Congress demonstrated political courage in passing an election-year tax increase totaling $98.3 billion over the net three years, Though controversial in many respects, the measure was widely-regarded as a key step toward economic recovery. President Reagan backed the bill during weeks of intensive lobbying, especially within reluctant conaervaztive ranks of the Republican Party. The victory once again attested to his own personal charisma and persuasive talents. Now, as members of the House and Senate visit con stituencim in the long Labor Day recess, they should be mulling further cuts in federal spending to complement the tax boost. The goal, of course, ia lower budget deficits, interest rates, inflation and unemployment. Actually the bulk of the increased receipts in the three-year plan will come from closing loopholes for businesses and individuals and tightening taxpayer compliance with the laws. ‘ Reagan. in his effective address to the nation before the ‘ showdown in Congress, said abou t $32 billion of the extra ‘ revenue would be raised by collection of taxes owed now but g which are not being paid. Another $4d billion, he said, “represents closing special interest loopholes which have resulted in unintended tax advantages for some.” These are matters of simple faimess. Just since the Presidents address, a taxation study by Tax analysts, a non-profit research organization, disclosed that 33 large corporations with earnings of $l00 million or more paid no U.S. corporate taxes in llldl. Four of the firms had earnings of more than $500 million. The taxpayers are entitled to an explanation in such cases and assurance that steps are beig taken to bring tax credits and other provisions into balance to insure that all share in lair proportion the burden of taxation. l.n the hard choice the election year tax hike placed before Congress, the House and Senate demonstrated a healthy bipartisan spirit that should be perpetuated in the ongoing drive to reduce budget deficits and strergthen the financial picture. As Reagan said, “lt will take the best efforts of all of us to keep the American economy on the road to recovery.” The public is depending on that urgent endeavor.