- Education, Insurance
Crisis (Almost) Averted
You might not be aware of a little-known provision of the healthcare reform legislation, but it could spell (administrative) trouble for you unless it’s repealed. Basically, if you pay any person or corporation more than $600 in a year for goods or services, you would be required to report that to both the IRS and the entity/person whom you paid. So, if you’re a photographer who buys a new camera for $1000, you would have to report that on your income tax returns and issue a 1099 to the company from which you made the purchase. Sounds messy, doesn’t it? Democrats and Republicans can’t agree on much when it comes to health reform, but they both agree that this provision puts an unnecessary burden on you. President Obama even mentioned it in his State of the Union address last week. Luckily, the Senate just passed legislation to repeal this provision, and our fingers are crossed that the House will soon follow suit.