European Stars and Stripes (Newspaper) - February 16, 1994, Darmstadt, Hesse                                My it of tax a total income a including half your social Security a exceeded $25,000 single or $32,000 married filing a joint return in 1993 Congress has expanded the Law effective Jan. 1, but the change does not affect returns filed this year. A pensions generally taxed if your employer paid the full Cost. Any payout representing a return of what you paid in is not taxed. You should receive form 1099-r outlining payments from pensions individual retirement accounts annuities and profit sharing plans. A bartering the value of goods and services you receive in Exchange for your services is taxable. Members of formal barter exchanges should receive form 1099-b reporting barter income received in 1993. A copy of that form also goes to irs. A unemployment compensation fully taxable. A worker compensation for strictly Job related injuries or illnesses generally not taxable. A Job related benefits employer paid health insurance child care and up to $50,000 Worth of group life insurance Are tax free. Severance pay and moving expenses paid by an employer Are taxable. So is a company car or country club membership provided for your personal use. Your employer May give you tax free up to $60 a month Worth of mass transit tickets or up to $155 Worth of free parking. A life insurance As a Rule a life insurance payout on the death of the insured person is not subject to income tax although estate taxes May apply. If instalment payments Are made Over a period of years the interest segment of the payout generally is taxable. A scholarships a scholarship or Fellowship received by a degree candidate is not taxed if the Money is used for tuition supplies fees and books. Grants for room and Board Are taxable. A illegal income bribes kickbacks drugs and other illegal activities Are taxable. Also taxable strike benefits Alimony punitive damages except those that compensate for sickness or injury fees for serving As a juror or election official income from hobbies although you May be Able to deduct some associated costs most interest dividends self employment income and most rents. Not taxable inheritances payments received for child support a manufacturer s Cash rebate on the Purchase of a car Federal tax refunds welfare payments and a if your income is within limits a interest from series be savings Bonds that were issued after 1989 and redeemed to pay for education. Med income credit come that cannot file 1040. This capital gains barter a earnings prizes one tax refunds be of dozens of Tedules to file with deductions s and taxable loss from a business e proprietor. Ter schedule Ca of $25,000 or less Ess no inventory Ains and losses id losses from none ships income credit. It me and expenses plating the self a Security and one with a profit of employment. Scheduler credit for the elderly or disabled. Form 1040x, if you have to Correct your return after you file. Form 2106, employee business expenses. Form 2119, reporting the Sale of your principal Home. Form 2441, claiming the dependent care credit or employer paid child care. Form 3903, claiming a deduction for Job related moving expenses. Form 4684, deductions for losses caused by theft or fire and other casualties. Form 4868, to get an automatic four month Extension of filing time. Form 4952, for determining the deduction allowed for interest paid on Money borrowed to make investments. Form 6251, for calculating whether you have to pay the alternative minimum tax. Form 8615, for computing the Quot kiddie tax Quot a the tax liability of a child under age 14 who had investment income Over $1,200 last year. A the associated press Tripsas Well As salary must be reported. Not file profits from Stock sales Are part of capital  assistance internal Revenue service tax advisers will be available at a number of european cities during the tax filing season. Belgium Brussels March 21-25 Germany Berlin March 23-29 Frankfurt feb 22-March 1 Hamburg March 16-24 Leipzig March 22 Munich through feb. 18 Stuttgart through feb. 18 Greece Athens March 8-24 Thessaloniki March 3 and 4 Ireland Dublin feb. 28-March 10 Italy Milan May 10-1? Naples May 3-6 the Netherlands Amsterdam March 4-14 the Hague feb. 28-March 2 Norway Oslo March 16-24 saudia Arabia Jeddah March 710 Scotland Edinburgh March 14-18. Spain Madrid feb. 21-25 02-513-3630 030-610-7465 069-75350 040-41-1710 0341-211-76-66 089-280-2317 0711-21450 01-721-2951 242-905 01-668877 02290-351 081-583811 020-5755-309 070-310-9204 22-448550 03-667-0040 031-556-8315 91-5774000 irs trained tax advisers Are available throughout the filing season at embassies or consulates in Bonn. Germany 0228-339-2119 London 071-408-8078 Paris 01-4296-1202 Riyadh saudi Arabia 014863800 Rome 06-4674-2560the Bottom line on baby sitting expense by Jim Luther the associated press a worker who has to hire a baby Sitter in order to hold a Job May qualify for tax help from the Federal government. The dependent care credit allows a family to reduce its tax Burden by As much As $1,440 to help offset costs of caring for. Young children or handicapped relatives. A qualifying family in the 15 percent tax bracket could save As much As $750 by accepting employer financed child care services from an employer. However you May not claim a double Benefit so it May be necessary to figure both provisions to see which will save you More. The benefits Are claimed on form 2441 if you file the Long form 1040, or on schedule 2 if you file form 1040a. V the basics a up to $5,000 Worth of employer services can be accepted tax free including benefits that you pay for in a Quot flexible spending arrangement Quot or Quot salary reduction  under such a plan your employer withholds prearranged amounts from your paychecks and the Money is set aside to reimburse you for dependent care expenses. You pay no social Security or income taxes on the Money. Be conservative in deciding How much of your pay goes into such an account. Anything that has not been paid out for dependent care by year s end is forfeited. Most families Are in the 15 percent tax bracket and thus could save up to $750 in taxes. Those in the top 39.6 percent bracket could save up to $1,980. A in figuring the credit you May consider up to $2,400 of dependent care expenses with one dependent and up to $4,800 with two or More. Those figures must be reduced by any employer provided service you received. The maximum credit is for 30 percent of expenses and As adjusted Gross income rises above $10,000, declines gradually to 20 percent for families above $28,000. That results in a maximum credit of $720 for one dependent or $1,440 for two or More for example if your 1993 income totalled $47,000 and you paid $7,500 for the care of two children your Benefit continued on Page 20 a staff sergeant drops off her daughter at a Day care Center at a stateside air base