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Johanns: Form 1099 will be gone

Release Date: 
Monday, December 13, 2010

 Nebraska senator Mike Johanns says U.S. Congress will repeal a controversial requirement that all businesses file 1099 forms with the IRS for sales above $600, according to published reports.

Under one piece of the Patient Protection and Affordable Care Act, businesses will have to fill out a 1099 form every time they pay more than $600 to another party

  While all businesses are adversely affected
by this onerous reporting requirement, business dealing with precious metals
may feel the impact disproportionately since the sale of a single ounce of gold
would trigger the reporting requirements.

"When we started out, the response of the folks on the other side of the aisle - my colleagues on the Democratic side - was kind of along the lines of, 'well, we'll tweak it here, and we'll tweak it there, and that will be good,'" the former Agriculture Secretary told Kitco News. "Businesses all across the country weighed in and said that is not good and this is still going to be a terribly onerous paperwork requirement for no purpose."

He expressed surprised about finding support for eliminating the paperwork requirement in the political setting of the U.S. Congress.

"I think everybody is in agreement really, which is amazing around here, that it should just be outright appealed," Johanns said.

This news article is independently provided by Brafton and does not represent the views or opinions of Goldline International, Inc. Although the information in this news alert has been obtained from sources believed to be reliable, Goldline does not guar­antee its accuracy and such information may be incomplete or condensed. The opinions expressed are subject to change without notice.

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†This material has been prepared for private use. Although the information in this commentary has been obtained from sources believed to be reliable, Goldline does not guarantee its accuracy and such information may be incomplete or condensed. The opinions expressed are subject to change without notice.

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