Section 9006 of the Affordable Care and Patient Protection Act instituted new reporting requirements for Form 1099, to go into effect after this year. They require Form 1099 be filed for all payments of $600 or more made to corporations. This aspect of the ACPPA has received heavy criticism since the act was first passed. Now it seems the new requirements may be repealed before they ever go into effect.
Last Thursday the Senate passed, by a margin of 87 to 8, the FAA Air Modernization and Safety Improvement Act. Attached to that bill is an amendment from Senator Debbie Stabenow (D-MI) that would completely repeal Sec. 9006 of the ACPPA. The bill now goes on to the House where it will likely find support, and then onto the President’s desk. If made into law the bill apply to the Internal Revenue Code as if Sec. 9006 of the ACPPA had never been enacted.
For more information on 1099 reporting requirements or other tax concerns, contact the Illinois tax attorneys at Horowitz & Weinstein.