European Stars And Stripes (Newspaper) - March 19, 1988, Darmstadt, Hesse                                Saturday March 19.19s8 the stars and stripes of 1 paga3 Carlucci still unclear on soviet me by David Tarrant Bern. Switzer Tanev Setre Saiy of defense fran Carlucci ended two Days Tomalks with hit soviet counterpart thursday leaning Les Tran he hoped about the much publicized shift in soviet military doctrine from an offensive to a defensive posture. A following the first rattling Between to nations military Choclis since world War ii or said he Law nothing i talks with soviet defense minister Dmitri Yazoo to indicate he changed emphasis on defence. Though it s unclear to me quite in Jilby the differ ence Wii Ween the de dive doctrine which Cirl cd Vhey say they have now and the defensive Dorinne they had under former soviet Leader Leonid Brezhnev. Carluci Sau Fiat when he questioned Yarov on that Point 1w answer was unclear. So Roj Concha Sydn is thai Iacre Art no visible signs change in doctrine. They say they Are 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 Hose indicators. But in the meantime it behoves in to continue with our current  Yarov Al a press conference said the new defensive strategy of the sonnets is rooted simply on a War. The logic of be .  is determined by the  of our military doctrine which Isiha Awon the ask of Avert eng War and on the Paa Ripe of defensive  the of Smid. The carers of our two countries solemnly Fosbre Culaw determination to prevent any War be or countries either nuclear or Convenio general Yazoo de flatt1 a. Scribed to me the so net Yazoo Bald face principle of sufficiency involve military doctrine wow it Cha a in the Pat Fig of military activities the True no says has Chafty Al Ture and deployment warmed forces mandatory cuts of forces and armament Valwell As strict verification of agreed to Levels of armed Ines or nuclear weapons. The superpower Accord to Elin Fetalc soviet and  missiles re Nark included in Washington opens the Way to further Isamore sub Slaidi Earmi reductions Yarov said. As a result the highest priority has been  _. Preparing an agreement on 30 percent reductions tit strategic offensive arms in conditions of compliance with the abm treaty signed in 1972, and on non i i drawl from the treaty for an agreed period of time Yarov said. The soviets Hope such a treaty could be ready Intima for president a Cacao j visit to the soviet Union in May he said Fps its conference Yazoo indicated that Jis own quarrels with a seeming contradiction on the part of the United state which while Declar ing ils commitment to Complete elimination of Chemi Cal weapons has proceeded to the production of a new generation of Hoje weapons binary  he called for an Early agreement on the Binning fall chemical weapons and nuclear testing. In addition. Moscow wants East West talks to begin this year on reciprocal and simultaneous culs in conventional weapons in Europe Yarov said. In the end Yazoo agreed with . Officials that  had been candid and useful. We saw the main goal of the meeting in facilitating better Mutual understanding about the military aspects of soviet american relations and the Resolution of the most important problem of the limes that of Avert ing nuclear War and slapping the arms  while Carlucci would not characterize his attitude after the talks As either pessimistic or optimistic he did my the Laik were important simply because he allowed an Exchange of views to take place. I would not claim these talks saved any problems Sekii was not a negotiation in any sense Olne  Towver he added it is Good 10 keep the dialogue going Corl cd Colls Nic Orogun invasion reprehensible9 by David Tarrant stall writer Bern. Switzerland Secretary of defense Frank Carlucci thursday called the invasion of Nicaragua forces int Honduras totally irresponsible and rep  the . Troops dispatched to Honduras thursday Are not to engage the nicaraguan sandinista in hostilities but will conduct military exercises Carlucci said. The troops Are there in response to request from the president of Honduras As a demonstration of support far that country and to engage in military exercises he said Carlucci commented at a pros Confer ence alter a two Day meeting with soviet defense m i Nisler 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  ,. Bui the dialogue Mes if to explore such issues As arms control and military doctrine was Abr play overshadowed bythe crisis in Nicaragua which Carlucci brought up during the conclusion of the Tutta thursday morning Yazoo told Carlucci he did not know much about the invasion Carlucci said. There was Tome attempt to defend the sandinista action but obviously it was not a vigorous attempt he said. Had no indication that Yazoo had any Advance notice of the invasion -. Carlucci described actions of the sandinista As being in blatant dire Ltd of previous peace accords signed Nicaragua. There is no excuse for iat 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 act Ion during negotiations Cartucci said he was kept  the crisis by Telephone. I was Given several options and i did give my full support for the military exercises