New CCH Tax Briefing on Congressional Approval of 1099 Repeal Bill
April 5, 2011 (PRNewswire) The Senate today repealed controversial expanded information reporting on Form 1099 for certain business payments and rental property expense payments with passage of the Comprehensive 1099 Taxpayer Protection and Replacement of Exchange Subsidy Overpayments Act of 2011; the House had approved the legislation on March 3. CCH has issued a new Tax Briefing that examines the legislation. CCH, a Wolters Kluwer business.
Under last year's Patient Protection and Affordable Care Act (PPACA), starting in 2012, businesses would have been required to issue 1099s to any vendor from whom they purchase more than $600 in goods other than to a vendor that is a tax-exempt organization. In addition, a provision of the 2010 Small Business Jobs Act required information reporting by landlords on Form 1099 of certain rental property expense payments of $600 or more to a service provider made after December 31, 2011.
"These provisions placed an added accounting and reporting burden on taxpayers, especially small businesses and landlords," said CCH Principal Federal Tax Analyst Mark Luscombe, JD, LLM, CPA.
To access the CCH Tax Briefing, please visit www.CCHGroup.com/Legislation to access the full range of CCH's Special Briefings on significant tax law developments.