The U.S. Senate adopted an amendment last week repealing the new Form 1099 reporting requirements enacted as part of the health care law. The amendment, sponsored by Senator Debbie Stabenow (D-MI), was part of legislation reauthorizing the Federal Aviation Administration (FAA).

The amendment completely repeals the expanded 1099 reporting requirement in and pays for the repeal with unspent appropriated funds, or already appropriated money from various federal agencies, as directed by the Office of Management and Budget. The amendment passed 81-17 with unanimous Republican support and 34 Democrats voting in favor. 

 
“Today we provided a common-sense solution for business owners so they can focus on creating jobs, not filling out paperwork for the IRS,” Stabenow said after the vote. “Since last year, I have worked with my colleagues on both sides of the aisle to address this problem. If left unchecked, 40 million small businesses would see their IRS 1099 paperwork increase 2,000 percent.”

MSAE thanks Senator Stabenow for her leadership on this important issue. MSAE will visit with her on March 29 to thank her for this initiative. We had full support of this repeal from all members of the Michigan Congressional delegation last fall and are working to assure it is still in place even with the new delegates.

The issue now goes before House Republicans who have made the 1099 repeal one of their top priorities.