Well, we will never get to experience the new 1099 rules passed as part of the Obama Health Care Legislation. The House voted to repeal it today, and the Senate had already repealed it. Obama doesn't like it anymore either, so it probably will go the way of the dodo before it ever comes into effect in 2012.
Basically, it would change the reporting requirements for a 1099 to reflect that businesses have to file 1099's not only for contractors whom they pay more than $600.00 per year, but also to anyone whom they pay over $600.00 per year to for goods. The arguments against this law are mostly focused on the increased administrative burden of creating more 1099's. Of course, no one seems to care that there is another solution to this problem, which is to make filing 1099's themselves simpler.
What gives me a chuckle about this law is that people are saying it will increase taxes by $25 Billion. This is ridiculous. 1099's are informational returns which have no bearing whatsoever on the amount of tax people owe. The only way filing a 1099 "increases" taxes is by making someone declare revenue which they are legally required to declare. Apparently, remedial measures to stop people from cheating on their taxes are now "tax increases".
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