Carrol Daily Times Herald from Carroll, Iowa on May 8, 1974 · Page 5
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Carrol Daily Times Herald from Carroll, Iowa · Page 5

Carroll, Iowa
Issue Date:
Wednesday, May 8, 1974
Page 5
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Congress May Get Around to Changing the Federal Tax Laws This Year WASHINGTON (AP) After all the talk about tax reform, Congress this year may get around to changing the tax laws. Although revisions in the tax code are expected to be somewhat limited, some of the deadwood may be trimmed from the tax books and older folks may get a break on April 15. The House Ways and Means Committee, the panel which originates tax legislation in Congress, is expected to find tough sledding when it comes to rewriting the law on capital gains, estate and gift tax. and the so-called minimum tax. The committee hopes to produce its general tax reform measure within 60 days. Although some tax measures may have to be dropped as consideration continues, the panel currently hopes to review laws ranging from property tax relief for the elderly to tax treatment of political parties and property contributions to them. Other items for study include general tax simplification, amortization provisions, various tax shelters, accrued vacation pay. retirement income credit, taxation of single persons and married couples, depletion allowances for minerals, deduction of expenses for resort homes, business use of the home, expenses for attending conventions outside the United States, and cutting Social Security taxes. The committee plans to get into the; minimum tax on preferential income, which is a 10- per-cent levy on such things as special treatment of capital gains, and to the associated problems of tax shelters to reduce tax liability. The panel specifically is expected to examine such areas relating to real estate, natural resources, farm operations, and investment interest. The minimum tax on tax- preference income, a levy passed in 1969, is a relatively low tax on otherwise sheltered income. Under it. a taxpayer- may subtract ordinary taxes paid and $30.000 from this preferential income and then pay a 10-per-cent tax on the rest. Tax shelters involve cases where someone becomes a passive partner, buying an interest, for instance, in some farm operation in order to take advantage of provisions really intended for farmers. The shelter is a way of converting income into capital gains, which then are taxed at a lower rate. Some changes may be made in the tax treatment of capital gains — the profits on the sale or exchange of a capital asset such as stock or a building held mainly for resale. Other areas expected to get attention from the committee: — Singles and married people. In an effort to reduce tax discrimination against singles, Congress changed the law in 1969 in a way that, for many married couples, where they both have substantial income, they pay more tax than they would pay if they were not married and had such income. Critics thus say the law may be offering a bit Florida Man, Mother Visit In Wall Lake WALL LAKE—Saturday visitors in the home of lone Brown and Wanda Sifford were Mrs. Lynn McClurg of Pierson and her son, Don McClurg of Florida. Sunday dinner guests in the Alfred Dreessen home were Mr. and Mrs. Howard Still of Conroy, Mr. and Mrs. Robert Dreessen, Michelle and David of Sioux City. Mr. and Mrs. Harry Cook and their granddaughters, Stephonie and Trudy Cook were Sunday dinner guests in the Jesse Salzar home in Omaha. Sunday evening visitors in the Japk Lamaak home were Mr. and Mrs. Carl Lamaak of Ida Grove. Mrs. Herbert Bahr accompanied Mrs. Clara Meyeriand Katherine to Sioux City Saturday where they visited Mrs. Rosetta Mauer at St. Lukes Hospital. They also called on Martin Mohr and Mable.Lange who are also patients there. of encouragement to "live in sin." —Political parties. Various tax treatment questions art? involved, such as the tax lia'bility of parties generally. and the treatment of gifts of property that had increased in value. — Resort Homes. Some tightening is expected on deductions allowed on so-called resort