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View Diary: Senate votes on Affordable Care Act repeal: Rejects it (117 comments)

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  •  So is Stabenow the 1099 fix that passes? (1+ / 0-)
    Recommended by:
    ipsos

    This bill needs one..

    Then Repeal can be down and we wait on Kennedy..

    Hence another problem with this bill.. No Severability, No Single Payer
    No Public Option.

    And Maybe, due to the LACK of the above, Nothing..

    •  I think it will be (5+ / 0-)
      Recommended by:
      ipsos, filby, Lujane, TofG, arpear

      the funding mechanism will likely be more palatable. Levin/Inouye used an oil and gas tax offset, and the Stabenow amendment uses unspent discretionary funds offset, (exempting DoD, VA and Social Security).

      When it becomes "uncivil" to call out liars, lying becomes free. -- Rick Perlstein

      by Joan McCarter on Wed Feb 02, 2011 at 02:50:28 PM PST

      [ Parent ]

      •  I hope it passes. As a small business owner (2+ / 0-)
        Recommended by:
        greenchiledem, Losty

        the 1099 requirement as passed originally would be a real headache for me.  I would have to send out a 1099 to EVERY person, business or other entity (even Republicans!) to whom we paid more than $600 in a year.  To our landlord, to Verizon, to every one of our supplies (we sell bicycles and have lots of suppliers), to anybody from whom we buy used bikes totalling $600 or more in a year.   To the local bicycle clubs in whose newsletters we advertise.  UPS. And so on.  I think the government figures each 1099 will take about a half hour total time in gathering the figures and filling them out, not to mention the cost of all the postage.

        This really hits small businesses hardest, as the large corporations are already set up to send out 1099s by computer.

        I'd actually prefer to add a couple thousand much needed dollars to my tax bill rather than go through all that.

        •  It passed (4+ / 0-)
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          Goobergunch, greenchiledem, Lujane, TofG

          but will be a while before it's enacted, since they've still got to pass the full bill, get it to the House, etc.

          But, one way or another, they'll get rid of it.

          When it becomes "uncivil" to call out liars, lying becomes free. -- Rick Perlstein

          by Joan McCarter on Wed Feb 02, 2011 at 03:27:10 PM PST

          [ Parent ]

        •  Agreed. But we do have the IRS 1099 requirement. (1+ / 0-)
          Recommended by:
          Lujane

          My CPA instructed us to send 1099's this year (for $600 or more vendors) to avoid new IRS fines if its not done.  So I had a preview of the ACA provision and found out that my vendor files are outdated and not in order for 1099's.  I had to have someone go through all the potential 1099 vendors and check on their 1099 status.  Those that we id'd as not corporations, will be sent a W-9 form and request their information.  Since we have been in business for over 20 years, we have a lot of outdated data in our files.  Now we are using computerized accounting software that can run the 1099's once the data is entered.  But getting our files in order is a costly chore.  

          So I'm glad the 1099 provision of the ACA is repealed only because I don't want business owners to blame ACA for the requirement.  According to our CPA, we are still required to do the reporting or face steep fines.   I would much rather have the blame go to the IRS than ACA and by default, President Obama.  

          But do note small businesses - 1099's are going to be part of our life regardless.  According to our advisors.

          My lesson learned while trying to comply with this year-end task, get a W-9 for all vendors.  I will have the rest of the year to get updates for any new and remaining vendors.

        •  My comment below doesn't (1+ / 0-)
          Recommended by:
          Lujane

          account for the EVERY vendor over $600 provision.  The IRS rule is any non-corporations. So that does save a lot of time and costs.

          •  That's what I learned when I complained to (2+ / 0-)
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            shrike, greenchiledem

            my accountant, too.  So I've got to send some 1099s under current law, which I've never done, but the requirement under ACA is onerous.  I'm in the same boat as you - one of our stores has been open 31 years and the other 20 years and my accounting software is about 10 years old since I got fed up with paying the upgrade fees every year.

            I agree with your point about blaming the IRS vs. Obama and the ACA.  I'm very happy with the other provisions of the ACA as far as the effects on our business so far.

        •  Actually (1+ / 0-)
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          Lujane

          We're set up to send them out by computer, but it's still a huge and arduous process.  I have to manually go trough everyone's file that is getting a 1099 and remove all their expenses.  Also, even though the system generates them, there's always a few people who don't show up because I mistyped something originally or I forgot to enter their tax ID.  Basically, I have to generate a list of everyone we paid and manually go through it to make sure everyone who should be getting a 1099 is getting one.  I'm sure there are some larger corporations that have better systems at doing this but I suspect that it would be a huge pain in the ass for almost every accounting department, big or small.

          I'm all for generating extra tax revenue but I'm glad to see provision go.

    •  Yeah, passing with (2+ / 0-)
      Recommended by:
      greenchiledem, Losty

      flying colors.

      When it becomes "uncivil" to call out liars, lying becomes free. -- Rick Perlstein

      by Joan McCarter on Wed Feb 02, 2011 at 02:53:33 PM PST

      [ Parent ]

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