THE VIRGINIAN-PILOT
Copyright (c) 1995, Landmark Communications, Inc.
DATE: Friday, December 1, 1995 TAG: 9512010002
SECTION: FRONT PAGE: A18 EDITION: FINAL
TYPE: Letter
LENGTH: Short : 32 lines
I am writing concerning your support of the idea to readjust the consumer price index - reduce the CPI indexing of various benefits, tax brackets and personal deductions. I believe your support of these ideas to be ill-advised.
I'm retired from the military, and a major reason for my decision to pursue that career was the promise of a CPI-indexed retirement. Now, if you wish to change the rules after the game has been played, I would also demand that you roll the clock back to 1954 so that I may reconsider my career plans.
The government claims the CPI is overstated, and you agreed. I disagree. Many things I buy today that are similar to those produced in the early 1960s have increased in cost far faster than the general rates. My real-property taxes are 25 times higher than in 1965, and my maximum Social Security tax liability is up an incredible 50 times. Interestingly, the maximum Social Security benefit is up only about eight times higher than in the early 1960s.
One of the few benefits of the 1986 tax law was indexing tax brackets and certain deductions/exemptions to prevent Congress from raising taxes through inflation.
JAMES R. CAMPBELL
Virginia Beach, Nov. 22, 1995 by CNB