Of all the hidden costs now being discovered in the health care bill, one of the most concerning to the business community is Section 9006, which would place an unprecedented burden on small business reporting and paper work requirements. This section includes a provision that requires businesses to file 1099 tax returns starting in 2012 for many purchases. It’s bad news for all businesses, especially smaller ones, because businesses of all sizes will be required to report on each vendor for all purchases totaling over $600 annually, which will dramatically increase accounting costs and time-consuming paperwork burdens. The exemption for purchases from corporations will be lifted, and expanded to property (goods), as well as services. And at a time when our economy needs small businesses to help our country grow out of this recession, saddling them with expensive new requirements and paperwork burdens only further hampers their ability to succeed and ultimately aid in our economic recovery. On behalf of our members, the Blount Chamber opposes this provision of the health care bill
What can you do? We encourage you to action. Visit the National Sign-On Letter to Repeal the 1099 Provision in the Health Care Law and add your organization’s name and urge Congress to co-sponsor H.R. 5141, the “Small Business Paperwork Mandate Elimination Act.”
