new IRS rules will kill small businesses

[cindy25]

http://money.cnn.com/2010/07/09/smallbusiness/irs_1099_flood/

[awake]

The government never goes bankrupt, everyone else will.

[jkr]

so we will fight in the shade

[JeNNiF00F00]

..

[ruthie]

The IRS cannot handle the volume of 1099's it now receives. If they want to burden small business with this, they are making a huge mistake, and I am happy to comply. It will implode the IRS computers. Bring it on, boys, I am ready to comply!

[kahless]

Henschke foresees another unintended consequence of the new reporting provisions: that in order to cut down on tax forms to be filed, businesses will trim the number of vendors they do business with. "I've actually heard businesses talking about consolidating their purchases, going from 150, 200 vendors, down to less than 100," he said. "That will most certainly lead to some small businesses being swept under the door."

Small business is what is keeping this economy afloat. This will kill small business in this country and create further layoffs. It is pretty clear everything this administration is doing is trying to force a full on economic collapse. Be prepared.

[Anti Federalist]

One more link in the control grid.

One more option taken off the table.

One more thing that government will have total control over.

[newbitech]

for someone who is just starting out a small business, this law seems overwhelming.

It's pretty ridiculous that I am going to have to send a 1099 to the gas station where I fill up, the electric company, the water company, my landlord, the convenience store, the deli, best buy, walmart, lowes, home depot, all my sub contractors who I farm out work to..

What makes this worse is that it is hidden in the health care bill. What makes it even worse than that, is that I have to collect information on these place where I spend operating capital that I don't have to collect now.

Pretty insane how the government is getting the small business to do the dirty work of collecting taxes, collecting detailed accounting information that has no other use than fork over earnings to the government.

I have been reading on this, and what I have found is that Credit or Debit card transactions are going to be exempted from the form filings. So as long as I use a Master or Visa card for all my expenses, I am good to go.

This creates a boom for electronic banking IMO. Why? Because if I pay someone in cash, or by check, then I have to 1099 them. It's no biggie if I can afford to pay an accountant, or if I can afford to spend 1 week out of every quarter doing it myself. But sheesh, for a new business trying to get off the ground? What a royal PITA!!!

[cindy25]

they are laying the groundwork for a vat

[Bossobass]

I've run 3 businesses for 35 years.

I've decided that I'll ignore the new IRS laws and instead send the IRS one "you're a big dick" card for every 1099 I'm supposed to send.

By the time they get around to responding to me I'll have been dead for 50 years.

From now on, every time any GS Puke hassles me, I'm hiring a private detective to dig up that person's dirt and using it against them. Call it my new hobby.

I know everyone who reads this will think I'm kidding.

Bosso

[GreedyHenry]

So what if the vendor's or individuals refuse to give the business their tax ID?

[Lovecraftian4Paul]

The small businessmen need to grow a backbone and refuse to comply. Is there nothing the citizenry won't accept?

[lynnf]

big business (big corporations) hate competition so since they rule this country, we got this. since they can squash the little guys, they do.

lynn

[djdellisanti4]

I figure its either Canada or Amsterdam for myself. At least I will know what im getting when it comes to crappy socialized healthcare, and having to deal w/ the IRS, and well I could pretty much toke without feeling like the cops were going to bust in my door at any moment and beat the shit out of me and kill my dog etc. I mean whats worse? Having an out in the open, socialized healthcare in an established socialized country and being able to toke freely with no worries, or dealing with this American behind the scenes we are free but we are not because we are secret fascists bullshit where the IRS taxes us all to death and creates wars with it and pays off the federal reserve etc, and makes us buy health insurance, while at the same time you can't even put what youd like into your own body without feeling like the state is going to come knock your door down for smokin' a little herb.

Doesn't canada and the netherlands have a signifigant degree of economic freedom despite socialized health care?

[JeNNiF00F00]

..

[Elwar]

lol I have no idea. I haven't really researched, but, at least its out in the open. People here are still under the misconception this is land of the free and they aren't going to wake up if they haven't now.

Hong Kong
New Zealand

[Anti Federalist]

Hong Kong
New Zealand

Hong Kong is no bastion of freedom and New Zealand?

You've got a better chance of seeing God than emigrating there.

They know how good they have it and long term visas and paths to legal immigration are scarce.

[Jordan]

Having an out in the open, socialized healthcare in an established socialized country and being able to toke freely with no worries, or dealing with this American behind the scenes we are free but we are not because we are secret fascists bullshit where the IRS taxes us all to death and creates wars with it and pays off the federal reserve etc, and makes us buy health insurance, while at the same time you can't even put what youd like into your own body without feeling like the state is going to come knock your door down for smokin' a little herb.

Best 103 word sentence ever.

[Elwar]

Hong Kong is no bastion of freedom and New Zealand?

You've got a better chance of seeing God than emigrating there.

They know how good they have it and long term visas and paths to legal immigration are scarce.

Friedman once said "if you want to see capitalism in action, go to Hong Kong". He believed the Hong Kong economy was the best example of a laissez-faire capitalism economy.

[angelatc]

for someone who is just starting out a small business, this law seems overwhelming.


If you use credit cards for those transactions, you don't need to 1099 them. If you're writing checks, go into the vendor setup function of your software package, check the 1099 box, and hit "print 1099s" on Jan 2. Taa daa!

[angelatc]

So what if the vendor's or individuals refuse to give the business their tax ID?

You refuse to give them their check. You'd be amazed at how quickly the problem gets resolved.

[Anti Federalist]

Friedman once said "if you want to see capitalism in action, go to Hong Kong". He believed the Hong Kong economy was the best example of a laissez-faire capitalism economy.

Yes, they are economically free, but personal freedom?

That's another story.

http://www.stateofworldliberty.org/report/rankings.html

[LibForestPaul]

Number to your name, cool!

[LibForestPaul]

yippie for identity theft!