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Show .June 21. 1991 Savings Bonds enhanced, now tax free for education The Hill AFB U.S. Savings Bond campaign has reached its halfway point and project officials are urging new participants to purchase bonds. "Our objective is to keep the Minuteman flag flying over Hill by achieving an overall payroll deduction participation rate of 50 percent," said Col. John Tilton, Savings Bond project officer. To reach this goal, 2,000 new U.S. Savings Bond subscribers must be signed up. During the first two weeks of the month-loncampaign, only 41 percent of the goal had been met. "Overall interest in bonds has been excellent but with only one week left in the campaign, much new participation is needed," said the colonel. He encouraged all organizations to enhance the participation rate in the bond drive. It is estimated that by the year 2006, a single year of college could cost as much as $37,000. For many Americans, only a regular savings program, in place today, will make higher education for their children a reality tomorrow. The systematic purchase of U.S. Savings Bonds not only can make the effort somewhat easier but the newly introduced tax benefit now makes them an even g free-for-educati- investment. Beginning in 1990, the interest on Series EE savings bonds may be exempt from federal income tax if the investor uses the funds to pay for tuition and fees at colleges, universities and qualified technical schools during the year in which the bonds are redeemed. There are, however, certain qualifications and financial limitations for investors. Among these: The bonds must be issued to individuals who are at least 24 years old. If intended to benefit dependent children, they must be registered in the parent's name, higher-valu- e Hilltop Times BOHDS FOR EDUCATION to wn mM com VMM n imi it not the child's. qualified educational expenses. D The full interest exclusion is available only for married couples filing joint returns with modified adjusted gross incomes up to and including $60,000, and for single filers with an adjusted gross income up to and including $40,000. The exclusion phases out by decreasing percentages as the incomes reach $90,000 and $55,000, respectively. Income levels will be adjusted for inflation beginning in 1991. II The bonds must be redeemed in a year the bond owner pays qualified education expenses. To qualify, the redemption proceeds (interest and principal) of the bonds must be equal to or more than the tuition and fees paid during the year. To qualify for the interest exclusion, the bonds must be issued after Dec. 31, 1989. You should keep Series EE bonds that meet the requirements to qualify for the interest exclusion separate from any other bonds you may have. This is important because you will have to determine how much interest is excludable from gross income in the year that you cases the qualified bonds. Remember that EE Bonds purchased before 1990 to not qualify. Records that should be kept are: The bonds' serial numbers. El Face amounts. bii 'Q ratio Auu of 6V tion, you can still benefit by buying bonds for your children's education. Simply buy bonds in the name of your child, either alone or with yourself as beneficiary (not For a child under 14, only the interest and dividend income in excess of $1,000 is taxed at the parent's rate. If the child is 14 or older, all income is taxed at the child's rate. You may choose between annual or deferred reporting, depending on your child's age and expected future income. Either method, used properly, will reduce your tax liability. Editor's Note: This information courtesy of U.S. Treasury Department. co-owne- r). Issue dates. Date of redemption. The total proceeds received (principal and interest). O The name of the institution paid. O The amount of qualified expenses. The date those expenses were paid. If your income now, or your anticipated income is too high to qualify for this tax exemp- - LAYT ON GUARANTEED USED APPLIANCES LUii SIBViei 2056 No. Hill Field Rd. $$$&IV2 mile so. of South Gate Hill WE BUY & SELL USED APPLIANCES HEW AND USED PARTS SERVICE & REPAIR AMI ! a H Room and board are not considered to be "Don't Get Stung By A Sting Operation" MM AFB) 776-400- 0 776-260- 6 Quality Service on Most Major Brands 5301 S. 1900 W. BeJ Roy THE "QUICK CHANGE ARTISTS" plug In Burnt World Class Protection" VVVIUl VjUIX t f- - comedy netwo : fV yi Protection (15 POINT OIL CHANGE) Change cl up to Change oil filter 5 qts Crteck & Ml Differential up to Check & fiH power steering Check & fin brake fluid Check & fil battery Check c:r filter Check belts & hoses 1 to. SPECIALISTS IN: Oil Check breather element Check & fil washer fluid Check & fil bansrnisMon Check tire pressure Complete (ubnearhon on car or truck Vocuum interior Car wash and Lube Tune-U- p Brake Electrical System Cooling System State Emissions Inspections 10 MINUTE OIL CHANGE LUBE. OIL FILTER 's . Tuesday, June r rr r r r r r nil. 8:00 pm mm rirrnr J (pKI0in XSV i 1500 West Riverdale 627-288- 0 Ogden For the benefit ot our guests Early Bird ISiSS' air mm. J ??J:1 ! PQVmU. FLUSH y Includes: : THE GREAT AMERICAN JIMVESTMEN It FREON & Leaks Air conditioning belt Expires 72091 11 Z Includes up to 2 gal. of P O...L f -- I : - C : anti-freez- e, I, 72091 |