European Stars And Stripes (Newspaper) - August 6, 1988, Darmstadt, Hesse                                Saturday augusts 1988 the stars and stripes Page 7 8.i to Clear up tax confusion of d by House Washington a the House on thurs Day passed the Only tax Bill Congress is Likely to consider this year a relatively modest Effort that offers Relief for a variety of special interests and tax increases for others. The vote was 380-25, with solid support from both parties. The Bill now goes to the Senate. This Bill is in keeping with the spirit of tax Reform enacted in 1986, said rep. Dan Rostenkowski d-i11., chairman of the House ways and Means committee. He noted the bulk of the new legislation Aims to Correct errors and Clear up confusion in that new Law which lowered tax rates and increased income subject to taxation. The Bill would provide special Breaks for Rural mail carriers free Lance writers first time Home buyers and Farmers and other off Road users of die Sel fuel. To pay for those tax reductions the Bill would put the bite on pipe smokers defense contractors corporations that own other corporations s9me Farmers and certain people who claim deductions for maintaining an office in their Home. At 960 pages the Bill is almost As lengthy As the landmark 1986 Law. But in Dollar terms it is one of the smallest pieces of tax legislation in recent years. The joint committee on taxation estimates it would Cut taxes by about $7.1 billion through 1991 and raise taxes by about $47 million less. In the Senate the finance committee has produced a much leaner version. The Senate measure contains Little More than corrections of the 1986 errors and the diesel fuel provision demanded by Farmers. Because of the need to fix some ambiguities in the 1986 Law the Reagan administration wants to see the Bill enacted this year As do accountants and other tax professionals. Here Are some of the provisions in the House Bill a tax exclusion f9r the first $1,500 a year of employer paid educational assistance for under graduate study would be renewed for 1989 and 1990 it expired in 1987. Farmers construction companies and other off Road users of diesel would be exempted from paying the Federal tax of 15.1 cents a gallon present Law requires them to pay it and apply for a refund at year end. Owners of Mutual fund shares would be exempted permanently from paying tax on a share of the fund s operating expenses retroactive to Jan. 1. A credit for owners of Low income rental hous ing would be extended through 1990. A tax exemption for interest on Bonds sold to help Low income families buy their first Home would be extended through 1990. A credit for research and development would be extended two years through 1990. Rural mail carriers who use their own cars would be allowed to deduct 33.75 cents per mile which is 150 percent of the Standard mileage deduction. Free Lance writers photographers and artists would be exempt from a Rule requiring that certain production expenses not be deducted until a project produces income. Similarly some livestock producers would be exempt from that Rule As would growers of Pista Chio nuts. None of a Home s Basic monthly Telephone charge could be deducted As a business expense this could affect Many people who work second jobs out of their Homes. A person could take a deduction for 80 per cent of a contribution to a College athletic scholarship program even if that gift carries the right to buy preferred seating for games. A new tax of $2.67 would be imposed on a Pound of pipe tobacco. The completed contract method of account ing would be repealed raising taxes on defense contractors and Large construction companies. Depreciation for farm equipment would be slowed. The deduction for dividends received by a corporation that owns less than 20 percent of an other would be reduced. Tax advantages of single Premium life insurance would be reduced. Social Security to provide retirement data to workers Washington a social Security commissioner Dorcas r. Hardy is hoping new individualized financial statements for workers of All Ages will demystify her program and encourage people to plan ahead for their retirement years. The personalized earnings and Benefit statements will give people an approximate idea in today s dollars of How much social Security will pay them each month when they retire or become disabled or pay their families if they die. It will be available free by mail to anyone who fills out a form requesting the "pers9nal earnings and Benefit estimate statement which president Reagan promised in his last state of the Union address. Those interested can Call a toll free number 1 800-937-2000 to request copies of the disclosure form Ssa-7004. Hardy told a news conference thursday that once the request forms Are received it will take her Agency two weeks to three weeks to Send Back a lucidly writ ten computer generated statement with a wealth of data on what that person has paid in and what he or she can expect to draw out. Hardy embarked on the project after taking the Helm of the Agency two years ago convinced that so Cial Security was not Only the g9vernment s largest program but probably the most  social Security pays out More than $200 billion a year in Cash benefits 19 38 million retirees disabled workers and their