European Stars And Stripes (Newspaper) - August 18, 1986, Darmstadt, Hesse                                Monday August 18, 1986 the stars and stripes Page 9 key Points of Compromise taxi Washington a. The Compromise Ian Over haul by cwt together by congressional negotiators sat urday  affect every taxpayer in the country As Well As met individuals and corporations who have been Able to lefty Dodge the internal Revenue serv ice. It would Cut  people but raise them for several million others. Tout 13 million couples an individuals would find it to their advantage to Stop itemizing deductions and Hui by an would mean simplification for them. Others  a complexities. Here arc some key provisions rates in 1988, the present 15 taxable  people 14 Tor couples tiling a joint rein its Jed be compressed into two Basi. Brackets and the present rates ranging from 11 percent to to percent would be changed to 15 percent for three quarters of taxpayers and 28 percent for most of the others. But single people with taxable incomes after exemptions and deductions above about 541,000 and couples above $71,900 would pay 34 percent on part of their earnings. For 1987 Only the top Rale would be 38.5 percent. For joint returns the 15-percent rate would apply to taxable income up to 129,750, when inc 23-percent rate would trigger. Exemptions now si.080 for each taxpayer to oust and dependent personal exemptions would be raised to $1,900 in 1987, $1,950 in 1988 and and 52,000 adjusted annually for inflation in 1989, people would gradually lose their exemptions As earnings Rise. Extra exemptions for inc Blind and elderly would end. Standard deductions this Benefit for those who do not itemize deductions now 12,480 for singles and $3,670 for joint returns would be j creased next year by the Rale of this year s i and in 198 8 would go to $3,000 and s 5,000. Auction Tor Heads of households would Nicin 1988 for married individuals filing  to $2,500, a Blind or elderly single Personjr cd get an additional 1730 deduction or if Naff a an extra $600, starting Jan. 1, 1987. Two earner couples a Pecia marriage penalty deduction for two can our Sci Worth up to$3.000 a year would end at to Jund of 1986. Retirement accoj0ns a worker who is Eli Gible for a company a Campfi or whose spouse is Eligi ble and cams up tcb.000 $40,000 for a couple could continue Deding up to $2,000 a year for an individual retire Pil account. The deduction would drop As income soft above those Levels and would end at $35,000 Fop sing and 550,000 for a couple. Those not  a deductible Ira could Deposit up los2,ooop5r and the interest would continue lax tree until redrawn. Workers not eligible for company could have a deductible 52,000-a-year Ira less of income. Interest mortgage interest on one or two Homes would continue fully deductible but when the Bill i fully phased in no deduction would be permitted for consumer interest such As credit cards and car Loans. In general interest charges for refinancing a mortgage could be deducted Only if the proceeds were used for Home improvement education or medical expenses. State and local taxes income and prop erty taxes would remain fully deductible. The salts tax deduction would end. Miscellaneous deductions including Union dues and other employee business expenses lax return preparation fees and Job related publications could be written off Only above a 2-Pcrccnl  rules could affect gamblers Acton and the " Ppd. 01cal expenses Only those Cicet fils 7.s of adjusted Gross income  the Prev Nepor is 5 percent m  full lax est skins would re main for  health in Brance the tint $50,000 of  a0 15,000 Tor death benefits. For the first tact fac frs and other self employed people could Deas of percent of the Cost of health insurance. Benefit of this break for Jap ring poor fam Les with children would be raised Oksoo i now is map effect i be in 1988. Part  would be ave a ble until in come rcackpvt7,000.  no change in det Tion for gifts by itemize but the write s would end. Credit for political contrib is be repealed. Unemployment compensation fully of Ted. Capital gains taxed As Ordinary income for individuals and corporations ending a longtime preference for such gains which arc profits from Sale of assets held More than six months. Income averaging repealed. Pensions most workers pensions would have to be vested guaranteed after five years on the Job and employers ability to reduce pensions because of social Security coverage would be limited. The 130,000 annual limit on wages a worker May forgo i deposited by the employer in a tax deferred pension known As a 40100 plan would be Cut to 17,000. Minors All persons 5 years and older who acclaimed As a dependent would have to have a social Security number it would have to be listed on the Parent s tax return. All but $1,000 of the unearned income such As interest of a child under 14 would be taxed at the Parent s rate if the income is from prop erty received from the Parent. Tax advantages of Clif Ford trusts in which property is turned Over to a child for More than 10 Yean would