Today, U.S. Representative Diane Black (R-TN), member of the Ways and Means Committee, hailed passage of H.R. 4, the repeal of 1099 tax reporting provisions of the health care law. The bill passed the House today by a vote of 314-112.“Passage of this 1099 repeal bill is a victory for common-sense and a sign that this Congress can get government working for the people again,” said Black. “1099 would have buried America’s small businesses in paperwork, taking away precious time and resources that should be used to hire and grow their business. Repealing this provision has been a priority of mine ever since ObamaCare was passed last spring. Serving on the Ways and Means Committee gave me the chance to join in crafting the solution from its beginnings in Committee to today’s passage.”
In order to pay for the health care law passed last spring, Democrats included additional tax reporting requirements for a majority of business payments over $600 per year. According to the National Federation of Independent Business (NFIB) this newly enacted reporting requirement will have a “direct negative impact on small businesses,” and more than 170 small business organizations throughout the employer community have called for its repeal. H.R. 4 would repeal this massive paperwork burden on small businesses, and is the first bill passed out of the Ways and Means Committee in the 112th Congress.
Multiple groups have come forward to support 1099 repeal, including Americans for Tax Reform and the National Federation of Independent Businesses.
“NFIB commends Congressman Black for standing up for small business and voting to repeal the 1099 provision in the healthcare law. Repealing the expanded 1099 reporting requirements is a must-do if we are to help save small businesses from this mountain of paperwork,” said Dan Danner, president and CEO of the National Federation of Independent Business.
“I’m thrilled that we were not only able to get this passed in the House so quickly, but that we were able to pay for the fix by eliminating waste and fraud in the health care law,” said Black. “Not only that, the bill we passed today is estimated to reduce the deficit by $166 million over the next ten years, while reducing federal spending by nearly $20billion over ten years. Passage of this bill is a huge victory for taxpayers and small businesses across the country, and it’s just the start. I remain committed to getting government out of the way, so businesses can grow our economy, and America can prosper again.”
