A bill to amend the Social Security Act and the Internal Revenue Code of 1954 to provide for the financing of the hospital insurance program from general revenues rather than through the imposition of medicare taxes as at present and to eliminate the recently enacted special increases in the earnings base.

Amends Title XVIII, part A (Hospital Insurance Benefits for the Aged and Disabled) of the Social Security Act and repeals provisions of the Internal Revenue Code imposing a tax on employment and self employment income. Provides for the financing of the hospital insurance program from general revenues.

Repeals the increases in the contribution and benefit base enacted by the Social Security Amendments of 1977.