VICTORY! U.S. Senate Passes 1099 Repeal, Signed by President Obama!
On April 5, the Senate passed H.R. 4, the House-passed Small Business Paperwork Mandate Repeal Act of 2011 by a vote of 87-12, and on April 14, President Obama signed the repeal legislation into law, eliminating this burden on small business.Thanks to the tireless grassroots efforts from all in the franchise community! This marks a major victory for the industry, and for small businesses across the country.
Again, tucked away in the massive new health care law is a change to IRS rules that would require businesses to report all transactions that involve property or services which aggregate more than $600 in a year per vendor, even when making purchases from a corporation. This would trigger the requirement to file a Form 1099 with the IRS and furnish taxpayer identification numbers (TINs) for the businesses and persons involved.