Texas Gov. Rick Perry gestures to the audience after speaking Tuesday at the Republican Presidential Forum on Manufacturing in Pella, Iowa.
This might come as a shock to a handful of people: The nonpartisan Tax Policy Center has released its analysis of GOP presidential contender Rick Perry’s proposed tax plan and has come away with the distinct impression that Perry’s approach favors Americans in the upper income-earning brackets, regardless of his plan’s distracting put-it-on-a-postcard accessorizing gimmick. —KA
Los Angeles Times:
Rick Perry’s so-called flat tax plan would drain a titanic sum from the federal treasury and largely benefit wealthy taxpayers over those in the lower brackets.
That’s the upshot of an analysis of the plan by the nonpartisan Tax Policy Center. Perry last week unveiled the plan, which calls for an optional 20% flat tax on personal income but would also allow taxpayers to remain in the current system.
[...] If Perry’s plan were to be enacted, the government would see a revenue shortfall in 2015 of almost $1 trillion, a 27% drop, under current law, in which the Bush-era tax breaks expire. Under current administration policy, which calls for the tax cuts to stay in place, the plan would cost the government $570 billion.