PIA National Applauds House Vote to Repeal Expanded 1099 Reporting Requirement
WASHINGTON, March 3, 2011 /PRNewswire-USNewswire/ -- The National Association of Professional Insurance Agents (PIA) is applauding passage in the House of the Small Business Paperwork Mandate Elimination Act of 2011 (H.R. 4) that repeals the expanded 1099 reporting requirement contained in the health care law. The vote was 314-112.
"The overwhelming repeal vote in the House is a victory for all American businesses, especially small businesses which would face an overwhelming, onerous reporting and paperwork burden," said PIA National Director of Federal Affairs Mike Becker. "This 1099 provision was ill-conceived from the start, because it would bury small business under a mountain of needless paperwork and act as an impediment to economic recovery."
"With similar measures now having passed out of both the House and Senate, disparity still lingers as to how to recoup any potential loss of revenue," Becker said. "We strongly encourage House and Senate leaders to come to a resolution quickly, so America's small businesses can remove this uncertainty from their future and continue rebuilding our economy."
The 1099 provision, set to take effect in 2012, is part of the Patient Protection and Affordable Care Act (PPACA), passed in 2010. The provision would require businesses to file 1099 forms with the Internal Revenue Service any time they spend more than $600 a year with any other business. That requirement is a significant expansion of the current 1099 reporting requirement, which applies only to payments to unincorporated service providers.
PIA has conducted a nationwide public education and grassroots political action campaign among its members in support of the push to repeal the expanded 1099 reporting requirement. A broad coalition of groups has also advocated repeal, including the National Federation of Independent Business (NFIB).
Founded in 1931, PIA is a national trade association that represents member insurance agents and their employees who sell and service all kinds of insurance, but specialize in coverage of automobiles, homes and businesses. PIA members are Local Agents Serving Main Street America SM. PIA's web address is www.pianet.com.
This press release online at: http://www.pianet.com/NewsCenter/PressReleases/03-03-11.htm.
SOURCE National Association of Professional Insurance Agents