A Maryland jeweler will testify before Congress Feb. 9 about
the impact of the proposed new 1099 reporting requirement on his business.
“I plan to break down the effect that this requirement will
have on me as a small business jeweler,” Shipley tells JCK. “This will have a devastating effect financially. It will put a huge demand not only on my staff,
but also on my clients.”
The new regulation would require businesses, beginning in
2012, to file an IRS Form 1099 for any vendor to which they pay more than $600
annually. Previously, businesses had to file 1099 forms only for individuals or
partnerships performing professional services that crossed the $600 threshold.
Shipley’s Congressional appearance comes as Washington is taking action to repeal the provision. A bipartisan bill that would revoke the 1099 requirement passed the Senate Feb. 2. President Obama has also signaled his support for repeal.
The jeweler, meanwhile, says he is excited about his testimony.
“To be able to speak before Congress, that is what America is all about,” he