end. Life insurance increase in value of Ordinary life insurance would remain tax free. Minimum tax this special Levy High income investors and Corpora Lions that sap Penany Deduc Lions and credits that they Payl Jtj wino lax would be toughened  at a 20-Pcrcenl Rale interest on a Ejof Stu Rcd municipal Bonds is sued for non a go Lenl projects would be subject to the lax for or Tab time. Entertainment deductions for mass related meals and Englert Aimont including crickets now fully deductible would be Cut to so it of the Cost. Dividends the Loo per person 5200-per-Cou pie exclusion for dividends received would end investment credit this major investment incentive would be repealed As of Jan. 1,1986, depreciation reduced slightly from present Law. Generally the Benefit would drop for buildings while rising for machinery. Corporate rates top rate of 46 percent would drop to 34 percent with lower rates for Small business. Tax shelters it would be More difficult to shield wages and fees from taxes by using deductions from investments built around limited partnerships especially in real estate. Deductions arising from most investments including real estate would be limited to amount risked losses from partnership investments could not offset wages and other income a person actively involved in managing rental real estate could offset up to $25.000 a year. Oil and Gas the Industry generally would be Cpl from a new anti shelter Rule affecting losses Kip massive investments and would retain most of the Bynm Ssofi Atco with the depletion allowance and the off of certain drilling costs.  for reforestation and Quick deduction of cup mates in planting and maintaining seed Tings would be Roll cd but inc Industry would feel the loss of capital main  More than most. Bonds states  would retain the right to Issue tax exempt bom or Public projects but use of Bonds for private  As sports and parking facilities would be res Mictl Banks larger institutions would their special deduction for loan loss reserves those  Lios of shaky Loans would get special . Farming Quick write off of soit Andl ller conservation and land Clearing expenditures Wimbe re pealed. Farmers ability to deduct Cost of feed 1 or and other supplies before used would he Limite mining favourable treatment of depletion and 5 costs of exploration and development would be retained but capital gains preference for royally income would be lost. British climber Dies 4 missing on Pakistan Peak this 1985 photo of climber Julie Tullis who died after reaching the Summit of k-2. London up the first British woman climber to scale the world s second highest Peak in Northern Pakistan died of exhaustion three Days later and at least four other european climbers were reported missing the foreign office said sunday. The husband of Julie Tullis 47, said she died of exhaustion aug. 7 after reaching the Summit of the 28,250-Footk-2, the world s second highest Peak nicknamed Savage Mountain in the Karakoram Range which runs into the Himalayas near the Border with China Terry Tullis said at heir Home near London that his wife s death was con firmed to him saturday in a Cable from her regular climbing companion Austri an filmmaker Kurt  one of two austrian survivors reported hospitalized with frostbite in Islamabad. Liemberger s message said he and Tullis reached the Summit of k-2 on aug. 4, but after descending to a lower Camp sve were imprisoned by  on 7 August Julie died softly while sleeping from exhaustion in our Lent he said. At his Home at Tunbridge Wells near London where he lives with their two children Tullis husband said it is badness but in a Way it is excellent. The Good news is that she reached the Summit. It was the first time a British woman has done so and it was Julie third  said Tukilis this is How Julie would have wanted to  foreign office spokeswoman said four other european climbers iwo aus Trian a Brilon and a polish woman were still reported missing on k-2, which is also known As Godwin Austen Mountain. She said search efforts were underway. Unconfirmed news reports in London said the Palish climber identified As do Brawl Wolf was also killed. The missing briton was identified As Alan Rouse 34, who was on his 16th Himalayan expedition and whose family said he had planned to retire when he returned Home to Marr his pregnant Girlfriend. The observer newspaper said atrocious weather conditions of Snow Mist and High winds currently shrouding the k-2 Peak sofar prevented full details from emerging. But in said it appeared the ill fated seven member k-2 expedition was made up of elements from separate groups that combined for a final assault before the Monsoon season. I Emberger and Tullis who was Pic merger s sound technician herein the area to film an Kalian expedition the sunday times said. Rouse had been leading a British team that abandoned its own attempt to climb the unconquered Northwest Ridge of k-2, in said. British Himalayan climber Brian Hall a close Friend of Rouse said six climbers had already died on k-2 this year before the latest tragedy