Tax Cuts and Social Security

The party of Hoover, Harding and McCarthy(ism) proposes a tax cut to cure the budget surplus (Jan. 20). Let’s be generous and assume they are right for once. But what taxes? Social Security revenue exceeds Social Security expenditures, but other taxes fail to cover other expenditures. Therefore an income-tax reduction will only make the imbalance worse. The only tax cut that could conceivably be justified is a cut in the (regressive) Social Security tax, which should be balanced by an income-tax increase.

In fact, this wealth transfer from workers to owners has been going on for years. It is a factor in the growing concentration of wealth in this country, which can only lead to social instability, increased government intrusion, lower moral standards and an atrophied work ethic among the wealthy. Appropriate compensatory measures might include a much larger reduction in the Social Security tax rate and a large increase in the tax rate for high incomes, together with tax simplification to eliminate corporate loopholes.

No wonder the good old boys would rather talk about sex.

GEORGE TUCKER

Redondo Beach

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President Clinton’s brilliant and innovative new idea of using most of any future budget surpluses to save Social Security has one major flaw: It contemplates using the surplus as defined by Bill Clinton! Naturally, in Clintonspeak, that means it’s OK to have increased spending for existing and new government programs (which would reduce the surplus), but heaven forbid we ever consider a tax cut! Do these Clintonites think we’re that stupid?

STEVEN ZELMAN

Manhattan Beach

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For the past three years I’ve suffered through blistering California summers with no air conditioning and a crippled transmission in my car. Each month, I am forced to pay $334 to Social Security alone--enough to put me in one of the nicer BMWs or to set aside a private retirement fund of $165,000 without interest earnings.

Neither the Democrats’ nor the Republicans’ best efforts at saving Social Security will prevent that system from becoming insolvent years before I qualify to receive any of the funds--I am furious!

Clinton’s suggestion to prop up Social Security with our tax surplus--proof that we are being taxed too much already--is nothing short of criminal.

DENNIS CHANG

Costa Mesa