Senate rejects amendments repealing 1099 tax form provisions | TSLN.com

Senate rejects amendments repealing 1099 tax form provisions

The U.S. Senate Monday night (Nov. 29) failed to pass two amendments repealing a provision in the healthcare reform law that would require all businesses to send 1099 federal tax forms to every individual or company from whom they purchased more than $600 in goods and services throughout the tax year, beginning Jan. 1, 2012.

The amendment offered by Sen. Mike Johanns (R-NE) failed to pass with a vote of 61-35; the amendment by Sen. Max Baucus (D-MT) failed to pass with a vote of 44-53. Two-thirds of the vote would have been needed to pass either amendment. The Johanns amendment would have been financially offset by federal spending cuts; Baucus’s amendment would not have been paid for, but would have lowered the cost of repealing healthcare reform, considered a Republican priority.

What’s next for the 1099 issue? For a variety of reasons, it’s not expected that either the House or Senate will take up the issue in the waning days of the current lame duck session. It is more likely to be dealt with by the 112th Congress, which will convene in January.

The U.S. Senate Monday night (Nov. 29) failed to pass two amendments repealing a provision in the healthcare reform law that would require all businesses to send 1099 federal tax forms to every individual or company from whom they purchased more than $600 in goods and services throughout the tax year, beginning Jan. 1, 2012.

The amendment offered by Sen. Mike Johanns (R-NE) failed to pass with a vote of 61-35; the amendment by Sen. Max Baucus (D-MT) failed to pass with a vote of 44-53. Two-thirds of the vote would have been needed to pass either amendment. The Johanns amendment would have been financially offset by federal spending cuts; Baucus’s amendment would not have been paid for, but would have lowered the cost of repealing healthcare reform, considered a Republican priority.

What’s next for the 1099 issue? For a variety of reasons, it’s not expected that either the House or Senate will take up the issue in the waning days of the current lame duck session. It is more likely to be dealt with by the 112th Congress, which will convene in January.

Recommended Stories For You

Go back to article