New Braunfels Herald Zeitung, May 18, 1983, Page 5

New Braunfels Herald Zeitung

May 18, 1983

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Issue date: Wednesday, May 18, 1983

Pages available: 109

Previous edition: Tuesday, May 17, 1983

Next edition: Thursday, May 19, 1983 - Used by the World's Finest Libraries and Institutions

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Publication name: New Braunfels Herald Zeitung

Location: New Braunfels, Texas

Pages available: 318,726

Years available: 1952 - 2013

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New Braunfels Herald Zeitung (Newspaper) - May 18, 1983, New Braunfels, Texas World /National Hvrald-Zritung Wednesday, May 18, 1983 5A Reagan on TV President stands his ground on defense, taxes WASHINGTON (AP) President Reagan, displaying a toughening attitude toward Congress over the budget, says ' it is time to draw the line" on defense outs and greater domestic spending At a news conference Tuesday evening, he also had strong words for the Sandinista leaders in Nicaragua "They're not minding their own business They are attempting to overthrow a duly-elected government in a neighboring country," he said Reagan, after a three-month break in his formal news conferences, told the nationally broadcast session with reporters that Syria's Arab allies are urging the Damascus government to pull its troops out of lebanon when the Israeli forces are prepared to leave. "I can't believe that the Syrians want to find themselves alone, separated from ail of their Arab allies," the president said. reaffirming his optimism that a Syrian withdrawal can be achieved Me also said he did not know how long the U S Marine contingent would remain in lebanon, but it could ' be there for quite a period." In an opening statement, the president said he hail tried supporting a proposed compromise to cut defense .spending and raise domestic allocations beyond the goals he suggested for fiscal 1984, but this was "to no avail." "It is time to draw the line and stand up for the people." he said "I will not support a budget resolution that raises taxes while we are coming out of a recession. I will veto any tax bill that would do this." Asked whether the anticipated budget deficit of approximately 121X1 billion would drive up interest rates, the president predicted that "in the very near future, we are going to see a further drop in interest rates " Reagan is doing battle with Democrats and Republicans as Congress tries to pare die anticipated deficits So far. he has failed to muster a majority of Republicans to support his overall budget goal The Democrat-controlled House has approved a plan calling for a $30 billion tax increase in fiscal 1984. to cut the deficit, while the Senate is trying to break a deadlock ox er the size of a new tax increase The president also stepped back from previous threats to veto a repeal of withholding of income taxes from interest and dividend payments, saying that he would wait and see if a compromise is reached with congressional opponents of the w ithholding plan. The president reserved some of his toughest language for discussion of his reason for not openly supporting the guerrillas fighting the Nicaraguan government. He said that the Nicaraguans were training and "supplying arms and everything else that is needed to guerrillas that are trying to overthrow" the government in Kl Salvador. "All we’ve said to Nicaragua, and from the beginning, is become a legitimate American state Quit trying to subvert your neighbors. And we'll talk all kinds of relationship with you.'" he said. Reagan, who has said there were serious grounds for questioning Soviet compliance w ith arms control agreements as a result of possible new weapons tests, repeated his assertion that "we have reason to believe that very possibly they (the Soviets) were in violation" of the strategic anus limitation treaty. In an opening statement. Reagan said he was "gratified that a bipartisan consensus oil arms control is emerging." Earlier in the day. the House Appropriations Committee heeded Reagan's lobbying and voted 30-26 to permit development and testing of the MX missile House okays repeal of withholding plan WASHINGTON (AP) A lopsided House vote to repeal withholding of taxes from interest and dividends throws the issue back to the Senate. President Reagan, however, appears to be backing away from threats to veto the repeal legislation. The House vote Tuesday to kill withholding makes it all but certain that IO percent withholding w ill not go into effect as scheduled on July I The Senate is likely to delay until next week a decision over whether to follow the House and vote for repeal or to save face for the president by substituting some new measures aimed at catching tax cheats. By a veto-proof margin of 382-41. the Houst* turned down appeals from Reagan and Democratic leaders and voted to kill the 1982 law The Senate last month voted 91-5 to leave the law on the books tint prevent its use Senators now have another chance to consider outright re|H*al Reagan and other backers of withholding have accused the banking industry of using deceptive advertising that scared many people especially the elderly into believing withholding was a new tax and that it would loot their savings However, Reagan refrained from using any harsh rhetoric on the issue Tuesday night during a nationally broadcast news conference and he declined to repeat the veto threats he has made in the past "I'm going to wait and see what they come up with on the (Capitol) Hill," the president said The Treasury Department estimates repeal will worsen the record federal deficit bx $13 4 billion through 1988 The Internal Revenue Service estimated last year that as much as $25 billion interest and dividends illegally escapes taxation each year, costing the government $8 billion Budget chairman seeks help from Demos WASHINGTON AP* The Republican-led Senate Budget Committee is adrift from President Reagan on a 1984 budget plan and is likely to approve higher taxes and a slower military buildup than the White House w ill .support After weeks of seeking to keep Reagan's backing on whatever budget blueprint is approved, committee chairman Sen Pete Doinemci, R N M . has turned to Democrats in hopes of forging a compromise spending and taxing plan can get through the Senate But Reagan, reacting even before the committee's vote, declared Tuesday night he would oppose any budget that raises taxes while the nation is coming out of recession Although the president’s signature is not required on the budget itself, his approval is needed for any spending or tax bills Congress passes later in the year Appearing at a nationally televised news conference. Reagan threatened to veto "any tax bill" that raises taxes, and added, "I will veto spending bills that would rekindle the fires of inflation and high interest rates " "It is tune to draw the line and stand up for tin* people," he declared Domentcl's decision to turn to Democrats in search of a bipartisan budget compromise results from the inability of Senate Republican leaders to find a majority to vote for a budget compromise on Hie Senate floor last w eek After two weeks of debate, the Senate handed both Reagan and GDP Senate leaders embarrassing defeats and left the congressional budget process nearchaos As a result, the committee was making a fresh attempt today to send a new budget plan to the full Senate for votes on Thursday Over the past few days, Reagan has harshly criticized Congress for its budget practices, saying the House and Senate are determined to spend more for domestic programs and to raise taxes IhlV lit till• till tofu lit III ''ti i V J 4$ (.r.iin! Opening May 15 Ills IO 5 Daily «245°° I ovesent Sofa ‘2^5 ('hail 'NS' the HP furniture co., inc. 930 M« Hie SI. 3 9 <>1900 It you work with tiny of thuse substances arsonic vinyl chloruhi asbestos, nick of chromates or uranium tho American Cancer Society urges you to wear protective clothing and masks, observe safety rules tintI swear off smoking I Pope turns 63 today VATICAN CITY «AP) Pope John Paul II turned 63 today, but the Vatican Vatican heeded his wishes and planned no birthday celebration. Instead, the Holy See will observe a one-day holiday on John Paul s name day    Uh* feast day of    Charles Borromeo, a 16th century Italian-born saint, on Nov 4 The pontiff began the day w ith a private early morning Mass in the papal apartments iii the Apostolic Palace, followed by a weekly general audience in St Peter's Square John Paul was bom Karol Wojtyla on Max 18. 1920, in Wadowice, Poland He was elected pope on Oct 16,1978 Bl IIJHN'GS • ■UILPIN Need Room? Out of Space? 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