Bottom Dollar
Tax laws will affect students
By Betsy Clayton
Emerald Reporter
Many students who didn't
have to file income tax returns
in the past may not be so lucky
this year.
As a result of the Tax Reform
Act of 1986. rules determining
personal exemptions and stan
dard deductions have changed.
Restrictions for exemptions on
scholarship and fellowship
grants also have been outlined.
Approximately three million
more returns are expected to be
filed nationwide, said Larry
Hillebrecht. public affairs
specialist for the Internal
Revenue Service in Portland.
"Normally tax laws change
every year, but in 1986 there
were very massive changes in
the majority of tax laws.”
Hillebrecht said- He explained
Bottom Dollar
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the personal exemption deduc
tions and scholarship changes
were written specifically for
students.
The Tax Reform Act of 1986
states an individual who can be
claimed as a dependent on
another person's tax return
must file his or her own tax
return in three cases: If the
dependent has earned income
only, and the gross of that in
come is more than $2,540; if he
or she has unearned income on
ly, and the gross income is more
than $500; or if earned and
unearned income gross is more
than $500.
Earned income is defined as
salaries, wages, professional
fees and other amounts received
as pay for work actually done.
Unearned income is income
other than salaries or wages,
such as interest, dividends and
capital gains. Gains from trusts
also are unearned income to an
individual who is a beneficiary
of the trust.
Hillebrecht said it is difficult
to compare the '86 changes to
those of the past because there
are a lot of variables involved.
He stressed the importance of
students noting these changes.
"Now with the Tax Reform Act
of '86, if 1 am eligible to be
claimed as a dependent, then
there are different filing re
quirements," he said.
Donn Potter, a partner at
Barkman, Gibbs and Greig ac
counting firm, said with the
'80s, tax changes seem to be
happening every six months.
"Things have been changing all
the time. A large number of
students will be affected by
these (changes),’’ he said.
The Tax Reform Act of 1986
outlined changes in exemptions
on scholarships and fellowship
grants. The act states, "Under
prior law, a candidate for a
degree could exclude from in
come a scholarship or
Turn to Taxes, Page 7
Market tactics inflate
high cost of textbooks
By Maile Field
Emerald Contributor
The price college text
books increases each yea,
along with grumblings from
students at bookstore check
But when the complimen
tary texts start stacking up.
national used-book dealers
step in offering to buy them
off instructors’ hands.
Although Libeskind ad
vocates the free distribution
of examination copies, he
outs.
Hut market in
nation may not
be the only
reason for these
increases.
Several practices
within the book
dealing market
may be jacking
up the price tag.
Publishers fre
quently send in
structors free
copies of new
texts. The
gratuitous
distribution
3495
•I*
Photo by 11 ns Mason
Publishing and used-book industries
contribute to the soaring costs of text
books, making $34.95 a common text
price tag.
allows for early evaluation of
possible class literature.
However, zealous competi
tion within the industry
often means the instructors
are beseiged by numerous
editions of unusuable texts.
Shlomo Libeskind, a
University mathematics pro
fessor, supports the logic of
the practice. "We are not go
ing to order a book that we
haven’t seen." he said.
said instructors should
refrain from selling the ex
tras on the used-book
market, calling such transac
tions unethical. “1 did not
pay for them." he said.
John Gage, director of
composition in the Univer
sity’s Department of English,
looks at it differently.
"We've all read ‘Dear Abby.’
Turn to Textbooks, Page 7
“LET’S DO LUNCH!’’
Dear Juniors & Seniors,
We, the business community of Eugene, would like to “Take a Duck to lunch.” If you
are interested in having lunch with a local business person to discuss a career in their
profession, or about the business work in general, here’s your chance. Simply fill out
and return this application to Student University Relations Council, Room 202 Johnson
Hall by 5:00 p.m. Friday, January 22.
You will be contacted by mail as to whom your lunch will be with. We’ll even pick up
the tab...so sign up today! Now who ever said there’s no free lunch?
* Sponsored by the Eugene Chamber of Commerce and S.U.R.C.
. APPLICATION.
NAME: ___
ADDRESS:__——
PHONE: __ YR. IN SCHOOL:
SS#:
MAJOR: _
CAREER INTEREST:
PREFERRED DATE & TIME
TO LUNCH
DATE
TUESDAY 2/2/88
WEDNESDAY 2/3/88
TUESDAY 2/9/88
WEDNESDAY 2/10/88
TIME
11:30
12:30