President Barack Obama has signed the 1099 reporting requirement repeal bill into law.
The Senate passed H.R. 4 earlier last week and sent it to the president for his approval, which he gave yesterday. Had the president not signed the repeal, 1099 would've required all businesses to file an Internal Revenue Service (IRS) Form 1099 for every vendor from which they annually buy $600 worth of goods or services, beginning in 2012. The 1099 requirement was enacted as part of last year's health care reform bill.
The repeal will be funded by requiring taxpayers who receive federal health insurance subsidies to repay them if they end up earning more than 400% over the poverty line. While some Senate Democrats had reservations about this pay-for method, which takes a swipe at another part of the health care reform bill, the final 1099 repeal vote was firmly bipartisan, with only 12 Senators voting against.
Refer to the April 7 edition of eNews for more details.
Jacob Barron, NACM staff writer