Senate Fails to Repeal 1099 Provision of the Obamacare Law: Business Will be Required to 1099 Purchases of $600 Or More

There is a part of Obamacare that will give the IRS more eyes on how small businesses and corporations are run. It will also increase accounting costs for these businesses.

Yesterday the Senate moved forward to push the provision of Obamcare that requires businesses to 1099 any company from which they purchase $600 or more from. What this has to do with your healthcare is beyond me, but it definitely is more intrusive government.

Anytime a business purchases $600 or more from anyone company in a given year, they will be forced to issue a 1099 to that business and the IRS, and the Senate failed to repeal this provision yesterday.

Susan Eckerly, senior vice president of the National Federation of Independent Business, America’s leading small business association, issued the following statement on today’s Senate votes to fully repeal the 1099 provision in the healthcare law:

“Today’s votes are disappointing and, unfortunately, leave small business with continued uncertainty in an already challenging economic environment. We have bipartisan support for full repeal of the 1099 provision, it's time to put politics aside and get this done for small business.

“Small businesses don't operate in a world of 67 votes, they simply need certainty that new taxes and paperwork burdens will be eliminated. By not fully repealing the 1099 provision, it leaves small businesses with little confidence that Washington is able address the most important problems facing them.

“Fully repealing 1099 is too important to small business and we hope Congress will find the way to finally get it done.”

Given the falling value of the dollar, businesses are going be writing up a lot of 1099s. This is crazy, and will only drive up costs for small business owners. It has nothing to do with healthcare. Of course, did Obamacare really ever? Of course not, it was a mask for more federal power.