The U.S. Senate took action on Tuesday to pass a bill that would repeal the onerous Form 1099 requirement for U.S. farms and ranches.

It is related to the health care law, which contains a provision set to begin in 2012 that requires businesses to submit a Form 1099 to the Internal Revenue Service for every vendor from which they purchase $600 or more worth of goods or services.  The House passed the bill (H.R. 4) earlier and now with the Senate’s approval, it moves on to the President. If Obama signs it, the bill would repeal this new Form 1099 requirement.

According to American Farm Bureau Federation President Bob Stallman, this is great news for America’s farm and ranch families.“This was a costly, burdensome and unnecessary tax compliance requirement that was counterproductive to job creation and economic growth,” Stallman said. “Farmers, ranchers and small businesses are overloaded with paperwork, and we are pleased that our leaders in Washington took steps to provide relief. Farm Bureau commends the Senate for passing H.R. 4, and we urge President Obama to sign it.”

Source: American Farm Bureau Federation