Fair and Complete Tax for Social Security Act of 1985

Fair and Complete Tax for Social Security Act of 1985 - Amends the Internal Revenue Code to reduce the old age, survivors and disability insurance (title II of the Social Security Act) tax rates for employees, employers, and the self-employed through 1989. Sets forth a formula for determining such rates for years following 1989.

Eliminates the contribution and benefit base from the computation of OASDI benefits and taxes. Directs the Secretaries of Labor, Treasury, and Health and Human Serivces to conduct a study with respect to such repeal.

Permits any individual who is at or over retirement age to have himself or herself and his or her employer exempted from OASDI coverage and taxes. Provides that such election shall be inapplicable with respect to Medicare (title XVIII of the Social Security Act) taxes. Directs the Secretary of Health and Human Services to prescribe appropriate regulations.

Provides, in stages, for the elimination, by 1992, of the limitation on the amount of outside income an individual may earn while receiving benefits after attaining retirement age.

Amends title VII (Administration) of the Social Security Act to exclude from Federal budget totals and limitations: (1) the receipts and disbursements of the Federal Disability Insurance Trust Fund and the Federal 0ld-Age and Survivors Insurance Trust Fund; and (2) employment related social security taxes.