Post 50s Tell Startups What They Really Think About Tech
Daniel Saks: The Small Business Software Revolution
Business Owners Fear New Health Care Requirement
A little-known section of the new health care law will require businesses to file additional tax forms.
Posted 5/ 18 10 at 2:30 PM | News, Money, Management, Leadership, Home-based Business, Taxes & Accounting, Legal Issues, Health
Text Size:
A A AA little-known provision in the new health care law could bring big headaches for business owners.
Section 9006, which takes effect January 1, 2012, will require all U.S. companies to issue 1099 tax forms not just to contract workers, but to all companies and individuals they work with -- if the companies purchase more than $600 in goods or services from them. For example, if a business owner takes a company car to a mechanic for $1,000 in repairs, he or she would then have to send a 1099 to the mechanic.
The IRS estimates that the federal government loses more than $300 billion every year in tax revenue on income that goes unreported, and this new law is designed to plug that hole, CNN reports. Proponents of Section 9006 say that the measure is a way of ensuring more revenue will come in, without actually raising taxes. But critics fear that business owners and others will become buried in paperwork as a result.
Rep. Dan Lungren (R-Calif.) recently introduced legislation called the Small Business Paperwork Mandate Elimination Act, designed to repeal Section 9006.
Section 9006, which takes effect January 1, 2012, will require all U.S. companies to issue 1099 tax forms not just to contract workers, but to all companies and individuals they work with -- if the companies purchase more than $600 in goods or services from them. For example, if a business owner takes a company car to a mechanic for $1,000 in repairs, he or she would then have to send a 1099 to the mechanic.
The IRS estimates that the federal government loses more than $300 billion every year in tax revenue on income that goes unreported, and this new law is designed to plug that hole, CNN reports. Proponents of Section 9006 say that the measure is a way of ensuring more revenue will come in, without actually raising taxes. But critics fear that business owners and others will become buried in paperwork as a result.
Rep. Dan Lungren (R-Calif.) recently introduced legislation called the Small Business Paperwork Mandate Elimination Act, designed to repeal Section 9006.
Getty Images
- 'Marriage Penalty' Could Make Costly Return - CNNMoney
- Oil Rises on Optimism for Cliff Deal - FOXBusiness
- Dow 2012: The Studs and Duds - InvestorPlace
- Turning the Corner: Why 2012 Wasn't as Bad as You Think - The Motley Fool
- World’s Longest High-Speed Rail Line Unveiled In China - IBTimes
- FORGET THE DEFICIT: Here's The Real Reason Liberals Want To Hike Taxes On The Rich - Business Insider
- CEOs to Fire in 2013 - 24/7 Wall St.
- DailyFinance Market Minute - DailyFinance
Comments (Page 1 of 1)
these 1099 provisions have been around for years. The government burying small businesses in paper work is nothing new which is why most small businesses dont comply...out of sight out of mind.The Interfering Revenue Service does nothing for me but run up costs.
Just another example of the fedaral government grinding thier boot on the throat of small business!!!! There is now way my small business can survive another year of obamacare and this congress,,,I just squeaked by last year and it ain't gettin better!!
Green Sustainability = 400% Increase in Disposable Monthly Income - Resort Homes that are "All Inclusive" in terms of full healthcare access, resort amenities, organic foods, organic restaurant, health spa, massage, business amenities, internet, telephone, ocean views, river front, beach access, snorkeling, scuba, fishing, community sense of belonging. Everything offered herein is a combined "All Inclusive" package, and in my opinion quantifies thousands of years of material and social awakening NOW.
1) All Inclusive: http://www.vizzvox.com/stories/7Hi0XjMEC4pvo00fms?spp=0&sap=1&locale=en-US&ap=1&sis=1
2) Onsite Pictures: http://www.vizzvox.com/stories/7H5vVqw5rNNYb00fms?sap=1&spp=0&ap=1&sis=1&locale=en-US
3) Resort Areas: http://www.vizzvox.com/stories/7HpSmBv7zFDtz00fms?sis=1&sbteb=1&spp=0&sap=1&r=%2Fen-US%2Fstory%2Fedit%2F7HpSmBv7zFDtz00fms&locale=en-US&ap=1
4) Contact Us: http://www.cascadasdelmar.com/app/cms/www/index.php?id_menu=45
5) Radio Interview: http://www.blogtalkradio.com/christophervivace/2010/06/02/manifestation-of-affordable-living-has-arrived
6) Income earning program with up to $1,300,000 earnings for yourself, your family, or your favorite www.AllInclusiveSustainableResortHomes.com
7) All Inclusive Sustainable Living is a safeguard in the event of economic depression or collapse.