House Votes to Eliminate 1099 Requirement for Small Businesses
The U.S. House of
Representatives passed a bill last week to repeal a tax-reporting requirement
(known as the 1099 provision) for small businesses, including landlords, in the
2010 health care overhaul law.
The provision would
have required millions of businesses to file tax forms for every vendor that sells
them more than $600 in goods each year, starting in 2012. The requirement
was projected to raise nearly $25 billion over the next decade by ensuring that
vendors pay their taxes.