During a health care forum hosted by the U.S. Chamber of Commerce on Monday, Sen. Mike Johanns (R-Neb.) called for the repeal of a tax-reporting provision included in the new national health reform law, The Hill reports.
The reporting mandate, which will take effect in 2012, requires businesses, not-for-profit groups and government offices to file 1099 forms with the Internal Revenue Service when they purchase more than $600 worth of goods from another business in a given year. The law previously required 1099 forms only for services above that amount.
Opponents of the provision have said it will hurt small businesses by imposing onerous new paperwork requirements.
Randel Johnson -- senior vice president of labor and employee benefits for the chamber, which also opposes the provision -- said the group possibly would consider legal maneuvers to repeal the mandate.
Johanns said he plans to attach an amendment to repeal the provision on any related piece of legislation.
Democrats have defended the provision, arguing that it will close the business tax gap. The Congressional Budget Office has estimated the provision will generate $17 billion in revenue over the next 10 years (Lillis, The Hill, 7/26).
Heritage Action Pushes Lawmakers To Support Repeal
In related news, Heritage Action -- a group formed by the conservative Heritage Foundation to oppose the reform law -- on Monday sought to gain support for a legislative effort to repeal the new reform law, CQ HealthBeat reports.
The group sent news releases targeting 25 House Republicans and 35 House Democrats who voted against the law but have not yet signed on to a "discharge petition" intended to force a vote on repeal.
The releases state that voters in the targeted lawmakers' districts will want to know why the members have not done more to push for repeal.
The petition seeks a vote on a bill (HR 4972) that would repeal the law. So far, 153 members have signed the petition, which would require 218 votes to win approval (Reichard, CQ HealthBeat, 7/26).