European Stars And Stripes (Newspaper) - March 18, 1988, Darmstadt, Hesse                                Friday March 18, 1988 the stars and stripes Page 3 Carlucci still unclear on soviet line by David tar Kant staff writ Erbern Switzerland secretory of defense Frank Carlucci ended two Days of talks with his soviet counterpart thursday learning leu than he hoped about the much publicized shift in soviet military doctrine Froman offensive to a defensive posture. Following the firs meeting Between the nation military chiefs sine world War ii. Carluc isaid he a nothing in his talks with soviet defens minister Dmitri Yazoo to indicate the changed emphasis on defense. General Yarov de scribed la me the soviet military doctrine which he says has changed Al though if unclear to me quite frankly the differ ence Between the de i pensive doctrine which Curi cd they say they have now and the defensive doctrine they had under former soviet Leader Leonid  said that when he questioned Yazoo on thai Point the answer was  my conclusion is that there Are no visible signs of change in doctrine. They say they ire changing Doc Trine and they say it will take some Lime before those signs emerge. We need to keep our eyes open and look for those indicators. But in the meantime it behoves us to continue with our current , at a press conference  new defensive strategy o the soviets is rooted simply on averting War. The logic of the . Activities in the military Field is determined by the defensive character of our military doctrine which is based on the task of Avert ing War and on the principle of defensive sufficiency Yazoo said. The leaders of our two countries solemnly declared their determination to prevent any War Between our countries either nuclear or  Yazoo  principle of sufficiency involve changes in the pattern of military activities the Struc Ture and deployment of armed forces mandatory cuts of Force and armaments As Well As strict verification of agreed to Levels of armed forces or nuclear  superpower Accord to eliminate soviet and . Intermediate Range missiles recently concluded i Washington opens the Way 10 further and More substantive arms reductions Yazoo  a result the highest priority has been Given to preparing an agreement on 50 percent reductions i strategic offensive arms in conditions of compliance with he abm treaty signed in 1972, and on non ii drawl from the treaty for an agreed period of time Yarov  soviets Hope such a treaty could be ready in time for president Reagan s visit to the soviet Union in May he said. During his press conference Yazoo indicated thai he had his own quarrels with a seeming contradiction on the part of the United states which while Declar ing its commitment to Complete elimination of Chemi Cal weapons has proceeded to the production of a new generation of those weapons binary  he called for an Early agreement on the Binning of Ali chemical weapons and nuclear testing. In addition Moscow wants East West talks to begin this year on reciprocal and simultaneous cuts in conventional weapons in Europe Yazoo  the end Yazoo agreed with . Officials thai the talks had been candid and  saw the main goal of the meeting in facilitating belter Mutual understanding about the military aspects of soviet american relations and the Resolution of the most important problem of the times thai of Avert ing nuclear War and stopping the arms race. While Carlucci would not characterize his Altitude after the talks As either pessimistic or optimistic he did say the talks were important simply because the allowed an Exchange of views to Lake place. I would no claim these talks solved any  was Noi a negotiation in any sense of the  however he added it is Good to keep the  Bern from Page 1 two Day meeting with soviet defens minister Dmitri Yarov. The meeting the first Between the to military officials of the two superpowers since world War ii was described by Carlucci As held in a cordial and Businesslike  the dialogue meant to explore such issues As arms control and military doctrine was abruptly overshadowed by the crisis in Nicaragua which Carlucci brought up during inc conclusion of the talks thursday  told Carlucci he did not know much about the invasion Carlucci  was some attempt to defend the sandinista actions but obviously twas not a vigorous attempt he said. I had no indication that Yazoo had an Advance notice of the invasion. Carlucci described actions of the sandinista As being in blatant disregard of previous peace accords signed by Nicaragua. There is no excuse  Carlucci also noted that the Sandinia tas were involved in negotiations for a cease fire with the Contra rebels and clearly it is in bad Faith to engage in military action during negotiations. Carlucci said he was kept informed throughout the crisis by Telephone. I Given several options and i did give my full support for the military exercises he said. So my Vole was  the talks Between Carlucci Andy Azov which began wednesday morn ing included discussions of military Doc Annc dangerous military incidents nuclear arms control and regional issues. Carlucci  two men managed to Complete their Agenda. Of course there were a number of areas of disagreement but also some areas of agreement the Secretary said they agreed to look at worldwide conventional Force Levels but there were no specific proposals made to reduce forces or Correct any imbalances on either Side. Carlucci said he asked several Lime about the Edge in tanks and artillery