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Show u National Monday, February 4, 1991 The Daily Herald, Provo, Utah Bush seeks tax breaks for capital gains, WASHINGTON Presi(AP) dent Bush asked Congress today to boost incentives for saving by cutting taxes on capital gains, creating a tax break for long-terr- a accounts and allowing Individual Retirement Account withdrawals for some homebuyers. ' His proposed budget for the bookkeeping year that begins Oct. r calls for no general tax increase. It includes more targeted tax reductions than tax increases. ' The biggest new burden would fall on several million employees of state and local governments, who are not paying into the Medicare system. Bush proposed that all such workers hired before April 1, 1386, be required to pay that tax, which is 1.45 percent of the first $120,000 of wages. Congress has rejected that proposal in each of the last several years. State and local workers hired since April 1, 1986, already are paying the tax. The extension would bring in $7.1 billion over the next five years. In a written message, Bush said his savings incentives would enhance the nation's potential for long-tergrowth. AH three proposals failed in Congress last year as Congress negotiated a long-terdeficit-cuttin- g agreement with the administration. The president proposed to: Allow 30 percent of capital gains, which are profits from the sale of investments, to be excluded from taxation for property owned more than three years. Twenty percent of gains from two-yeproperty and 10 percent from prop m ar erty owned a year or longer would be excluded. Capital gains now are taxed at a maximum rate of 28 percent, although higher-incom- e people pay a rate of 31 percent on a part of their wages and other income. The proposal would cut the maximum capital-gains rate to 19.6 percent. Permit a person to set aside up to $2,500 a year in a special savings account that, if held for more than seven years, would produce interest. The contribution itself would be fully taxable. tax-exem- pt Treaty negotiators face scientific hurdles - WASHINGTON (AP) nations Repre-- t sentatives from 130 are g gathering this week to begin a treaty to limit millions of tons of pollutants primarily car-- ! bon dioxide from burning fossil fuels that cause global warming. But the U.N. conference opening today in suburban Chantil-;iVa., is likely to produce little more than a general outline of if that when it con-- I .goals eludes Feb. 14. Two more such meetings are scheduled for Geneva and Nairobi later this year. And environmentalists hope a treaty will be ready to tbe signed in mid-199-2 at the U.N. rCbnference on Environment and Development in Brazil. nego-tiatin- ; y y, I ; ' "These negotiations are every bit !as important to the future of the planet as the arms control talks ;that have been at the center of diplomacy for the last three decides," says Daniel Lashof of the Natural Resources Defense Coun-ci- l, a leading environmental group. Environmentalists argue that a 20 percent cut in carbon dioxide emissions by 2000 should be a minimum and that much of that could be achieved through energy conservation and a shift away from fossil fuels. Last year temperatures were the warmest on record, and six of the warmest years since 1850 have occurred during the past decade. ; ;! Scientists are intrigued, but they're far from agreeing whether it's the beginning of the "green- house effect" the trapping of the sun's heat by man-mad- e pollution, causing severe climate changes. jAn international group of scien- ', ; next century. By comparison, there has been a since the last Ice Age and less than a 1 degree increase over the last century. But the scientists also concluded that the actual "fingerprints" that prove that significant warming is under way and that it's linked to aren't the man-mad- e pollutants likely to be seen for- a number of years. In addition to the scientific uncertainties, there are several political obstacles to reaching any treating on global warming. Underdeveloped nations want industrial nations to significantly reduce their carbon dioxide emis- sions and provide technological assistance. And industrial nations are divided with some European countries and Japan already committed to specific reductions while the United States has refused to make such a commitment. w Among those advocating a approach is President Bush, who has steadfastly refused to commit the United States to specific pollution reduction goals. "The Bush administration is actively working overtime to prevent progress" on global warming, said Sen. Albert Gore, one of Congress' most outspoken advocates for cutting greenhouse gas emissions. go-slo- t ' .'v- ( ' : ing. . f - N 1 I I. ! .v.:.lLja jj&itu rTrtMiw s Mexico trade pact in peril in Congress Members WASHINGTON (AP) of Congress who see economic peril, not promise, in a