lCongress demonstrated political dourage in passing an election – year tax increase totaling 5%.8 billion over the next three years. Though cont:-overaail in mln! respects, the measure was widely regarded as a key step toward economic recovery. i Preddent Reagan backed the bill trtng weeks of intensive lobbying, g pedally within reluctant conservative ranks of the Republican Party. The ytctoryonceagalnnttestedtohisown personal charisma and persuasive talents. ‘Now, as memhers,.of the House and Lute visit constituencies in the long ‘ Day recess, theyahould be mulling r cuts in federal spending to entthetaxboostihegoal, of A , is lower budget deficits, interest fates, inflation and unemployment. i Actually the hulk of the increased pts in the threeyur-loan will come E closing loopholes for business and lviduals and tightening taxpayer compliance with the laws. ‘llagan,inhiseffev.’ttveaddresstothe natlm before the showdown in Congress, said aboutm billion of the exura revenue v’..n1n 1-, Mead by collection nt taxes owed now but which are not being paid. Another $40 billion, he said, “represents closing special interest loopholes which have resulted in unintended tax advantages for some.” These are matters of simple fairness. Just since the Presidents address, a taxation study by Tax Analysts, a non profit research organization, disclosed that 33 large corporations with earnings of $100 million or more paid no U.S. corporate taxes in M1. Four of the firma had eamings of more than $500 million. The taxpayers are endtled to an atplanation in such cases and assurance thatstepsareheingtakentohrtngtax credits and other provisions into lulance toinsurethatallshareinitairproportton the burden of taxation.