Perry to Propose Optional Flat Income Tax of 20%

Texas Governor Rick Perry is formally unveiling his flat tax proposal Tuesday in South Carolina. His campaign hopes the plan will gain traction with people who are fed up with the current tax system.

Sources tell Fox News it will be an optional 20% flat income tax with a $12,500.00 deduction per individual, per household. Taxpayers may otherwise choose to keep paying under existing IRS code.

The Texas governor hopes to one-up Cain's 9-9-9 plan, which some tax hawks and Tea Partiers have criticized for creating a new sales tax.

The roll out comes on the heels of Steve Forbes' announcement he's endorsing Perry; Forbes championed the idea of a flat tax when he ran for president in 2000 and advised Perry on this new proposal.