1099 Tax Forms Hell: New IRS Mandate For Your Business

If the socialized medicine wasn’t enough of a kick in the teeth for entrepreneurs, just wait until you get to file IRS 1099 tax forms all of the time.

Yes, that’s right. Obamacare amended the Internal Revenue Code ( IRC 6041 ) for biz deals absolutely unrelated to health care.

The new law will require getting info from your vendors of goods and services you pay more than 600 bucks in a year and issuing IRS 1099 forms to them plus reporting the payments to the IRS.

This ridiculous expansion appears to cover biz computer purchases, paying freelancers to do web design, and a million other things small business owners pay for online and offline.

Don’t just take my word for it. You can Google the issue. Or, if  you want a great summary of it, check out Chris Edwards’ blog post Costly IRS Mandate Slipped into Health Bill.

Be sure to huddle with your business lawyer and accountant to minimize your tax burden…and vote to throw the bums out of office who passed this piece of garbage into law. Remember that the IRS had nothing to do with this travesty. It got dumped on the agency by Congress and the President.

Author Mike Young, Esq.

Mike Young has been practicing business and technology law since 1994 and is an angel investor in startups. He's been an entrepreneur since 1988. To get legal help from Attorney Young, click here now or call 214-546-4247 to schedule a phone consultation.

More posts by Mike Young, Esq.