families. Its payroll tax also pays for the $70 billion medicare program. By putting a precise dollars and cents value on those benefits and individualizing it for the person making the request social Security will no longer seem so mysterious and Complex she said. Hardy said her Hope is that this one Sheet of paper will give americans a far greater understand ing of the social Security system and encourage them to recognize the need for private pensions adequate insurance and personal savings. Some private companies charge people for making the kind of estimates that social Security now will be doing free. Social Security s old earnings statement has been widely criticized As difficult to read confusing and skimpy on useful information. The Agency generally provided estimates of benefits at age 65 Only for those 60 or older. For younger workers Hardy said Benefit estimations were extremely difficult. We could not have supplied this by mail. We could do it by hand calculation if you insisted in a District  she said $300,000 in new computer software was required for the service and the Agency expects to get 6 million requests a year for earnings statements double the 3 million it has been handling. It will Cost 37 cents to fulfil each request up from 33 cents previously. The increased scrutiny also will help the Agency uncover More errors in its earnings records she said. About 3 percent of the 1,600 people in a Pilot test found mistakes on their earnings statements. Those who detect errors must provide documentation of their actual earnings to ensure their benefits Are in the right amount Hardy said. Social Security always has encouraged people to Check their earnings records every three years. It says the Law Only allows it to Correct errors caught within about 40 months of their occurrence. The new form asks people to list their name nine digit social Security number Date of birth actual earn Ings from last year and estimated earnings this year As Well As the age at which they plan to retire. The form also asks for a single estimate of future average yearly earnings but advises that most people should enter the same amount As this year s estimated  the benefits form will provide estimates in today s dollars of How much a person would get upon retiring at 62, 65 or 70. For younger workers expected to work until 66 or 67 to draw full benefits that age is used instead of 65. Soviets hoping atomic engines will Power manned Mars Mission 7,000 Baltimore a the soviets Hope to develop an atomic powered rocket engine to provide the propulsion for a manned Mission to Mars Early in the 21th Century a russian scientist said. Vasiliy i. Moroz 9f the soviet space research Institute said experts in his nation believe that a new Type of rocket will have to be developed to make a planned 18-month voyage to and from  said soviet engineers Are work ing on an atomic electric rocket engine that would be used to accelerate a Mars explorer Craft once it has been boosted into Earth  soviet scientist speaking at a news conference at the 20th general Assembly of the International astronomical Union declined to give details on the atomic elec tric rocket but he said none of the current chemical rockets used by the soviets is Large enough for a Mars Mission. Included in the soviet Fleet of launch rockets is the Enervia the world s largest but Moroz said even it is not powerful enough. American space scientists Long have recognized the need to develop propulsi9n systems that do not depend upon the chemical reaction of fuel and oxidizer. The National aeronautics and space administration has conducted some research on electric and Ion drive rockets but the project has not been funded. Moroz said the soviets Are giving the exploration of Mars a High priority. Two soviet probes to phobos a Moon of Mars were launched last month. In 1994, he said the soviets will Send an unmanned Craft to Mars carrying a robot Rover to explore hundreds of Miles on the planet s surface. The Rover also would take Drill samples and measurements of the atmosphere. The next stage of the program Moroz said is testing in space new technical elements needed for a manned mis Sion including the atomic electric rocket and a rocket to return to orbit from the Mars surface. The soviets also plan a robot Craft that would land on Mars collect soil space objects in orbit at least four inches in diameter 1957 61 65 69 73 77 81 85 Chicago Tribune graphic source Tel Edyne Brown engineering based on . Space command data samples and return them to Earth. A manned Martian Mission could be mounted by 2005 or 2010, Moroz said. Preliminary plans Call for a six member Crew to make the voyage in a two stage Craft that would be assembled in Earth orbit he said. Although the soviets have gathered a great amount of information about the reconditioning effects on the human body of Long term space flight Moroz said the Mars Mission May use artificial Gravity to keep the Crew members healthy. Both american and soviet studies have shown Long exposure to the weightlessness of space causes the heart to weaken and the body to lose Bone mass. Moroz said the soviets Hope that american scientists and astronauts will take part in the Mars Mission but even without . Participation the soviets plan to explore the red planet