House Republican leadership is playing games with H.R. 4, which, as originally written, would eliminate 1099 reporting as imposed by Obama’s healthcare legislation.
Despite H.R. 4 passing the House by a wide margin, 314-112, Republican leadership altered the bill so that it probably will not be suitable to the Senate, according to Jim Babka who has made the repeal of 1099 reporting one of DownsizeDC’s projects. Babka believes the House Republican leadership knew that the Senate would oppose the changes, that they sabotaged their own bill.
As changed, the bill now calls for the need “to pay for the lost revenue” that 1099 reporting would have provided the Treasury in additional taxes as a result of 1099 reporting. Further, House Republican leadership does not seem to care how much it will cost American businesses to comply with 1099 reporting. They do not seem to care that the new 1099 reporting will shackle American businesses during this Great Recession.
Babka feels very strongly about what Congress is doing, asserting that each side wants to see this repeal bill fail so that they can blame the other side. If Babka is right, this means that our “leaders” are duplicitous liars. Could that be true?
Meanwhile, Senate Democrats have been obstructing the 1099 repeal since last year. They claim they want to “pay for” the 1099 repeal with spending cuts, but if that was really true they would just go ahead and make those cuts in a separate bill. Instead, they wring their hands and pretend to try to find a way to pay for the “lost” revenue.
Many readers may be discouraged about what is going on with the repeal of 1099 reporting, but they need to accept that it’s politics as usual in DC. Our so-called “leaders” will shaft us and blame the other party. We cannot let them get away will this. The repeal of 1099 reporting can still be achieved. It’s was never a “one and done” situation.
Our elected representatives need to hear from us so that they know that we know what’s going on with the repeal of 1099 reporting. They need to know that we’re following the issue closely. The NRA and other such organizations are extremely successful because their members constantly remind Congress that they know what’s going on. We need to do the same on the repeal of 1099 reporting. Our elected representatives will know that we are watching only if we contact them.
An easy way to contact our senators and our members of the House is via DownsizeDC’s Educate the Powerful System. After registering with DownsizeDC at no cost, you can click here any time to send emails on the repeal of 1099 reporting. (One email a day on a single subject to prevent abuse of the system.) I’ve been involved in politics my entire adult life, and DownsizeDC’s approach to hammering Capitol Hill on important issues is the best I’ve seen.
If 90% of the persons reading this joined DownsizeDC and sent emails, the Republican House leadership’s changes in H.R. 4 could be reversed. Act now. Congress fears an informed and activated electorate.
I think what you folks running businesses nationwide ought to do is band together through your local Chambers of Commerce or other venues and simply make up your minds that you’re not going to obey that provision. We are awfully close to needing another guns-and-bullets revolution in this country if we haven’t passed that threshold already.
I just registered with DownsizeDC and sent my first email. Thanks for pointing out that website, I wasn’t aware of it.
Obama repealed 1099 reporting today. You can read it here
It’s a Reuters’ release dated April 14, 2011 that reads (in part):
The law repeals a requirement in last year’s healthcare overhaul for businesses and landlords to file a Form 1099 document with the Internal Revenue Service for purchases of goods and services exceeding $600 a year.
See the release here: Obama signs healthcare tax repeal into law.
The title reads like Obamacare may have been repealed. It wasn’t. The 1099 reporting that was scheduled to come into effect January 1, 2012 was repealed.
We’ll probably hear a lot of politicians talking about how they “listen” when voters contact them about issues. Truth is there was such an uproar that they were afraid not to repeal the 1099 reporting. Whatever. Good riddance.