i ' •• ■ ' ' , - . ' r . ■ ) V : N 1 ' V 5»r ■ 20 — MANrHESTER HERALD. Thurs.. July 22. MM i-- ' *. .’ ■" f ' ! r- ;• ■ =’ VVe/ck^r: j^ rtra it Penny impressed |Whof to look fpi M' i l l GOF* maverick by Taiwanese at convention . page 3 . page 6 Pension reform bill needs more ... page 4 -I let’s soak the rich!’’ take note of the little-known fact employee’s stake in a qualified plan. Your future pension rights could be badly hurt by a that as written, the Rangel bill also could harm you, an pension reform bill now quietly making its way through Here, again, the intent is to prevent tax abuses average worker. ’That’s because the ceilings Rangel Congress. private professional corporations and highly paiv- Cloudy today; would place on pension contributions of private cor­ Manchester, Conn, The bill, introduced by Rep. Charles Rangel, D-N.Y., Your executives, but unless the bill is very carefully draftedi? porations would affect all “ qualified’’ pension plans ap­ has a worthy purpose: to reduce the overly lavish pen­ the result could hurt the average white-collar employdfSA^' sunny Saturday Friday, July 23, 1982 sion benefits now available for highly paid Money's proved by the Internal Revenue Service. U r- ■'Urt As Rangel has pointed out, the present pension la«W* professionals, such as doctors, lawyers and accoun­ At present, less than 1 percent of all corporation —- see page 2 Single copy 25q; Worth would allow a 35-year-old professional who is e m p lo y ^ tants, who shield themselves from taxes by forming employees would be affected by the Rangel pension by his own company to accumulate more than.$1331^ professional corporations. But the Rangel bill is so ^ Sylvia Porter ceilings. But as the years go on, you, a younger worker, million for himself at age 65 in a combination of retife^ loosely worded that it could slash, the pension rights of could be seriously affected by having your pension ment plans, tax-free until he or his spouse s ta r ^ average workers as well. benefits kept under a ceiling while the cost of living and withdrawals. ^ There's no question that professional corporations are salaries keep climbing. One large company —, Mobil — getting an excessively good break from Congress, and estimates that over a period, the Rangel ceU|fig3 would Some of Rangel’s reforms, toned down, were in th€& all the money contributed to these plans is a deduction that these enormous loopholes must be plugged. As the affect 70 percent of its salaried work forcdV'.-^ July tax bill approved by the Senate Finance ConiJ' law now stands, the ceiling is f 136,425 a year on tax-free for the employer, and is tax-free to the employee until mittee. But, Congress, draft your cuts in govemmefif^ contributions to a pension plan called a defined benefit he or she starts withdrawing it after retirement. The Rangel bill has other, highly technical provisions subsidized pension plans with care! There’s a babyj;);; Moreover, you and I have to make up for the tax revenue aimed at higher-bracket executives that could have a Steele Chewy challenge plan, which guarantees an employee a specific amount the bathwater here; watch which you throw out. harmful “ trickle-down” impact on lower-salaried Hike at retirement. And the tax-free maximum contribution the government loses because of these great big pension six youngsters took part In a now is $45,475 for another plan called a defined contribu­ contribution loopholes. workers. One of these restricts the way employees com­ (Sylvia Porter’s Financial Almanac for 1983, a coin-^ Rangel also would cut off indexing these pensions, bine ^ i a l Security pension rights with those supplied prehensive desk calendar and consumer handbook,«i. competition at Bowers School tion pian, which is a profit-sharing plan in which the Thursday to see who could eat employee agrees to put a set amount into the which allows cotnpanies to increase pension benefits by the employer, in a way that could result in massive features Porter’s best advice for saving money and^ won't be the most peanut butter employee’s account. each year to keep up with inflation. private pension contributions. Another would put a organizing your budget. Includes budget worksheets.