And You Thought It Was JUST A Health Care Bill
1099s for everyone. Every company from which you buy over $600 per year... your PC supplier, the racking for your warehouse, software over $600.00, the sign for your building. Just about every piece of equipment you buy will require that you issue a 1099 starting in 2012. Better start installing a discipline to get all the required information about the entities from which you buy NOW. AND look for software that will AUTOMATICALLY report 1099s on purchases of this sort. I'm sure the business systems will program this in. But YOU will have to enter the information correctly or you're going to have a great big job overhauling your accounts payable contacts... even those from which you buy using a credit card.
Government Super snooping ability... and what do 1099s gone wild have to do with HEALTH CARE?
Aside from the cost of this to a business... and the fact that requiring a 1099 for just about everything a business buys HAS NOTHING TO DO WITH HEALTH CARE.... what really bothers me is the snooping ability the government will now have, and the opportunity to find reasons to audit you.
Anytime anyone asks you for information, you have to ask the question: What are they going to do with it?
If the government wants to know everything you buy and all services you buy it from by requiring a 1099 for just about everyone you buy things from, then they simply want to know everything you buy.
Let's think about what they can do with that.
- They can decide whether it's tax deductible or not without having to audit. All they have to do is look at what you reported, then they strike with the auditors
- They can track income of individuals that sold goods that may have been avoiding taxation.
- They can total up purchases over $600 (sales for the sellers) for everybody with an EIN (taxpayer number) and match it vs what you reported
- They can know everyone that bought guns and ammunition over $600
- They can know everyone that bought anything over $600.. security devices, anything...
Benny Bernanke is saying that we are facing an unprecedented period of "uncertainty". They see what is coming. They want your money in the banks, not in Gold so they can control it. Wake the heck up America. you want to know why bills are so long? So they can slip these little things in. Cause a crisis, write a bill under the guise of "protecting" us from the big financial institutions, but at the end of the day, what they did was make some behemoths too big to fail and look over your shoulder at all your credit card purchases. Is your freedom over? You be the judge. Read. Get the facts. Don't be afraid of admitting what you see. It could be dangerous to your financial health.
Don't know if you noticed, but our president promised no additional taxation for people that made less than $250K a year. They slipped the "fine" onto your 1040 if you don't have medical insurance... something like 1.5% of your taxable income if you failed to have or buy medical insurance.
Since many states are suing the government over the constitutionality of the Federal government requiring you to buy something (like health care insurance), the government is now calling it a "tax"... which they are legally allowed to do in order to avoid losing the case.
Transparency. No taxes for people making less than $250K. You will be able to keep your doctor if you like your doctor.
So much for that last one, too. Check this out.
http://www.nytimes.com/2010/07/18/business/18choice.html
What are we to believe if so much of what our government tells us turns out not to be true? The people that are supposed to look out for us are the people we must look out for.
Here's the language from the bill in case you're wondering.
SEC. 9006. EXPANSION OF INFORMATION REPORTING REQUIREMENTS.
(a) IN GENERAL.—Section 6041 of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsections:
"(h) APPLICATION TO CORPORATIONS.—Notwithstanding any regulation prescribed by the Secretary before the date of the enactment of this subsection, for purposes of this section the term ‘person’ includes any corporation that is not an organization exempt from tax under section 501(a).… …
(b) PAYMENTS FOR PROPERTY AND OTHER GROSS PROCEEDS.— Subsection (a) of section 6041 of the Internal Revenue Code of 1986 is amended—
(1) by inserting "amounts in consideration for property," after "wages,",
(2) by inserting "gross proceeds," after "emoluments, or other", and
(3) by inserting "gross proceeds," after "setting forth the amount of such".
(c) EFFECTIVE DATE.—The amendments made by this section shall apply to payments made after December 31, 2011.
After all the insertions, the amended Section 6041(a) of the Internal Revenue Code becomes (the inserted words are in bold):
(a) Payments of $600 or more
All persons engaged in a trade or business and making payment in the course of such trade or business to another person, of rent, salaries, wages, amounts in consideration for property, premiums, annuities, compensations, remunerations, emoluments, or other gross proceeds, fixed or determinable gains, profits, and income (other than payments to which section 6042(a)(1), 6044(a)(1), 6047(e), 6049(a), or 6050N(a) applies, and other than payments with respect to which a statement is required under the authority of section 6042(a)(2), 6044(a)(2), or 6045), of $600 or more in any taxable year, or, in the case of such payments made by the United States, the officers or employees of the United States having information as to such payments and required to make returns in regard thereto by the regulations hereinafter provided for, shall render a true and accurate return to the Secretary, under such regulations and in such form and manner and to such extent as may be prescribed by the Secretary, setting forth the amount of such gross proceeds, gains, profits, and income, and the name and address of the recipient of such payment.
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