An insurance broker who issued a Form 1099
to a payee who never cashed the check for the payment reported on the form did not commit tax fraud, the Seventh Circuit held, reversing a decision by an Illinois federal district court.
Announced in 2009, as part of the enactment of the Housing Assistance Tax Act of 2008, Form 1099
used for reporting payment card and third-party payment transactions to the IRS.
FIXER legislation was " introduced in the Senate earlier this month, according to Sen.
Jeanne Shaheen is part of a bipartisan group of six senators who have introduced a bill to repeal the controversial expansion of the Form 1099
reporting requirement due to take effect in January 2012.
One small business employing under five people told GAO of possibly spending 3 to 5 hours per year filing Form 1099
information returns manually, using an accounting package to gather the information.
Congress may consider several other tax measures related to the estate tax, marginal rates and capital gains and dividends rates during this time, and it's possible that language repealing the form 1099
reporting requirements could be included in one of these tax bills.
More than 550 association and nonprofit professionals added their names to ASAE's sign-on letter calling for repeal of new Form 1099
Efforts are continuing in an effort to ease some of the new Internal Revenue Service Form 1099
information reporting rules put in place by the health care reform law.
17 Web cast of Tax Talk Today, a panel of Internal Revenue Service officials and tax experts discussed the new Form 944 and provided reminders and tips for tax practitioners dealing with Form 1099
as well as employment taxes in general.
Failure to accurately report amounts on Form 1099
to the correct individual could result in penalties under the Internal Revenue Code.
Under the old law the agent did not have to file a Form 1099
for these payments, because they were done only upon the direction of the client.
Taxpayers also would win the right to sue anyone filing a false information return, such as a Form 1099
or Form W-2.