Repeal of Form 1099 expansion heads to Obama

The U.S. Senate voted 87-12 Tuesday to repeal the much-criticized law dramatically expanding the volume of 1099 forms that businesses have to send their customers. Approved earlier by the House, the bill goes to President Obama, who has indicated he will sign it even though it amounts to a big cut in the subsidies of his 2010 healthcare overhaul. The move is a victory for business interests, who had said the expansion intended to help pay for last year's healthcare reform law was too burdensome and costly. Significantly, the bill also repeals a less controversial expansion, contained in last September's Small Business Jobs Act, that expanded the 1099 reporting of taxpayers who own rental properties but aren't real estate professionals.