THE VIRGINIAN-PILOT 
              Copyright (c) 1996, Landmark Communications, Inc.

DATE: Tuesday, October 15, 1996             TAG: 9610150005
SECTION: FRONT                   PAGE: A16  EDITION: FINAL 
TYPE: Letter 
                                            LENGTH:   19 lines

TAX CUT DOESN'T ADD UP

During the TV debate, Bob Dole referred to his tax-cut proposal as one that would result in a family of four with $30,000 in income having their taxes reduced $1,260.

How do they figure? My 1995 IRS tax forms show that an adjusted gross income of $30,000, after the standard deduction of $6,550 and exemptions of $10,000, would yield taxable income of $13,450 and federal income tax of $2,014. On this basis, a 15 percent tax savings would be only $302.

Even $30,000 in taxable income, producing a federal income tax of $4,504, would result in only $675 in tax savings with a 15 percent tax reduction.

L. A. TROUGHTON

Virginia Beach, Oct. 7, 1996 by CNB