Earlier this week, the U.S. Senate considered options for relieving businesses from the expanded 1099 reporting requirements that will kick in for 2012 – and did nothing. As we reported in August, an obscure provision in the new federal health care law will greatly increase administrative costs for businesses, resulting in hundreds of millions of new 1099s to be filed.
Two competing amendments to a small business bill were considered, each requiring 60 votes for cloture: (1) An amendment by Senator Johanns, supported by most business groups, to repeal the new 1099 reporting requirement failed on a vote of 46-52; and (2) An amendment by Senator Nelson, opposed by most business groups, that would have modified and complicated the reporting requirement, failed on a vote of 56-42.
Maryland Senators Barbara Mikulski and Ben Cardin voted against the Johanns amendment and for the Nelson amendment.
Your Congressman and Senators are now back from summer break, so demand that they co-sponsor pending legislation (S. 3578 and H.R. 5141) to repeal the burdensome 1099 reporting requirements (only Rep. Roscoe Bartlett is currently a co-sponsor).
Learn more about this issue from our friends at the Maryland Association of CPAs by clicking here. Contact your Senators and Representative by clicking here.
Contact Ron Wineholt for further information at .(JavaScript must be enabled to view this email address).
About Ronald W. Wineholt