The House Ways and Means Committee has posted more analyses of two 1099 reporting fix bills, H.R. 4 and H.R. 705.
The original version of H.R. 4, a 1099 fix bill introduced Jan. 12 by Rep. Daniel Lungren, R-Calif., has 272 cosponsors and would simply repeal Section 9006 of the Patient Protection and Affordable Care Act (PPACA), a component of the Affordable Care Act package.
H.R. 705, a bill introduced Tuesday by Ways and Means Chairman Dave Camp, R-Mich., would cancel the effects of PPACA Section 9006 by changing Section 6041 of the Internal Revenue Code, to eliminate the effects of an expanded real estate expense reporting requirement that was included in another new law, and impose a tougher health insurance purchase subsidy clawback provision.
Starting in 2012, PPACA Section 9006 is supposed to require a business to send a Form 1099 to the Internal Revenue Service (IRS) for each vendor with whom the business conducts more than $600 of business in a given tax year.
Ways and Means did not yet have a bill number when it first posted the Camp bill Wednesday. Ways and Means now has posted the bill number of H.R. 705 and also posted an amended version of the bill that would make the clawback change effective for taxable years ending after Dec. 31, 2013.
Camp also has offered an amended version of H.R. 4 that would cancel the effects of PPACA Section 9006 by changing Internal Revenue Code Section 6041 rather than repealing PPACA Section 9006.