WASHINGTON, D.C. – Winslow Sargeant, SBA’s Chief Counsel for Advocacy applauded the repeal of the expanded Form 1099 reporting requirement signed by President Obama yesterday.
“The repeal of the 1099 reporting requirement is a victory for small business,” said Chief Counsel for Advocacy Winslow Sargeant. “This requirement would have placed an additional burden on small business at a time when they already pay 36 percent more than their larger counterparts to comply with federal regulations.”
Sargeant called for repeal of the 1099 requirement while testifying before the Senate Small Business and Entrepreneurship Committee in November 2010, at a hearing focused on reducing the regulatory and administrative burdens on America’s small businesses.
Under the reporting requirement, that was set to begin in 2012, all companies would have been required to issue a Form 1099 to any individual or corporation from which they purchased more than $600 in goods or services in a tax year. The expanded reporting requirement would have resulted in an unnecessary and unfair burden for small businesses.
The Office of Advocacy of the U.S. Small Business Administration (SBA) is an independent voice for small business within the federal government. The presidentially appointed Chief Counsel for Advocacy advances the views, concerns, and interests of small business before Congress, the White House, federal agencies, federal courts, and state policymakers. For more information, visit www.sba.gov/advo, or call (202) 205-6533.