Opt for zero. and the other thing is there s no national sales tax attached to this plan which is a huge difference between what s about to be the perry plan and the herman cain plan and that was the one much talked about controversial point of the herman cain plan was adding that 9% federal tax to your retail consumption. all right, so we ll see how that stacks up and we ll see if maybe the cbo or somebody else wants to grade it on the side and see if enough revenue goes in there to change anything. how does that plan stack up against plans of other frontrunners? molly henneberg has a calculator and very smart math friend, very good at math, i should say, and more from washington. what did you come up with? anything? always, brian. good morning, brian. that s good news. gretchen and steve. rick perry is hoping this new economic plan that includes that flat tax proposal will give some gas to his campaign especially among conservatives who are intrigued or interested in the fl
Tax and look towards a long-term goal of a flatter, fairer, simpler tax structure, romney says and lower the corporate income tax rate from 35% to 25%. rick perry s announcement of his optional 20% flat tax comes on the heels of him endorsing it. he proposed a 17% flat tax and advising perry on putting together this plan. perry will talk more in depth about the plan in south carolina and you guys in new york know that s going to be key for him because this is the first in the south primary next year. thank you very much for that report. it s interesting when we start to compare them. will mitt romney change his plan as a result of them coming out more in the flat tax area. that remains to be seen. one thing is for sure is the president doesn t like any of the plans. they put out a big press release ripping the romney and the perry plan. here s part of that quote. both the romney and perry economic plans embrace a far right vision for our tax code
Stop? if you ve noticed any of the large stops on interstates, they pull in and don t just gas up with diesel fuel. a lot of times they ll park there for the night and sleep six or eight hours and they have to keep the engines running to either cool themselves in the summertime or heat themselves in the winter time. this would replace that with electricity so that you wouldn t be polluting the atmosphere and it was a good plan. i mean the idea is a good idea. but the problem here is the lack of vetting russian money out the door. this was only 1/10 of the amount of the solyndra loan which i think was $500 million. this was $450,000 but the point is it s money poured down the tube because the federal government or the state government in this case in conjunction with the feds, not properly vetting. not looking at this and realizing there s red flags everywhere, gretchen and yet, our money still went out the door. do you have any idea how this vetting process works?
The united states and saying i want to talk about the tax code which is good. unfortunately and this is what the back of it comes, the debate right now revolves around a variety of either falsehoods, lies, or misperceptions. let s look at the perry plan. establishes an optional 20% flat tax. that sounds appealing and flattens everything out and everybody doesn t have to pay that much in tax. that s great. if the plan with taxes is to tax the money, that s what we do. we don t tax behavior and consumption, but that s for a different show. we tax money. that s fine. everybody pays 20%. is it every person that pays 20% or the money that needs to be taxed. if it is the money, isn t it interesting that 40% of all of the money in our country is with 1% of the people. if you actually the irony is
Balance and grow plan later on today. but will people go for it? stuart varney joins us live. stuart, it sounds like it is going to be according to what we read in the wall street journal , a 20% flat tax. yes, it is. now you ask the question will people go for it? the point is they have a choice. if this plan is passed from governor perry, then people will have a choice. do you want to go with the old system? your old tax rate? or do you want to accept the new 20% flat tax rate? i think that makes it more politically attractive, more easy to pass politically because you re not forcing anybody to take a new tax rate or to pay taxes at all. so you ve got this voluntary aspect which i think makes it more attractive and passable. is it is that possible can you do the math on that? how do you project costs and revenue if you don t know what people s choice is going to be. if you make a lot of money. let s suppose you make a million dollars a year, then pretty sure you re going t