The Senate has rejected two proposals to repeal a provision in the Patient Protection and Affordable Care Act requiring businesses to file 1099 tax forms for certain purchases, according to an AHA News Now report.
The provision, which goes into effect in 2012, would require businesses to submit a 1099 form for every purchase of more than $600. Many have argued this would create a burden of paperwork for businesses.
The first proposal by Sen. Mike Johanns (R-NE) would have repealed the 1099 mandate and offset the lost revenue with unspent or unobligated federal funds. The second proposal by Senate Finance Committee Chair Max Baucus (D-MT) did not include an offset, according to the report. Both proposals were included as amendments to food safety legislation.
Read the AHA News Now report on 1099 reporting.
Read previous coverage on 1099 reporting:
- Senate Fails to Pass Bills to Soften, Repeal Tax Provision in Reform Law
The provision, which goes into effect in 2012, would require businesses to submit a 1099 form for every purchase of more than $600. Many have argued this would create a burden of paperwork for businesses.
The first proposal by Sen. Mike Johanns (R-NE) would have repealed the 1099 mandate and offset the lost revenue with unspent or unobligated federal funds. The second proposal by Senate Finance Committee Chair Max Baucus (D-MT) did not include an offset, according to the report. Both proposals were included as amendments to food safety legislation.
Read the AHA News Now report on 1099 reporting.
Read previous coverage on 1099 reporting:
- Senate Fails to Pass Bills to Soften, Repeal Tax Provision in Reform Law