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April 13, 1984 - Image 2

Resource type:
The Michigan Daily, 1984-04-13

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Page 2 - The Michigan Daily - Friday, April 13, 1984

Tuition tax not necessary, GEO says


(Continued from Page 1)
interpretation of the IRS bulletin is just that - the
union's interpretation, not the University's.
Dan Gamble, the University's manager of
compensation and staff relations, says the University
was aware of the ruling, but did not interpret the
document to mean that it should not count the waiver
as taxable income.
HE SAYS University officials are treating the
ruling as a statement by the IRS which says that they
are taking a "hands off" attitude about the matter,
thus leaving Congress to make a decision.
"With the expiration of the (law), it means we're
moving into a taxing situation," said Gamble.
Roderick Daane, the University's chief attorney,
added that the legality of the IRS ruling must also be
"IT IS NOT given to the IRS to enact legislation.
That's Congress' job," Daane said.
In the event that the University does not agree with
GEO after next week's meeting, the union says it will
take the matter into arbitration. Then, a mediator
would be brought in to try and solve the problem.
Union members are still optimistic, however, that

the University will act in GEO's favor.
"LOGIC WOULD seem to dictate that we would win
- if not, we'll keep fighting," said Matland.
'Our hope is that based on
the IRS ruling, the
University will realize that
they've made a big
- Rick Matland
GEO Treasurer
Union members also feel confident they may be
right about the ruling because no other universities
are deducting the money.
At the University of Oregon, a school with about 800

graduate teaching assistants, the taxes are not being
withheld from the TAs tuition waiver - a waiver
which amounts to a full tuition break.
SHIRLEY MENACKER, dean of the Oregon
graduate school, says the school doesn't withhold the
taxes because the waiver is not counted as income.
"We don't charge the teaching fellows tuition.
There's no bookkeeping showing the waiver as
coming or going," said Menacker. "Consequently, we
don't count it as income."
She also added that the university hasn't run into
any problems with the procedure. "We've never been
questioned about it," Menacker said.
AT THE University, the tuition waiver is shown as
income. According to Fred Caryl, a university
account supervisor, TAs are assessed the full amount
of the tuition like any other student, but later have the
tuition wiaver subtracted from their bill.
Since the waiver appears on University books, it is
considered taxable income.
Officials at the University are skeptical about the
legality of Oregon's procedures.
"I think it's a pretty weak argument," Gamble

Your attention is called to the following rules passed by
the Regents at their meeting on February 28, 1936:
"Students shall pay all accounts due the University not
later than the last day of classes of each semester or
summer session. Student loans which are not paid or
renewed are subject to this regulation; however, stu-
dent loans not yet due are exempt. Any unpaid accounts
at the close of business on the last day of classes will be
reported to the Cashier of the University and
"(a) All academic credits will be withheld, the grades for the
semester or summer session just completed will not be released,
and no transcript of credits will be issued.
"(b) All students owing such accounts will not be allowed to
register in any subsequent semester or summer session until pay-
ment has been made."

Compiled from Associated Press and
United Press international reports
Chna admits killing Vietnamese'
PEKING-China said yesterday its border artillery killed or wounded
"large numbers" of Vietnamese soldiers and wiped out hundreds of
'military installations' in a counterattack against Vietnamese shelling and
The official Xinhua News Agency, issuing the highest casualty and
destruction report since border fighting escalated last week, said Chinese
artillery attacks have continued in the past few days.
'Chinese frontier guards had destroyed several hundred Vietnamese
military installations (by Wednesday), destroyed or seriously damaged
several dozen Vietnamese field pieces and military vehicles and killed or
wounded large numbers of Vietnamese soldiers," Xinhua said, quoting bor-
der reports.
No further details on the counterattacks were given.
Xinhua also said in the past five days, Vietnam has fired more than 1,000
shells into Chinese territory and sent forces to attack Chinese farmers.
China earlier said its gunfire killed or wounded several dozen Vietnamese.
There was no independent confirmation of China's claims.
Last week, the two countries accused each other of increasing the fighting
along their mountainous 400-mile border.
12 infants die after vitamin doses
ATLANTA-At least 12 premature babies have died after being given a
new intravenous vitamin E supplement, and the product is being recalled,
federal health officials said yesterday.
The Food and Drug Administration said at least 17 babies taking E-Ferol
Aqueous Solution at three hospitals have become ill and 12 have died.
The National Center for Disease Control, reporting data from two of those.
hospitals, said 12 infants given E-Ferol all come down with an "unusual syn-
drome" that includes fluid in the abdominal cavity. Eight of those infants
died, the CDC said.
Premature infants tend to have a deficiency of vitamin E at birth, and
vitamin E "is reported to have a therapeutic benefit," the Atlanta-based
CDC reported.
The product was introduced in December. FDA spokeswoman Faye
Petersonn in Rockville, Md., said two lots of the product were distributed
nationwide to 79wholesalers and 78 hospital accounts.
"We have not gotten firm information on how much remains on the
market," she said.
Use of E-Ferol does not appear to be widespread, said Dr. F.W. Rosa with
the FDA's Epidemiology Development Branch. Most neonatal centers con-
tacted said they had only begun considering use of the product. A voluntary
recall by the FDA and the distributor-O'Neal, Jones & Feldman of St.
Louis-has begun, according to both the CDC and the FDA. Those two agen-
cies "recommend that E-Ferol not be used," the Centers for Disease Control


