The Senate this week passed legislation (H.R.4) to repeal the expanded reporting requirement for IRS Form 1099. The bill now goes to President Obama for his signature. The expanded rules were added to the Senate’s version of the health care bill last year as a revenue-raising provision to produce an additional $19 billion. The provision required businesses to file a 1099 whenever they pay a vendor more than $600 in a single year. To pay for the repeal, lawmakers voted to impose new limits on the amounts required for repayment of advance premium assistance tax credits for health insurance. The President is expected to sign the measure.
