The Billups Company CPA's, Inc.

After a long break to finish out tax season we resume reporting on the tax provisions contained in the health care reform legislation, passed last month, with a brief update on the changes to 1099 reporting discussed in Part One.

A summary of the bill I read shortly after passage seemed to indicate that the scope of the type of payments that must be reported on Form 1099 was being greatly expanded. I was not sure that this was the case because I like to give even Congress the benefit of the doubt that they would not do something so incredibly unwise. I was wrong and vow to never underestimate the profound depth of their stupidity again.

Here is the Cato Institute’s summary of the Form 1099 changes – Costly IRS Mandate Slipped Into Health Bill.