The Kozminski family, Chelsea far-
mowners who were convicted of holding
two retarded farmhands as slaves,
will have to pay a total penalty of
U.S. District Court Judge Charles
Joiner ordered Ike Kozminski to pay
the maximum of $20,000 fine, and
Kozminski's son John to pay $10,000.
Ike Kozminski's wife, Margarethe
Kozminski, was not assessed a fine.
Joiner also ordered the Kozminski
family to pay $6,190.80 to each of the
two farmhands.
The Daily incorrectly reported
yesterday that the Kosminskis only had
to pay a $12,000 fine.



Make a good. buy,
before you, say, goodbye.

Australia to study Agent Orange
SYDNEY, Australia-Many of Australia's Vietnam veterans are fighting
to prove they were poisoned during the war by Agent Orange and other toxic
chemicals that damaged their health and caused deformities in their
children. They insist they deserve the same benefits as men wounded by
After years of silence, the government has responded to the charges with
an inquiry into the use of chemical defoliants in Southeast Asia. The in-
vestigation, which began in January, is expected to take a year.
The Vietnam Veterans of Australia Association, 12,000-strong, contends
soldiers were routinely exposed to defoliants sprayed by plane in Vietnam.
Chemical poisoning underlies the physical and mental problems faced by
veterans, they say.
The veterans say soldiers who fought in Vietnam are not suffering from
delayed reaction to the stress of combat or depression at being shunned by a
society that wants to forget the war. What is being diagnosed as emotional
problems is neurological and physical damage from herbicides, they say.
U.S. to give Grenada $40 million
WASHINGTON-The Reagan administration is seeking $40 million in new
aid for Grenada-equal to $360 per inhabitant-to rebuild a mental hospital
destroyed in the U.S. invasion last October, finish an airport begun by
Cubans and revitalize the island's economy.
The size of the aid request is extraordinary for an eastern Caribbean
island, where U.S. spending programs of $10 million are considered large.
Combined with earlier economic and military aid, it will push total U.S.
assistance to the island since the Oct. 25 invasion to $72.2 million.
By comparison, Grenada's gross national product, the value of all goods
and services produced on the island in 1981, was $100 million, according to
the latest World Bank figures. That year, Grenadians earned an average in-
come of $850.
Theodor Bratrud, the Agency for International Development officer in
charge of the Eastern Caribbean, said the "very substantial" aid proposal
for Grenada "will go a long way toward the rehabilitation and recovery of
the economy."
National retail sales fall 2.2%
WASHINGTON-Retail sales fell 2.2 percent in March, the largest drop in
a decade, cutting into gains made earlier this year for autos, construction
supplies and department stores, the government said yesterday.
The Commerce Department said automobile sales alone were 7.7 percent,
accounting for more than half the total decrease.
President Reagan took a positive view of the numbers. "I think that's fine
because it indicates it's a sustainable expansion, not just a quick fix or a
splurge," he said.
Retailers had $103.4 billion in sales in.March, $2.3 billion less than in
February but still 10.2 percent ahead of sales a year earlier. February's
sales also were down, slipping a revised 0.8 percent.




Friday, April 13, 1984
Vol. XCIV-No. 155
(ISSN 0745-967X)
The Michigan Daily is edited and managed by students at The University
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Editor-in-Chief ........... BILL SPINDLE fman, Joe Ewing, Chris Gerbasi. Tom Keaney, Ted
Managing Editor........ BARBARA MISLE Lerner, Tim Makinen, Adam Martin, Scott McKinlay,
News Editor ............... JIM SPARKS Barb McQuade, Brad Morgan, Phil Nussel, Sandy Pin-
Student Affairs Editor CHERYL BAACKE cus, Rob Pollard, Mike Redstone, Scott Salowich, Ran-
Opinion Page Editors . . JAMES BOYD dy-Schwartz, Susan Warner, Rich Weides, Andrea


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Arts/Magazine Editor .... .MARE HODGES
Associate Arts Editor ........ STEVEN SUSSER
Chief Photographer ........ DOUG MCMAHON
Sports Editor..................MIKE MCGRAW
Associate Sports Editors........... JEFF BERG IDA
NEWS STAFF: Susan Angel, John Arnt, Stese

Business Manager ................ STEVE BLOOM
Sales Manager.............DEBBIE DIOGUARDI
Operations Manager............... KELLY DOLAN
Classified Manager. MICHAEL MANNASTER
Display Manager ................. PETER LIPSON
Finance Manager...............LINDA KAFTAN
Nationals Manager ................... JOE ORTIZ
Co-op Manager-----------------..JANE CAPLAN
Assistant Display Manager...........JEFF DOBEK
Assistant Classified Managers...TERENCE YEE


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