Senators Reed and Whitehouse Vote Against 1099 Relief
The United States Senate voted yesterday to repeal the section of the new Federal Healthcare Law that would have required businesses to file a separate 1099 form for every vendor from whom they purchase $600 or more in goods and/or services. (CNN has a good description of the scope of the 1099 provision, available here). The vote was lopsided, 81-17 in favor of the 1099 repeal — with both Rhode Island Senators Jack Reed and Sheldon Whitehouse voting against repeal.
Senators Reed and Whitehouse had voted in the previous Senate session in favor of the “Nelson Amendment”, which would have exempted businesses with 25 or fewer employees from the 1099 mandate (the National Federation of Independent Business has a description of the Nelson amendment [and its reasons for opposing it], available here), but once that threshold is crossed, it seems fair based on the voting record to describe Senators Reed and Whitehouse as supporting an expansion of the Federal paperwork and compliance costs imposed on businesses.