he said. So my vote was  the talks Between Carlucci Andy Azov which began wednesday morn ing included discussions of military Doc Trine dangerous military incidents nuclear arms control and regional issues. Carlucci Laid the two men managed to Complete their Agenda. Of course there were a number of areas of disagreement but also some areas of agreement 1 the Secretary said they agreed at worldwide conventional fora Nevels bul there were no  to reduce  any imbalances on Cir Ter Side Carlree Hviid he asked several time about the Edge in tanks and artillery of the soviet Over the Western Alliance an about recent nato proposals to bring them to a level equal to that of the  Only said thu such imbalances occurred on Boih sides with the unite states having More helicopters and com but aircraft in Europe than life Sovie Union. The Atlantic Alliance recently i if posed thai 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 tipped sea launched cruise Miu Iles and the two officials agreed to Experiment with Wayslow identify nuclear weapons aboard warships Carlucci said. The twonia Iswaldo agreed on the dangerous military Inci 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 of Ticia apology from the so Viets for the shooting death of maj. A thur Nicholson who was killed by a so View sentry in East be Many in marchi98s, although the incident took place be fore Yarov assumed his position he agreed to investigate it Cariucci a. He did express re Grels for the Inci Dent Carlucci said. Other issues agreed upon included expanding contacts Between the two Mili tary establishments such As visits be tween War colleges. Carlucci said. We old him this certainly would be facilitated by App tip withdrawal of so Viet forces from Afghanistan Carluc isaid. Yazoo told Marlucci thai the soviets Are interested in getting out of Afghani Stan und Are working toward that goal. Irs says Naf workers have guessed wrong by Chuck Vinc Washington Bureau Washington no appropriated fund employees overseas who have been claiming the foreign in come exclusion and nol paying us. Vutci Are Tabor ing under false assumptions an internal Revenue service spokeswoman said thursday the irs wednesday said an undetermined number of the 40,000 Naf civilians overseas will get Bills aver aging s4.000 for Back taxes and penalties on income he employees claimed was covered by the foreign exclusion. The Naf employees who have been claiming the foreign income exclusion have been Labouring under false assumptions Lowell Langers said. It s not like this is a new thing either. It goes Back More than 30years." the audit reports Are being sent at Hie same Tim that David Matthews a Naf employee in of Adelheim West Germany has tiled a Case in . Tax court i Washington arguing the irs regulations on Ibe Issue arc wrong and should be changed. 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. Matthews 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 or the Washington firm of Steptoe and Johnson. We re aware that some Naf employees contend that they Are not  for tax Pur poses because they Are paid from  Langers said. But since 1914, the irs has consistently taken the position that these individual Are  and Are not entitled to the exclusion. The definition of government employee is contained in irs Revenue ruling s4-6i2 and reflects department of defense regulations she said. But Kaska said chances in Laws brought about by Theta 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 1934, bul the 1981 legislation changed the statutory language that governs this Issue he said. Previously that language said that anyone paid bythe . Government could not use the foreign earned income exclusion he said. In 1981, Bat was changed to read thai salary paid by the . Government loan employee of a . Agency would nol be eligible for the  arguing that it was meant to cover Naf employees  the . Tax court schedule Calls for Kaska to sub Mit briefings to judge Mcade who Laker within two weeks. The government then will then  d expect a final decision within i ref 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 angers said. Irs commissioner Lawrence Cibbs has the authority 10 acquiesce or not she said. Even if he acquiesces he could choose to do so Only for Matthews and nol declare in a precedent thai would cover All other overseas Naf employees she said. But we think it s very unlikely that the judge will Rule against the government. It s a pretty Clear Cut Kaska said a favourable ruling on the Matthews a would nol automatically affect other overseas Naf employees since class action suits Are not allowed . Tax court. But if we win it Woald enable anyone else to file Sun individually to get he foreign earned income exclusion based on the ruling that we got he  . Code says that for Many purposes Naf pm _ Ployer Are not i , a a said. The audit reports being mailed to Oversea employ now the u.5. Code is very ambiguous on thu Point. It yes Are subject to Appeal by the individual taxpayers. ?s?h a 1Tfi.rall 1 a Appeal infirm lion will be included in the package Rhi Rorm hit Hitti in.  m�i4 in .-,.�.i. A r for tax purposes Point containing the reports