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New Braunfels Herald-Zeitung (Newspaper) - May 18, 1983, New Braunfels, Texas World HvraldZtitung May 5A Reagan on TV President stands his ground on taxes House okays repeal of withholding plan WASHINGTON AP President displaying a toughening attitude toward Congress over the says it is time to draw the line on defense cuts and greater domestic At a news conference Tuesday he also had strong words for the Sandinista leaders in Nicaragua Theyre not minding their own They are attempting to overthrow a duly elected government in a neighboring he after a threemonth break in his formal news told the nationally broadcast session with reporters that Syrias Arab allies are urging the Damascus government to pull its troops out of when the Israeli forces are prepared to I cant believe that the Syrians want to find themselves separated from all of their Arab the president reaffirming his optimism that a Syrian withdrawal can be He also said he did not know how long the Marine contingent would remain in but it could be there for quite a In an opening the president said he had tried supporting a proposed compromise to cut defense spending and raise domestic allocations beyond the goals he suggested for fiscal but this was to no It is time to draw the line and stand up for the he I will not support a budget resolution that raises taxes while we are coming out of a I will veto any tax bill that would do Asked whether the anticipated budget deficit of approximately billion would drive up interest the president predicted that in the very near we are going to see a further drop in interest Reagan is doing battle with Democrats and Republicans as Congress tries to pare the an ticipated So he has failed to muster a majority of Republicans to support his overall budget The Democratcontrolled House has approved a plan calling for a billion tax increase in fiscal to cut the while the Senate is trying to break a deadlock over the size of a new tax The president also stepped back from previous threats to veto a repeal of withholding of income taxes from interest and dividend saying that he would wait and see if a compromise is reached with congressional opponents of the withholding The president reserved some of his toughest language for discussion of his reason for not openly supporting the guerrillas fighting the Nicaraguan He said that the Nicaraguans were training and supplying arms and everything else that is needed to guerrillas that arc trying to overthrow the government in El All weve said to and from the is become a legitimate American Quit trying to subvert your And well talk all kinds of relationship with he who has said there were serious grounds for questioning Soviet compliance with arms control agreements as a result of possible new weapons repeated his assertion that we have reason to believe that very possibly they the Soviets were in violation of the strategic arms limitation In an opening Reagan said he was gratified that a bipartisan consensus on arms control is Earlier in the the House Appropriations Committee heeded Reagans lob bying and voted 3026 to permit development and testing of the MX WASHINGTON AP A lopsided House vote to repeal withholding of taxes from interest and dividends throws the issue back to the President appears to be backing away from threats to veto the repeal The House vote Tuesday to kill withholding makes it all but certain that 10 percent withholding will not go into effect as scheduled on July 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 By a vetoproof margin of 382 the House turned down appeals from Reagan and Democratic leaders and voted to kill the 1982 The Senate last month voted 915 to leave the law on the books but prevent its Senators now have another chance to consider outright 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 Reagan refrained from using any harsh rhetoric on the issue Tuesday night during a nationally broadcast news con ference and he declined to repeat the veto threats he has made in the Im going to wait and see what they come up with on the Capitol the president The Treasury Department estimates repeal will worsen the record federal deficit by billion through The Internal Revenue Service estimated last year that as much as billion interest and dividends illegally escapes taxation each costing the government Budget chairman seeks help from Demos WASHINGTON AP The Republicanled 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 will After weeks of seeking to keep Reagans backing on whatever budget blueprint is com mittee chairman Pete has turned to Democrats in hopes of forging a com promise spending and taxing plan that can get through the But reacting even before the committees declared Tuesday night he would oppose any budget that raises taxes while the nation is coming out of Although the presidents signature is not required on the budget his approval is needed for any spending or tax bills Congress passes later in the Appearing at a nationally televised news Reagan threatened to veto any tax bill that raises and I will veto spending bills that would rekindle the fires of in flation and high interest It is time to draw the line and stand up for the he Domenicis 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 the Senate floor last After two weeks of the Senate handed both Reagan and GOP Senate leaders embarrassing defeats and left the congressional budget process near As a the committee was making a fresh attempt today to send a new budget plan to the full Senate for votes on Over the past few Reagan has harshly criticized Congress for its budget saying the House and Senate are determined to spend more for domestic programs and to raise taxes Hint nt tin mill Grand Opening May I5 105 Daily COO 245 Loveseat Sofa Chnir furniture 93O 39619OO If you work with any of these substances vinyl chromatos or uranium the American Cancer Society urges you to wear protective clothing and observe safety and swear off Pope turns 63 today VATICAN CITY AP Pope John Paul II turned 63 but the Vatican Vatican heeded his wishes and planned no birthday the Holy See will observe a oneday holiday on John Pauls name day the feast day of Charles a IGth century Italianborn on The pontiff began the day with a private early morning Mass in the papal apartments in the Apostolic followed by a weekly general audience in Peters John Paul was born Karol Wojtyla on May in 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