free trade agreement with Mexico are gearing up to sidetrack the negotiations. Supporters, who acknowledge there will be winners and losers when trade barriers along the 2,000-mi- le border come tumbling down, are also girding for a tough fight as Congress enters a crucial point on the timetable for free trade negotiations. For supporters like Sen. Phil there is the prosGramm, pect of Corpus Christi and San Antonio becoming world trade centers and impoverished Texas border cities becoming major distribution hubs. For opponents, there is the fear of massive job losses to cheaper Mexican labor. The Bush aclministration and free trade supporters in Confavor keeping the negotiations gress on the fast track, which would culminate in an agreement that could not be amended by Congress. Like the United States' current free trade agreement with Canada, the pact with Mexico would eliminate tariffs and other trade U.S.-Mexi- U.S.-Mexi- A i , AP Laserphoto New York City Mayor David Dinkins places a paper with a wish on it in the Wailing Wall in Jerusalem. N.Y. mayor JERUSALEM, Israel (AP) -New York Mayor David Dinkins said he was unconcerned about Iraqi missile attacks but still tried on a gas mask shortly after arriving here. On Sunday, Dinkins, an early opponent of U.S. military action in the Persian Gulf, arrived on a visit to Israel and to U.S. troops on duty here. "I'm not afraid," Dinkins said of the threat from Iraqi missiles fired ur tries out gas mask on trip to Israel at Israel. "I'm so far have carried conventional warheads. Like every tourist, Dinkins and U.S. Rep. Charles Rangel, were given a defense kit for chemical warfare, including a rubber gas mask, air filter, a vial of atropin American soldiers manning Patriot missile batteries, rushed here last month to defend against Iraq's Scud ballistic missiles. He also was to tour areas in Tel Aviv hit by Scuds, and was scheduled to meet with Prime Minister Yitzhak Shamir. Dinkins said he had opposed the war and had backed a policy of 63 years old and God's been good to me and taken care of me over these years." against nerve gas and powder against mustard gas. Iraq has threatened to bombard Israel with poison gas, but all of about 30 missiles aimed at Israel - Dragnet out for dealer Midair crash kills 7 - A midOSCEOLA, Wis. (AP) day crash of two small planes left seven people dead, including five Club. members of a 182 The Cessna had five sky divers on board when it collided early afternoon Sunday with a Piper airplane in which two people were flying. No one survived, officials said. The planes apparently "just crumpled together and fell," said Keith Ward, a pilot who was at the airport at the time of the accident. While no one apparently saw the crash about one mile south of this rural community's airport, people heard it and firefighters arrived almost immediately. How the two planes collided was not immediately known. The airport has no control tower. The Cessna apparently was attempting to land at the airport, the Milwaukee Sentinel said today. sky-divi- NEW YORK - (AP) A police dragnet today sought the supplier of a deadly combination of heroin laced with a powerful tranquilizer that killed 12 people over the weekend. Police in Connecticut, and New Jersey cruised New York drug-plague- d neighborhoods Sunday to warn addicts by loudspeaker to avoid the brand go and Cash" marked on packages of the heroin "Tan- name lethal narcotic. They told people to seek medical help immediately if they had taken the drug, but as word of the danger spread police said at least one dealer simply changed the name and continued to sell it. Police said that man was arrested, as were three alleged dealers in New Jersey, but that so far, none of those arrested appeared to be high-levdealers. Five people have died in New York, five in New Jersey and two in Connecticut since Friday. el Polk County Sheriff Craig said today investigators believe the Piper took off in Minnesota but he was unsure of the exact location. Investigators from the Federal Aviation Aclministration and the National Transportation Safety Board were expected at the scene today. Ben-wa- re WASHINGTON (AP) American workers' productivity in 1990 plunged at its sharpest rate since the last recession, marking the first time in a decade that productivity has fallen two years in a row, the government said today. Meanwhile, the Labor Department's report showed that during the final three months of 1990, the nation's businesses trimmed the working hours of their employees at an annual rate of 2.7 percent the largest falloff since the depths of the 1981-8- 2 recession. It was the second quarterly decline in the number of hours worked, which economists said can be expected during a recession, when businesses are implementing large-scal- e layoffs and making do with fewer employees. Non-fardefined productivity as output per hour of work dropped 0.8 percent last year, the Labor Department said, the steepest decline since a 0.9 percent falloff in m Last year's Sharon QhoMtton, a D C. oounaalor lost an amazing pound at Dial itt Hvtng In uvtfbl-Ioi- s SunLife of Canada and affiliates A The decline in manufacturing hours was the steepest since the final quarter of 1982, when hours fell 8.6 percent, the government said. ROCKY UT. dflO ""!? CAtU 25-ce- nt A K your incapacitation s Crucial Considerations for children t 101 W. 100 N.. 