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MJ DeMarco
I followed the science; all I found was money.
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Although this links to a political blog, keep the conversation down to the FACTS which is utterly disturbing for anyone that runs a thriving business.
http://www.saveyourrights.com/gover...d-all-business-transactions-in-excess-of-600/
In the Obamacare legislation is a new small business mandate that requires all businesses who spend more than $600 with any vendor to exchange 1099's. In other words, lets burden small business owners with mountains of paperwork.
This "provision" is now being exposed and hopefully will face a fight before implementation.
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While I understand this is to prevent loopholes and fictitious deductions, this amounts to not hours of research, BUT WEEKS.
On the flipside, if this provision becomes reality, there will be a GREAT OPPORTUNITY to create some type of accounting/software program that automates this process ... if this mountainous expedition of paperwork is done manually, you are looking at weeks of productivity down the drain. So while we all should bitch about this provision and try to prevent its reality, it creates an opportunity because thru inefficiency, opportunity is created.
http://www.saveyourrights.com/gover...d-all-business-transactions-in-excess-of-600/
In the Obamacare legislation is a new small business mandate that requires all businesses who spend more than $600 with any vendor to exchange 1099's. In other words, lets burden small business owners with mountains of paperwork.
This "provision" is now being exposed and hopefully will face a fight before implementation.
.
.
.
.
.
In practical terms, here is what the new law means. Joe’s Plumbing prints up 100 color presentations at FedEx Kinko’s for a trade show in New Orleans, where they are staying at a Holiday Inn for six days.
At a minimum, Joe’s Plumbing will have to contact FedEx Kinko’s, the airline, Holiday Inn, the rental car company, and the organization sponsoring the trade show and get taxpayer identification numbers from them so they can comply with this tax law. The company will then have to send out 1099 forms to each of these vendors and dozens, hundreds or thousands more vendors, depending upon the size of the company, thus adding significant compliance costs to every business in America. Everyone from a company’s accountant, to building supplier, to carpet cleaner to janitorial service will be trading 1099 forms.
Yes, that’s right, trading 1099 forms, because at the same time, Joe’s Plumbing will also be receiving 1099 forms from every one of their business customers who spent more than $600 with them over the course of the year, which they will be required to keep and reconcile against their books.
While I understand this is to prevent loopholes and fictitious deductions, this amounts to not hours of research, BUT WEEKS.
On the flipside, if this provision becomes reality, there will be a GREAT OPPORTUNITY to create some type of accounting/software program that automates this process ... if this mountainous expedition of paperwork is done manually, you are looking at weeks of productivity down the drain. So while we all should bitch about this provision and try to prevent its reality, it creates an opportunity because thru inefficiency, opportunity is created.
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