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JA In Tax Repeal Campaign

January 30, 11 by IDEX Online Staff Reporter

(IDEX Online News) - Jewelers of America (JA), is mobilizing its membership and others in the trade to contact their Congressional representatives and ask them to support repeal of the IRS 1099 requirement. The new regulation will place an undue burden on small businesses, increasing the time and money spent during tax preparation, according to JA.

 

Beginning in January 2012, the regulation will require businesses to file an IRS Form 1099 for any vendor to which they pay more than $600 annually. Previously, businesses only had to file 1099 forms for individuals/partnerships performing professional services (such as independent contractors) that crossed the $600 threshold.

 

President and CEO of the American jewelry retail trade association, Matt Runci, said “Legislators on both sides of the aisle and President Obama support repeal of this burdensome regulation, but we need to rally behind them to ensure efforts to pass this legislation are not stalled.”

 

Through its campaign, JA is mobilizing its membership and others in the trade to contact their Congressional representatives and ask them to support repeal of the IRS 1099 requirement.  Several bills have been introduced to repeal the provision. Rep. Daniel Lungren (R-CA) introduced H.R. 144 in the House, while Sen. Max Baucus (D-MT) introduced S.72 in the Senate. A second Senate bill, S.18, was also introduced by Sen. Mike Johanns (R-NE).

 

More than 100 jewelry businesses have already expressed their support to repeal 1099 through digital Action Alerts, the JA said.

 

To take action and support the, JA is inviting jewelers to visit its Legislative Action Center and email their legislators.  

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