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IIJ er Free Estate Planning Seminar Sprtngvlltf , a Landing rti"ff'' 1979-198- fol- SUN FINANCIAL GROUP V tea 0 first time since that productivity declined for two consecutive years, the Labor Department said. Increased productivity, or getting each worker to produce more during each hour of work, is considered vital to increasing the nation's standard of living without inflation. In the manufacturing sector, productivity declined at an annual rate of 2.4 percent in the October-Decembthe largest period drop since 1981. Meanwhile, factories trimmed their hours by 6.4 percent at the tail end of 1990. Last Words" MAKINCi W: which could have jeopardized the U.S.-le- d international alliance. But he said Israel had the right to strike back "and we in New York will stand beside Israel as she takes the steps necessary to ensure her security." Don 't Worry Honey I've Taken Care Of Everything profesiioiuih I'm Living Proof Our Program Work poor showing lowed a 0.7 percent drop in 1989 the Center Tlx retaliate against Iraq, a move 1982. it Famous 1 mm Today, Dinkins was to visit continued economic sanctions and the threat of force against Iraq. He praised what he called Israel's "amazing restraint, unheard of in 'history," for declining to Productivity down again 3 I IS Aiflfcft.tatimi. Briefs - If you (AP) imail something today, prepare to !!pay more. Under increases that took effect rate is 29 'Sunday, the first-clas- s and 23 ounce first the for cents Scents for each additional ounce, up four and three cents, respectively. 19 Sending a post card now costs did it than more cents four Scents, Must week. Just about all other mail services Jwill cost more, too. t The new rates were imposed 'following nearly a year of study 'and hearings. ' Special "F" stamps featuring a ;red tulip are available at post offices to cover the new rate until lofficial stamps can be economically deprived "enterprise zones." Increased user fees to bring in; about $12 billion over the next five; years. These include a requirement that veterans pay a greater share! of their medical bills for illnesses; not connected tq their military; service or if they have a service- connected disability that is rated 40 percent or lower. User fees charged by the Army Corps of Engineers would be ex- panded to cover overnight camp- -' degree temperature increase 9 Istamp price hike is now in effect WASHINGTON low-inco- v tists from 25 nations concluded last year that if greenhouse pollutants aren't curtailed, the Earth's temperature would increase 5 degrees to 9 degrees Fahrenheit over the Hpull CHICAGO (AP) Operation PUSH championed civil rights for two decades, now it's out of money and active support has dwindled. Some blame its problems on the the Rev. Jesse exit of Jackson, who moved on to pursue politics. "Obviously, when you think of .PUSH, you think of Jesse Jackson," said the Rev. Jesse Butler of United Life Church. 'With him gone, what has PUSH been? Where .will PUSH go?" I People United to Serve Humanity 'recently laid off all 12 clerical workers at its Chicago headquar-Itei- s and said last week it was I more than $200,000 in debt and needs to raise as much as $2 million to stay solvent. I PUSH officials contend such ; problems are just a sign of tough times, particularly in the black I community. ; "We're still as potent as we've always been," said the Rev. Willie Barrow, a PUSH board member. ;"If Jesse is not here, it doesn't ;mean that PUSH is over. "The community comes to our he said. ; rescue, not Rev. Jackson," "If ever there was a time when PUSH is firm and vibrant, it's mostly now." Jackson turned over the reins of the organization to others in 1984 ; when he ran for president, a bid he has made twice since making a name for himself leading PUSH. The special account would be limited to individuals with annual incomes of $50,000 or less and families with $120,000 or less. Allow a penalty-fre- e withdrawal of up to $10,000 from an Individual Retirement Account to help a family buy its first home. Extend several tax breaks that are due to expire on Dec. 31, including those for business research and investors in rental housing. Create tax incentives to lure employers to locate in up to 50 i iPUSH needs from : budget hole saving long-ter- m All legal FEBRUARY 6 3 PM and 7 PM documents prepared by Walter Bornemeir, J.D. |