Quote:
Originally Posted by Mustang
Stealth IRS campaign mandates millions of new 1099 tax forms - May. 21, 2010
The main piece -
tarting in 2012, that changes. All business payments or purchases that exceed $600 in a calendar year will need to be accompanied by a 1099 filing. That means obtaining the taxpayer ID number of the individual or corporation you're making the payment to -- even if it's a giant retailer like Staples or Best Buy -- at the time of the transaction, or else facing IRS penalties.
As a small business owner, I can't even wrap my head around this. For 2009, this would have resulted in me issuing around 35 1099's. Walmart, Office Max, USPS, U-line plus a host of private individuals (which I have no idea how in the world someone is just going to hand over their SSN to me so I can issue them a 1099)
On a basic level, I see what they are doing, but the pure admin headache this will cause... good lord.
|
Well, time to talk to the accountant, this will be a headache for my online biz...Yahoo, MSN, Google, 7 search, The company I work for, my suppliers wow...some of my contract artists I have hired and even some of my friends I have paid for marketing.....not looking like it's going to be fun.