Putnam Supports Bill to Save Small Businesses from Extra Paperwork
Press Release
Congressman Adam Putnam (R-Fla.) is cosponsoring legislation to save small businesses from a mountain of extra paperwork that would be required under the new health care law.
"One of the many new burdens imposed by the new health care law is a requirement that businesses will have to file a 1099 Tax Form for all goods and services over $600 per year," said Putnam. "This includes phone service, internet, shipping, paper products. You name it. So as our economic recovery continues to struggle, the administration wants to heap another paperwork burden on the small businessperson."
The legislation, the Small Business Paperwork Mandate Elimination Act (HR 5141), introduced by U.S. Rep. Dan Lundgren (R-Calif.), will remove the section of the health care overhaul law (HR 3590) requiring the additional 1099 Tax Forms. The mandate is to take effect in 2012.
In a report to Congress this summer, the office of the National Taxpayer Advocate estimated the new requirement would affect " 26 million non-farm sole proprietorships, four million S corporations, two million C corporations, three million partnerships, two million farming businesses, one million charities and other tax-exempt organizations, and probably more than 100,000 federal, state, and local government entities "
"The burden of this paperwork requirement could be enormous," said Putnam. "And it would be especially heavy on smaller businesses which don't have the bookkeeping manpower to keep up with this new requirement. Small businesses are the job creators that will eventually pull us out of this recession. But they won't be able to if the federal government keeps finding new ways to burden them with unproductive requirements. Unfortunately, this is just one of what are undoubtedly many hidden landmines that were buried in the more than 900-page health care bill that will have an enormous impact on families and businesses."
Since 2001, Putnam has represented Florida's 12th Congressional District, which includes most of Polk County and portions of Hillsborough and Osceola counties.
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