Tester joins Senate in cutting 1099 paperwork for small businesses
Measure strengthens health insurance reform law by ‘making it work better for small businesses’
(U.S. SENATE) – Senator Jon Tester today teamed up with Republicans and Democrats to pass a measure cutting paperwork for small businesses and strengthening the health insurance reform law by eliminating a tax reporting requirement.
The President is now expected to sign the change into law, which does not add to the national debt.
“This is an important step to make the health insurance reform law work better for Montana’s small businesses and their employees,” said Tester, who presided over the Senate floor session as the measure was approved. “While some are trying to take Medicare away from seniors, end tax credits for small businesses and add billions to the national deficit, I believe in strengthening the law to make it work better for Montana. That’s the responsible thing to do.”
The tax reporting requirement—also known as the “1099” requirement—was included in the health insurance reform law to ensure no businesses were evading federal taxes. The requirement was not scheduled to take effect until 2012, but Tester argued that small businesses needed certainty well before then.
Tester worked with Montana’s small business owners, in meetings and workshops across the state, to eliminate the requirement.
Over the past year, Tester has hosted more than 1,500 Montanans at workshops across the state to open up more resources and allow them to create more jobs in Montana. Parts of Tester’s Level Playing Field Act have also become law, opening up federal contracting opportunities for small businesses.
Tester introduced legislation earlier this year that would similarly strengthen the health insurance law by cutting the tax reporting requirement. Tester has consistently voted for all measures to cut the 1099 requirement and, in February, called on members of the House of Representatives to do the same. The House followed suit last month with its own version of the legislation, which the Senate approved today.