Tuesday, May 25, 2010

Massive new tax record keeping requirements in Obamacare

You might have thought Obamacare was just about reducing the quality of healthcare, but there was another hidden benefit in this monstrosity:

"The massive expansion of requirements for businesses to file 1099 tax forms that was hidden in the 2,409-page health reform bill took many by surprise when it came to light last month. But it's just one piece of a years-long legislative stealth campaign to create ways for the federal government to track down unreported income.

The result: A blizzard of new tax forms that the Internal Revenue Service will begin rolling out next year...

In essence, the 1099-Misc is having its role changed from a form for tracking off-payroll employment to one that must accompany virtually any sizeable business transaction.

'Just with business travel it would include hotels, rental cars,' Henschke says. 'Phone service: 1099. Computer service: 1099. Whoever does your postage meter: 1099. You do a little advertising, Yellow Pages: 1099. Your landlord: 1099. You might as well just keep them in your pocket and hand them out as you go around every day.'"

Remember when Nancy Pelosi said "Pass the bill so you can find out what's in it"? Just another step on the road to monster government.

No comments: