Dear Business Friends,
It has been a non stop discussion in my CPA groups, but the new Health Care Reform Bill has created a new "Information Reporting" rule starting in 2012. This new rule requires you the employer to provide 1099's for EVERY product & service that you spend over $600 within the year.
The paperwork nightmare that this is going to create is scary. We have 18 months to make sure that our clients will not fall short with proper TIN #'s, Proper Company Names, Addresses....etc.
Oh, and did I forget the rumors of a new increase on failure to provide 1099? Well its been said it will increase from $50 to $100!!!