homes and similar property that is rented only briefly. —Business use of the home. Better guidelines may emerge from this study of who is entitled to take a deduction for some work-connected expenses of maintaining an offibat home. —Conventions abroad. Expense deductions for business conventions held outside the United States, permitting many to get a foreign trip at virtually no cost to themselves, could be altered. Meantime, the committee Times Herald, Carroll, la. Wednesday, May 8, 1974 may study a Social Security reform idea centering on relieving lower-paid workers of the payroll-tax burden by cutting the tax on all earning less than about $20,000 and providing a contribution by the Treasury. Backers of this plan cite testimony that the payroll tax now takes a bigger bite out of the pay of at. least half the nation's workers than does the income tax itself. Among provisions gaining the committee's tentative approval is ;i plan to rc-vtimp the retirement income credit and convert il to a tax credit for the elderly, available to taxpayers aged at least 65 regardless of whether they have retirement income c,r earned income. This could give the elderly an additional annual tax break of roughly $270 million. Presently, under an arrangement so complicated that a substantial number of people who should get the credit are not taking advantage of it, the credit goe.'i to retired people who do not collect the tax-free .Social Security benefits. OPEN WED. and FRI. ti!! 9 p.m. -SUNDAY 1 p.m. to 5 p.m. S6RN8TT GIFT IDEAS Westgate Mall Carroll, Iowa SUPER SPECIAL! t SOLID COLOGNE $100 each £ regular $2.50 size, limited time only AMBUSH • TABU • 20 CARATS by All the luxury of an all-time favorite, priced for cool, quick savings. Color keyed cap: black for TABU; for AMBUSH; and golden yellow for 20 CARATS. thefragrance as individual as you are We know you don't want to look like the next girl. Maybe you don't want your fragrance to be like the next- girl's either. Well now, it needn't be. Because there's a fragrance called Cachet. Every girl can wear it and it'll be something a little different on each one. Because, besides being fresh and fascinating, Cachet was designed to pick up and play up every girl's own special chemistry. Maybe you should try it? Maybe it isn't you. But then again, maybe it's the first perfume that really is. Cachet by Prince Matchabelli. Aluminum Frame LAWN CHAIRS CHAISE LOUNGE $O99 9 MAKE THIS THE HAPPIEST MOTHER'S DAY WITH A THOUGHTFUL GIFK FROM SERNETT FAMILY CENTER, THE PLACE SHE ENJOYS SHOPPING HERSELF. YOU'LL FIND A WIDE SELECTION, AT PRICES THAT WILL PLEASE YOUR BUDGET. MR.C©FFEE: For people who want coffee good. And fast. • ;s x v Model MC-1 ^j* Mr. Coffee makes good coffee faster than any other coffee maker. A full ten cup decanter in less than five minutes. It's -drip made, restaurant style coffee. Never bitter because it's never boiled. Never a messy clean 'up because the filters are disposable Get Mr. Coffee for your home or office. It's the fastest selling fully automatic dip coffee maker around. Once you take that first sip you'll know why everybody loves the coffee Mr. Coffee makes. Another Mi Cotlee exclusive A hot water tunnel that ipts you make hot water instantly Perlect tor hot tea. instant soups. or gelatins MR.C®FEE NORTH AMERICAN SYSTEMS. INC Fancy NIGHTIES Lace Trimmed. Nylon or Polyester blends Stylish Handbags A great selection of Mother's favorites. to Lady Buxton BILLFOLDS $7 Oimlitv lonthnr ^f Quality leather. R I VA L. CROCK POT Decorative LAMPS From small boudouir styles to full table lamp si/es. See-Through DOME UMBRELLA Lowest Price She'll keep dry under rainy skies. In sturdy vinyl with contrast trim. LADY SCHICK HAIR DRYERS Model 317 SUNBEAM Mist-Stick CURLER/STYLER Do your own styling in 5 minutes, spray mist and tame or style vour hair without fuss. Give Mother a 10 SPEED AMF TOURING BICYCLE (We have one for Dad too.) Ladies' 7-Pc. Northwestern GOLF SET 5 irons, 2 woods $*095 IfflHE Northwestern 11-Pc. GOLF SET CMS GOLF CARI Creative Excellence is an American Tradition Ladies' Pom Pom GOLF SOX

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