- Food « About that Loaf of Bread
During his speech at the National
Press Club on Oct. 31, 2011, Herman Cain addressed a criticism of his
9-9-9 plan thusly.
...and some of the criticism has been, well it is a VAT [value added tax]. I don't care what you call it, but if you want to call it a VAT on that sales tax piece, it's one rate, one point. We are simply taking invisible taxes and replacing it with one visible tax.
When you buy a loaf of bread, it is estimated that that loaf of
bread contains at least 30 to 40 percent more cost because of all of
the taxes that have to be paid along the way. You just don't see
The farmer pays taxes on his profits, if he makes a profit.
The flour miller pays a tax. The baker pays a tax. The
truck driver that delivers the bread to the store pays a tax. And
the grocery store, if it makes a profit, pays a tax.
Who do you think pays those taxes? We do. The
We are simply taking out the embedded taxes, which are invisible, and replacing it with a 9-percent retail sales tax.