It’s great news that the U.S. Senate voted yesterday to remove a burdensome tax-related reporting requirement that could hit small businesses starting in 2012.
Shortly after the Affordable Care Act passed, we heard from small business owners who said that one provision of the new law – the expanded 1099 reporting requirement – would create too much of a paperwork burden when it went into effect in 2012.
The Administration immediately took steps to lower the future burden this might have, but as we continued to hear from small business owners like you, the President decided that the burden would simply be too great. That’s why we supported a proposal to relax the requirement in September and called for repeal of this provision in November.
We’ll continue to work with Congress to get the job done.
In the meantime, if you haven’t already, I encourage you to check out the new tax credits and other benefits of the Affordable Care Act that are already helping small business owners start or continue providing health insurance coverage. You can hear some of their stories here, here, here and here.