Welcome to City-Data.com Forum!
U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Economics > Business
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 06-08-2010, 08:59 PM
f_m f_m started this thread
 
2,289 posts, read 8,367,255 times
Reputation: 878

Advertisements

I was reading about this in another forum, and it appears that in the recently passed health care bill there is a requirement for businesses (and apparently self-employed) to start documenting transactions over $600 a year by 1099. Anyone looked at this yet?

Health care law's hidden tax change to launch 1099 avalanche - May. 5, 2010
Reply With Quote Quick reply to this message

 
Old 06-15-2010, 08:42 AM
 
Location: Boise, ID
1,356 posts, read 6,025,188 times
Reputation: 944
Wow. This will be a huge burden on small businesses. I'm surprised this hasn't been reported widely. Then again, maybe I shouldn't be surprised.

Just another onerous burden from the federal government. I guess the good thing is that the burden must get larger in order to wake up more and more Americans about how intrusive the government has come.

I have a small business with 23 employees. My company has created jobs this year. Small businesses should be celebrated for creating jobs, goods, services and tax revenue. Instead, I feel like we are targeted for regulations and tax increases. I am hoping to retire in my 40s (I am 39 now), not because I want to stop working but because I am tired of dealing with increasingly silly regulations. When I retire I will sell my company to someone but whatever talents I have at creating jobs and growing a company will be out of the economy. I can't be the only small business owner who feels this way. The cumulative effect on the economy will be significant.
Reply With Quote Quick reply to this message
 
Old 06-15-2010, 09:56 AM
 
Location: Boise, ID
1,356 posts, read 6,025,188 times
Reputation: 944
Oh, and here is another little surprise from the Health Care Bill:

How-the-new-wealth-taxes-will-hit-you: Personal Finance News from Yahoo! Finance (http://finance.yahoo.com/taxes/article/109773/How-the-new-wealth-taxes-will-hit-you?mod=taxes-advice_strategy - broken link)

At over 2000+ pages and rammed through so quickly that no one had time to read it - let alone analyze it - there are bound to be a number of more surprises!
Reply With Quote Quick reply to this message
 
Old 06-15-2010, 10:22 AM
 
28 posts, read 124,187 times
Reputation: 30
Quote:
Originally Posted by Niners fan View Post
Wow. This will be a huge burden on small businesses. I'm surprised this hasn't been reported widely. Then again, maybe I shouldn't be surprised..
How is it a huge burden? If a small business already has good accounting, then the only additional "burden" is obtaining W9s from more vendors and issuing a greater number of 1099s. Good records, which any successful business needs to have, will eliminate 95% of the burden.

It is not a new requirement, it just expands the existing requirements to include most if not all vendors.
Reply With Quote Quick reply to this message
 
Old 06-15-2010, 04:52 PM
 
Location: Spokane via Sydney,Australia
6,612 posts, read 12,837,211 times
Reputation: 3132
Well, it's good news for those of us employed in the nuts and bolts end of company accounting. Maybe this will mean more jobs in the long term.
Reply With Quote Quick reply to this message
 
Old 06-15-2010, 05:13 PM
 
Location: Boise, ID
1,356 posts, read 6,025,188 times
Reputation: 944
Quote:
Originally Posted by BE in HHI View Post
How is it a huge burden? If a small business already has good accounting, then the only additional "burden" is obtaining W9s from more vendors and issuing a greater number of 1099s. Good records, which any successful business needs to have, will eliminate 95% of the burden.

It is not a new requirement, it just expands the existing requirements to include most if not all vendors.
For businesses like mine that don't employ a full-time accountant it will mean hours of work gathering info and verifying transactions that we made. We had over 3100 transactions last year that would be subject to verification. Or paying someone else to do it. Sure, that might create work for someone but that money would be better spent on someone who would help my company grow.

It's just another barrier to entry for small businesses.
Reply With Quote Quick reply to this message
 
Old 06-15-2010, 05:15 PM
 
Location: Spokane via Sydney,Australia
6,612 posts, read 12,837,211 times
Reputation: 3132
Quote:
Originally Posted by Niners fan View Post
For businesses like mine that don't employ a full-time accountant it will mean hours of work gathering info and verifying transactions that we made. We had over 3100 transactions last year that would be subject to verification. Or paying someone else to do it. Sure, that might create work for someone but that money would be better spent on someone who would help my company grow.

It's just another barrier to entry for small businesses.
It's this attitude that frosts my a$$ - okay accounting personnel are an expense, but without good ones you may not HAVE a business to "grow".

Accurate and timely information is key to running a successful business, IMHO.
Reply With Quote Quick reply to this message
 
Old 06-15-2010, 05:26 PM
 
Location: Boise, ID
1,356 posts, read 6,025,188 times
Reputation: 944
Quote:
Originally Posted by Opyelie View Post
It's this attitude that frosts my a$$ - okay accounting personnel are an expense, but without good ones you may not HAVE a business to "grow".

Accurate and timely information is key to running a successful business, IMHO.
No offense intended, Opyelie. I was either unclear or you took me out of context. Good accountants are worth good money. But the more needlessly complex the tax code is the more I have to spend money on something that should need to cost me so much money. Furthermore, my company is not large enough for a full-time accountant so this will definitely be an added expense for me.
Reply With Quote Quick reply to this message
 
Old 06-15-2010, 05:37 PM
 
Location: AZ
2,096 posts, read 3,807,922 times
Reputation: 3749
Quote:
Originally Posted by BE in HHI View Post
How is it a huge burden? If a small business already has good accounting, then the only additional "burden" is obtaining W9s from more vendors and issuing a greater number of 1099s. Good records, which any successful business needs to have, will eliminate 95% of the burden.

It is not a new requirement, it just expands the existing requirements to include most if not all vendors.

Because most SMALL businesses don't have a full time accountant on hand.I see mine once a year and I keep very good records but this will just add more time for me to keep track of all these and probably cost me more money for my accountant to process these too. Most small businesses are barely making it right now,we don't need the added time or expense with this BS!

You're wrong in saying this is not a new requirement because it is. Right now I'm only obligated to send out 1099's to PEOPLE who sub contract off me for actually doing work,not my vendors where I purchase materials. To avoid doing extra paper work and adding expenses I will now cut out the smaller ones and just deal with less vendors. Great job Obama!!
Reply With Quote Quick reply to this message
 
Old 06-15-2010, 07:04 PM
 
Location: Spokane via Sydney,Australia
6,612 posts, read 12,837,211 times
Reputation: 3132
You don't need an accountant to keep track of 1099 vendors - just a decent bookkeeper and a decently setup AP in your software. Just sayin'
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Economics > Business

All times are GMT -6. The time now is 04:42 PM.

© 2005-2024, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Contact Us - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37 - Top