^ (Ironically, Rangel says nothing about eliminating in­ lower ceiling on the maximum pension an employee Send $8.95 plus $1 postage and handling to Financial*- sandwiches in five minutes. in tax Rangel would cut the maximum to $90,000 a year from a defined benefits plan and to $30,000 maximum a year dexing of pensions for government employees, including could receive from a combination of a pension and Almanac in care of the Herald, 44(X) Johnson Drlve^H (Left) Debbie Hennequin, for a defined contribution plan. members of Congress.) profit-sharing plan. And still another Rangel proposal Fairway, Kan. 66205. Make checks payable to Universal; emcee Jason Lawrence and Tort^ That’s only fair to the rest of the taxpayers because Before you understandably start cheering, “ Great, would sharply limit loans to an employee from the Press Syndicate.) ■ ' “ 'J; Kastausicas contemplate their first sandwiches. (Below left) HARTFORD (U P I) - After days voted Debbie Hennequin works on a m- of intra-party bickering, Connec­ ticut Rep. Lawrence DeNardis won mouthful of peanut butter. By Mary Beth Frankljn ' Public Records out today as the compromise chair­ (Below right) Jason, the contest United Press International twpiw ■ man for this weekend’s Republican winner, downs one of the one State Convention. and one half sandwiches he ate WASHINGTON - Working^ilmost until 5 a m., the Senate — divldqd Warranty deeds Certificate of condemnation Meyer and William Rose for a fencejlll Sen. Lowell Weicker, Republican in the time limit. at 113-117 Wells St., $100. n along party lines — today approver! Gary R. Popik and Kathleen M. Department of Transportation State Chairman Ralph Capecelatro, To Taylor Rental Center forj; and GOP gubernatorial hopefuls a three-year $99 billion tax increase Popik, to James Mako and Elizabeth against A. Treat et als, property Herald photos by Tarquinio Michael Lynch for a tent at 99 H art^ endorsed by President Reagan and Mako, property at 311 Burnham St. south of Interstate 86. Lewis Rome and Richard Bozzuto ford Road, $400. »• needed to hold the 1983 deficit to $67,000. Department of Transportation formed an unlikely flank of smiling To Federick LaCIair for Florence; $104 billion. Town of Manchester to Richard S. against Thomas J. Hackett et als, faces when the choice was cemented Copeland for siding at 265 W. Center;; ' . V It The biggest tax hike in history Lawrence, Joseph E. Wehr Jr., property on south side of Tolland this morning. St., $3,000. cleared the Senate on a 50-47 vote James B. Walton, Matthew L. Turnpike. The combo was so unusual, joked To Robert B. Jarvis to alter aZ that reflected support from 49 Iteiser, and William R. Schmidt, the Department of Transportation Capecelatro, who has long feuded porch front at 202 Oak St., $4,800. Z -,np2i -J Republicans and Independent Harry former Buckland School, $146,000. against Catherine E. Olmstead, with Weicker but mended fences To Daniel J. lezzi to remove a poOlJ,’; Byrd of Virginia. Three Republicans Robert C. Hohwieler and Edna M. property at Tolland Turnpike and and endorsed him last weekend, and deck at' 11 Ralph Road, $100. opposed the bill. The tax debate now Ilohwieler to Alex S. Dziama and Slater Street. “ you would have thought we had w To Peter Sullivan ior a pool at S9Z moves to the House. Nancy J. Dziama, property at 114 been smoking something.” Release of tax lien Strawberry Lane, $500. 'Z Tense moments preceded the final Green Manor Road, $69,900. The agreement gives each U.S. Internal Revenue Service To Hartford Roofing Co. for thq; Senate candidate and each guber­ ■Senate vote. At one j)oint, the bill Quitclaim deeds releasing David J. Logan, 15 Lilley Board of Education to repair Uw- natorial contender someone allied appeared to be a vote short of Sandra J. Misage to Robert J. St., $1,633.64. roof at Robertson School, ^,125. with their cause. DeNardis, a Rome passage and its approval was \lisage, property at 62 Somerset Internal Revenue Service To Wes Robbins for Earl Suprinot. supporter, will be chairman, and assured only when conservative Drive. \ releasing Arthur Bjork Jr., Arts for a garage at 381 E. Middle Turn-! Bridgeport Mayor Leonard Paoletta Sens. Jesse Helms, R-N.C., and Maryan Duggan to David Israel Catering Service, 206 Woodbridge pike, $5,000. •' will be temporary chairman. James East, R-N.C., were per­ Kapelner, property at 543 Wood- St., $1,142.47. To John Ingrossi for a patio at to There will be four parliamen­ suaded to back it. *The package, drafted by bridge St., $6,817. Building permits Sherwood Circfle, $1,000. tarians — former congressman To Daniel R. LaPointe for a toot Republicans on the Senate Finance Mary Beth Comp to David W. To Bidwell Home Improvements Robert Steele, GOP counsel Ralph H^irqid Photo by Pinto shed at 78 Deepwood Drive, $200.-. Committee, would double cigarette Comp, property on Hollister Street. Co. for William Tanner for repair of Elliott, former state Chairman I’o Sanford Roofing and Siding Co. Howard Hausman of New Britain, taxes, cut in half the deductibility of David L. deMerchant to Irene D. roof at 157 St. John St., $600. for Francis Santi to repair roof at . the “three-martini lunch” and deVIerchant, property at 51 To Metro Building Go.