Texas Gov. Rick Perry, who is angling for the Republican nomination in the 2012 presidential race, called for the implementation of a flat tax in a speech Wednesday.
Perry, speaking to conservative activists at the Western Republican Leadership Conference, said that getting rid of the federal income tax would be the foundation of his economic plan and that he would release details in about a week. He called for “scrapping the first 3 million words of the current Tax Code, starting over with something simple.”
Perry is the latest Republican presidential hopeful to call for a flat tax. Since September, fellow candidate Herman Cain, the former CEO of Godfather’s Pizza, has campaigned on his 9-9-9 plan to cut taxes. Cain’s plan calls for a 9 percent business flat tax, a 9 percent personal income tax and a 9 percent national sales tax, which would replace the payroll tax, corporate and personal income taxes and the capital gains tax.
Cain argued that the plan provides more certainty for businesses, which would not be penalized for repatriating offshore profits.
What do you think? Does the flat tax idea hold water?