has attacked him repeatedly for not having a plan. Romney released a 59-point jobs plan in early September, about three months after officially announcing his bid.

Perry’s plan would make more dramatic changes than Romney’s would. While Perry’s plan includes the flat tax, Romney would lower rates on corporations and on savings and investment income for middle-class Americans.

Back in 1996, Romney criticized Forbes’ flat tax plan as a “tax cut for fat cats.” Perry said if Romney renews that criticism, “he ought to look in the mirror, I guess. I consider him to be a fat cat.”

Perry chose South Carolina, where he announced he was running for president, to unveil the plan. The first-in-the-South primary state is critical to his path to the nomination, though he has fallen in the polls here just as he has dropped nationally.

He also planned a news conference in the state capital, Columbia, and a fundraiser at the home of former South Carolina GOP chairman Katon Dawson, his top South Carolina adviser.

Copyright 2011 by The Associated Press.


One Comment

  1. MEMEME says:

    So what stop a democrat controled house from uping that to 30%.; If they can up Cain’s 999 pan they can certainly up anyones plan.

    I would rather get rid of the internal revenue all together and have one system.. I don’t think is would be good for businesses to deal with employees having variations of a tax plan.

    With 9% i control what i pay by my purchases.. The more i spend the more i pay in taxes. The flat rate plan does not promote people to work either. the welfare fraud cases are not held accountable and still won’t have to pay anything… With 999, everyone pays taxes but the difference is this

    The truely poor people won’t pay more in taxes because #1. they don’t work so no income tax and #2. They would never buy anything new so they won’t be paying any sales tax. If they buy a car it will be a used one and you don’t pay taxes on used stuff with the 999 plan

    The people living on welfare fraudulently- will have to pay 9% on their IPods. Computers, Smart phones and 4G phones etc.. they will pay for the NEW clothes they get… and in my book, if you can afford a computer and the monthly fee plus cable fee plus cell phone fees and have nice clothes, party and gamble then you can pay taxes like the rest of us.


  2. MEMEME says:

    I was appauled to learn that while the rest of us are being forced to share the wealth, deal with the newly increase in sales taxes and the addition of a city tax that was added… some states pay no sales tax.

    That is not sharing the wealth and certainly does not help deficit. Why are we attacking corporations that provide jobs and not attacking celebrities and union organizations and athletes who make millions just to show their faces? that doe snot provide jobs to anyone yet we promote this kind of greed and spew hatred upon the people that provide the jobs.

    I am so angered with governemnt it makes me wanna puke.

    Obamma gets campaign contribution from the union organizations and celelbrities/sports athletes so of course he is not going to atttack these groups.. they can remain greedy… it’s the rest of us that need to own up and pay our fare share even if it means losing more jobs and making more people vulnerable to welfare or worse yet… the streets.

    I would love to see a celebrity live on the streets or stand in line for food… i would love to see the union organizers party in the bronx instead of the provate getaways they have

  3. Chris McPhail says:

    If Rick Perry did not allow corporations to bring profits home from abroad at a discount then these corporations would not allow him to get the nomination. The problem is that corporations are “legal fiction” and people are “real.” Corporations must be taxed to death and controlled so they will not grow too large and powerful. The reason for this is because under the law a corporation is an “artificial person.” As such, corporations and people cannot both free together at the same time – one will be enslaved to serve the other. This is the natural order of things. Sweat shops are an example of this. Corporations and people are diametrically opposed to one another. What is good for corporations is bad for people and what is good for people is bad for corporations. Mussolini said that Fascism is Corporatism. That is when banking interests and governmental interests come together and form an alliance against the people. Why? Because they are both corporate. This is what we saw happen in Fascist Italy and Nazi Germany and the same thing is happening again on a world scale. This agenda is being promoted by those who control our issuance of currency. The private Federal Reserve is a phony store front for private offshore banking cartels. They control our issuance of currency. And they removed our sound monetary system (backed on the gold standard) and replaced it with a crony credit system. Credit is conceptual and not tangible like cash (paper). Anytime you have to pay the bank you must pay them tangibly. Anytime the bank pays you or makes you a loan they pay you conceptually with “credit.” That means that the banks have loaned you nothing! It is a scam. And Rick Perry is bought and paid for by these bankers, like all of the other career politicians. The only candidate who will discuss real issues is Ron Paul.

  4. altha says:

    Did Rick Perry steal his flat rate from Herman Cain?

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