of the soviets Over the Western Alliance an about recent nato proposals to bring them to a level equal to that of the  Only said that such imbalances occurred on both sides with the unite states having More helicopters and com Bat aircraft in Europe than the soviet Union. The Atlantic Alliance recently pro posed that the tanks and artillery of the Warsaw pact be Cut to nato Levels apart of an Overall reduction of non nuclear forces in Europe. The soviets especially were interested in examining verification methods for the nuclear lipped sea launched cruise missiles and the to officials agreed to Experiment with ways to identify nuclear weapons aboard warships Carlucci  two officials also agreed on the need to avoid dangerous military Inci dents in the world. Carlucci quoted Yazoo As saying i convinced More can be done in this Carlucci said he asked for. But did no receive an official apology from the so Viets for the shooting death of. Maj. A thur Nicholson who was killed by a so Viet sentry in East Germany in marchi9bs. Although the incident look place be fore Yazoo assumed his position he agreed id investigate it Carlucci  did express regrets for the Inci Dent Carlucci  issues agreed upon included expanding contacts Between the two Mili tary establishments such at visits be tween War colleges Carlucci  told him this certainly would be facilitated by a prompt withdrawal of so Viet forces from Afghanistan Cartucci  told Carlucci that the soviets Are interested in getting out of Afghani Stan and arc working toward Hal goal. Irs from Page 1 and should be  argues that Naf workers Are not govern ment employees for lax purposes and that those Over seas should be Able to claim the foreign income credit said his attorney Gerald Kaska Wilh the Washington firm of Slep toc and Johnson. Naf employees Are civilians who usually work i military exchanges and morale welfare and recreation activities. Non appropriated fund activities generally Are self supporting and for the most part do not rely on funds appropriated by Congress. The foreign earned income exclusion allows Ameri cans who live and work overseas to exclude up to $70,000 of their earned income from taxation Butts. Government employees Are not eligible for that Benefit Langers said. We re aware that some Naf employees contend that they Are not government employees for tax purposes be cause they Are paid from non appropriated funds she said. But since 1954, the irs has consistently taken the position that these individuals Are government employee Sand Are not entitled to the  the definition of government employee is contained in irs Revenue ruling 54-612 and reflects department of defense regulations she  Naf employees who have been claiming the foreign income exclusion have been Labouring under false assumptions Langers id. It s no like this is a new thing either. It goes Back More than 30  Kottka said changes in Laws brought about by the tax Reform act of 1981 have changed the basis for that ruling. The irs position on whether Naf is an instrumentality of the . Government May go Back to 1954, but the 1981 legislation changed the statutory language that governs this Issue he said. Previously that language said Hal anyone paid by the . Government could not use the foreign earned income exclusion he said. In 1981, that was changed to read that salary paid by the . Government to an employee of a . Agency would not be eligible for the  United states code says that for Many Pur poses Naf employees Are not employees of the .government, Kaska Aid. Now. The . Code is very ambiguous on this Point. It Only says Many purposes and it does t specifically say Tor tax purposes but that s the technical Point we re arguing thai it was meant to cover Naf employees for tax  the . Tai court schedule Calls for Kaska to sub Mit briefings to judge Mcade whisker within two weeks. The government then Wilt be Given time Lor Espond i d expect a final decision within three to six months Kaska said. But even if Whitaker rules in favor of Matthews that May not make a difference. The irs with Broad discretionary Powers in these kinds of cases can ignore the ruling Langers said. Flood situation worsens in West Germany Bonn a Hundred of Home stood in Yard deep floodwaters across West Germany on thursday and officials said they feared the situation would Only  sewage was flowing untreated into the Rhine River at Cologne after High water shut Down a filtration Plant sections of secondary roads along the Rhine near Coblenz were under water and dozens of Homes in that City had been inundated and evacuated police said. Workers in Heidelberg placed Sand bags and barricades along the Banks of the raging Neckar River in futile at tempt to control the flooding which has forced the evacuation of Homes and hotels in the tamed University City. In Hir Chhom just outside Heidel Berg police used loudspeakers 10 Tell residents to leave their houses As water continued to Rise. More than 40 Street were underwater in the Stuttgart area atone police said. Hundreds of cellars in West German were standing in a Yard of water officials  remained suspended for a second Day along stretches of most major riven including the Rhine main Dan ube Neckar Mosul and  worst flooding was occurring in the Western part of the  deaths or injures have been reported the floods were caused by a sudden thaw in the mountains after a week of heavy snowfall and  said they expect the Waters would continue to Rise Over Ihen ext few Days