Expanded 1099 Reporting Requirements Repealed

On April 14, President Obama signed legislation repealing the expanded 1099 reporting requirements. Under the legislation that was passed last year within healthcare reform, organizations would have had to file a 1099 for every vendor whether incorporated or not for all payments over $600. This would have been a significant reporting burden. The rules for 1099 filing revert back to the old rules--you only need to file a 1099 for unincorporated businesses that provide you with services.