Dear Bubbas and Bubbettes,
Among the myriad bits of junk that were inserted into the more than two thousands of pages of the “health care” act last year, there was one particularly bizarre financial transaction report filing provision that had no direct relevance to health at all, except perhaps as an innovative provocation for high blood pressure.
Now, for once, there seems to be some very positive news coming out of Washington as far as overseas Americans are concerned. As the following story indicates, there may be hope that the 112th Congress will soon “repeal the 1099 requirement to file tax forms for transactions worth $600 or more each year with a company.”
This could be very helpful for those of us who live abroad who also risked being inundated with yet another ton of nonsensical report filing requirements with related fluctuating exchange rates, etc, etc.
As this initiative has arisen this time in the Senate, with support apparently from both sides of the aisle, there is much to hope that it could then also easily pass in the House. Most promising too is that apparently “President Obama also supports repealing the provision, something he reiterated in his State of the Union address last week.”
Perhaps some bipartisan sanity is indeed returning to that benighted City Upon a Hill. And a few of the crumbs falling off the table will, for once, be beneficial to us too.
Cross your fingers, enjoy and take care, Andy
SENATE MOVES CLOSER TO DEAL REPEALING 1099 PROVISION IN HEALTHCARE LAW
By Pete Kasperowicz, The Hill, 1 February 2011.
The Senate this week seems closer than ever to approving a repeal of the widely opposed 1099 language in last year's healthcare law, with Democrats and Republicans prepared to support nearly identical repeal language.
Sen. Mike Johanns (R-Neb.) re-introduced repeal language this week as an amendment to the Federal Aviation Administration (FAA) authorization bill. His amendment would repeal the 1099 requirement to file tax forms for transactions worth $600 or more each year with a company, and ask the Office of Management and Budget to rescind $39 billion in discretionary funds in order to offset the cost of repeal.
Several Democrats opposed this language in a vote last November, although it still received 61 votes and only failed because a two-thirds vote was required. It was also more popular than Democratic language that did not include any offset.
This time around, Senate Democrats are putting up a 1099 repeal amendment as an alternative to a Republican proposal to tack a healthcare repeal amendment onto the FAA bill.
Earlier on Tuesday, and at the instruction of Senate Majority Leader Harry Reid (D-Nev.), Sen. Debbie Stabenow (D-Mich.) proposed 1099 repeal language that is nearly identical to the Johanns language. The Johanns bill exempts the departments of Defense and Veterans' Affairs from being cut in order to offset the $39 billion, and the Stabenow amendment adds just a few words to also exempt the Social Security Administration from cuts.
An aide to Johanns said today it was still unclear this evening whether the Senate will be able to vote on both proposals on the floor this week. However, he also said that Johanns never intended to expose SSA to cuts, a sign that Johanns could support the Stabenow language. He also added that if given the choice between repealing 1099 and not repealing it, Johanns would vote to repeal it.
President Obama also supports repealing the provision, something he reiterated in his State of the Union address last week.