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Section of the Healthcare Reform law considered burdensome to small businesses repealed this week.

While many were focused this week on Charlie Sheen, revolts in Libya and other Middle Eastern countries and the budget showdown, Congress was repealing various contentious pieces of Obama’s Healthcare overhaul.

Yesterday, by a vote of 314 to 112, the House voted to repeal a section of the Affordable Care Act that would have required  small businesses to file a form 1099 with the IRS when they pay a vendor over $600.  Many small businesses and trade organizations representing them have been calling for this section to be removed from the act because they say it is a burdensome, time consuming and taxing.

The Obama administration have said it has no problem letting that provision go, and indeed it is line with the White House’s latest initiative to eliminate other burdensome regulations throughout the federal government.

Rep. Sanford D. Bishop, Jr. (GA-02) released a statement after the House of Representatives voted to repeal  the 1099 provision that would have taken effect beginning 2012.

“I have heard complaints from farmers and small business owners across the Second Congressional District who believe that having to file this onerous 1099 form is an unnecessary bureaucratic nightmare that needs to be repealed.  Small businesses and farmers are the engines that drive our nation’s economy, and they should focus on creating jobs, not filling out paperwork,” Bishop said.  “Now is the time to reduce the obstacles for small business growth, not increase them, and repealing this provision is a good place to start.”

Sanford said that while he supports the 1099 repeal, he is not comfortable with the way the majority Republicans offered to pay for the repeal.  The Democrats claimed it would raise taxes on low-income and middle-class families by forcing them to pay the IRS billions of dollars in increased taxes.

Earlier last month, the Senate voted 87-17 on its own version of the repeal that included a different mechanism for offsetting the costs. The White House has expressed concern over how both houses have proposed the repeal gets paid for but will be working with Congress to eliminate it nonetheless once the final kinks are worked out.

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Jeneba “JJ Ghatt”,is editor at, an online hub where she helps social media butterfly who empowers digital entrepreneurs and professionals to create great things online at her online learning platform Digital Publishing Academy.  She is an editor of tech blog and founded the annual 200 Black Women to Follow On Twitter List. Read her bio, then get all of her online & digital biz startup advice and tools in one spot here!

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