Free Markets, Free People

Dale Franks

Dale Franks’ QandO posts

Who loves ya, small business?

Well despite all their talk, it isn’t the Democrats. Speaking of the "party of no"Yesterday they killed an amendment offered by Sen. Mike Johanns (R-Neb.) that would have dropped the requirement for increased 1099s issued by business thereby saying "no" to saving huge compliance costs for small businesses.

Johanns said Section 9006 of the ObamaCare bill, requires a "2,000 percent increase" in mandatory filings of 1099 tax forms for businesses, charities, state and local governments, and even churches.

That means that in 2012:

…all organizations will be mandated to issue 1099 tax forms not only to contracted workers, but to any other group or business from which they purchase at least $600 worth of goods or services in a given year. They’ll also be required to send a copy of each 1099 document to the IRS. Johanns called the entire process "punishing" to businesses and cited a July report from the IRS’ independent taxpayer watchdog arm warning that Section 9006 "may impose significant burdens" that it labeled "disproportionate" and perhaps unenforceable.

Also killed was a proposal by Sen. Bill Nelson (D-Fla.), which would have raised the minimum annual threshold for 1099 requirements from $600 to $5000, and would have exempted businesses with 24 or fewer employees. 

Now, just sit back and imagine the compliance cost this will require.  If you ever wanted an example of why businesses have no confidence in government, this should help you with that understanding.  This is as much an unfunded mandate as any.  And it will have businesses wondering if they want to spend the money if they have to report just about everything they do via 1099. 

As usual, a duplicitous White House is involved as Guy Benson reports:

Johanns was especially critical of the White House’s role in torpedoing his amendment. Yesterday afternoon, he told Townhall.com that the president’s stated support for repealing Section 9006 was a bluff. "The White House is panicking. They know it’s a disaster, and they wanted to send a signal that they’d cede ground knowing full well my amendment and [Nelson's] wouldn’t pass," he said.

So as you sit in your office at 9pm filling out 1099s or paying someone else overtime to do it, remember who brought you the onerous and costly task.  Then do what you must.

~McQ

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Observations: The QandO Podcast for 12 Sep 10

In this podcast, Bruce, Michael, and Dale discuss Fidel Castro’s reported admission that Cuban economic system doesn’t work, and whether the upcoming election is a mandate for the Republicans, or something else entirely.

The direct link to the podcast can be found here.

Observations

As a reminder, if you are an iTunes user, don’t forget to subscribe to the QandO podcast, Observations, through iTunes. For those of you who don’t have iTunes, you can subscribe at Podcast Alley. And, of course, for you newsreader subscriber types, our podcast RSS Feed is here. For podcasts from 2005 to 2009, they can be accessed through the RSS Archive Feed.

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Observations: The Qando Podcast for 22 Aug 10

In this podcast, Bruce, Michael, and Dale discuss ICE and Illegal immigration, The end of OIF in Iraq, and the upcoming election.

The direct link to the podcast can be found here.

Observations

As a reminder, if you are an iTunes user, don’t forget to subscribe to the QandO podcast, Observations, through iTunes. For those of you who don’t have iTunes, you can subscribe at Podcast Alley. And, of course, for you newsreader subscriber types, our podcast RSS Feed is here. For podcasts from 2005 to 2009, they can be accessed through the RSS Archive Feed.

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Dale’s Observations For 2010-08-16

Moto Forza in Escondido has a brand new Ducati Multistrada 1200 S waiting for me to take out for a test ride. More will definitely follow… #

RT @dmataconis: Strip clubs…as close to Ground Zero as that proposed Mosque.| Now, that's what I call "Twin Towers"! #

Justice Department: Tom Delay will walk. http://bit.ly/cvHTnk #

This may be the most trite, inane, and pointless op/ed piece I've ever read. http://bit.ly/bw2eEU #

Treasurys Rise On Economic Angst; 10-Year Yield Touches 2.579%. http://bit.ly/chG9s1 #

Obama's Friday statement on the Ground 0 mosque made it a national issue. That's what you call an unforced error. http://bit.ly/dsdA8l #

The two major political philosophies of this country are fundamentally incompatible. Hence talk of secession. http://bit.ly/9RSiy6 #

Observations: The Qando Podcast for 16 Aug 10

In this podcast, Bruce, Michael, and Dale discuss the troubling nature of Turkey’s re-alignment away from the West, and President Obama’s statements about the “Ground Zero” mosque.

The direct link to the podcast can be found here.

Observations

As a reminder, if you are an iTunes user, don’t forget to subscribe to the QandO podcast, Observations, through iTunes. For those of you who don’t have iTunes, you can subscribe at Podcast Alley. And, of course, for you newsreader subscriber types, our podcast RSS Feed is here. For podcasts from 2005 to 2009, they can be accessed through the RSS Archive Feed.

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Dale’s Observations For 2010-08-13

SC's Alvin Greene indicted for showing porn to a coed. When I was in college, we didn't have today's access to porn. So, we just had sex. #

RT @mattklewis: Can't be good for Linda McMahon that an ex-WWE star died of heart failure at age 29.| Or that the rest die before 50. #

Iran says the Bushehr nuclear reactor will go live 21 Aug. Isn't it great to see Iran turning away from carbon usage? http://bbc.in/acoRPC #

Retail Sales Tepid, Inflation at 40-Year Low. http://bit.ly/c1wc2G #

I've always hated Oracle, both the technology and the company. Things like this is why. Legal extortion. http://bit.ly/bnoN6d #