A bill to amend the Internal Revenue Code of 1954 to provide that for calendar years 1985 through 1990 the cost-of-living adjustment for the individual income tax rates and the personal exemption shall take into account only inflation in excess of 2 percent per year and to provide a similar limitation on cost-of-living adjustments in benefits under certain entitlement programs.

Amends the Internal Revenue Code to provide that for calendar years 1985 through 1990 the cost-of-living adjustment for the individual income tax rates and the personal tax exemption shall take into account only inflation in excess of two percent per year. Provides a similar limitation on cost-of-living adjustments to benefits for the following programs for FY 1985 through 1990: (1) old age, survivors and disability benefits; (2) armed service retirement and retainer pay; (3) retired pay and retainer pay of members and former members of the Coast Guard; (4) retired pay of commissioned officers of the National Oceanic and Atmospheric Administration or the Public Health Service; (5) civil service retirement benefits; (6) foreign service retirement benefits; (7) Central Intelligence Agency retirement benefits; (8) Federal workers' compensation; and (9) benefits under the Railroad Retirement Act of 1974.