1099 will end the world in 2012 • Hacker News Board

Re: 1099 will end the world in 2012

#81

Post by ubernostrum » Fri, Jul 23, 2010, 5:32 PM UTC

DanielBMarkham wrote: post #21

[warning. rant head] This has to be the most mind-numbingly stupid thing I have seen the government do in the last couple of decades -- and that includes bad wars, if that's your thing. Why can it be so bad? Because it screws with every single economic entity in the nation, in a way that pervasive, subtle, and micro-managing. If you want to know where "1984" is, with Big Brother watching all of your moves, it's not b…

[warning: common sense ahead]

Seriously. Chill out. The thing hasn't even been finalized yet, and there'll be public comment periods and reviews and all sorts of other stuff providing people an opportunity to go froth at the mouth about how this will be the end of the world or whatever.

In the meantime: take a deep breath. Relax. Read and learn. