This little gem was recently found in the the Health care bill. [ah, Section 9006]
…just a few lines buried in the 2,409-page document — mandates that beginning in 2012 all companies will have to issue 1099 tax forms not just to contract workers but to any individual or corporation from which they buy more than $600 in goods or services in a tax year.
Need further explanation?
…under the new rules, if a freelance designer buys a new iMac from the Apple Store, they’ll have to send Apple a 1099. A laundromat that buys soap each week from a local distributor will have to send the supplier a 1099 at the end of the year tallying up their purchases.
Does this mean the Chinese delivery guy will cut us off at $599 per calendar year? Because that’s a problem.