Individuals’ Taxes Pay for 38% of Plan

More than one-third of the money needed to finance President Reagan’s proposed budget would come from individual income taxes, according to documents released Monday.

For every dollar collected, 38 cents would come from individual income taxes, 33 cents from social insurance receipts, 11 cents each from corporate income taxes and federal borrowing, 3 cents from excise taxes and 4 cents from other sources. Social insurance includes Social Security, Medicare, railroad and federal retirement contributions and unemployment insurance.

For every dollar spent, 42 cents would go to direct benefit payments for individuals, 29 cents to national defense, 14 cents to pay interest on the national debt, 10 cents for grants to states and local governments and 5 cents to other federal operations.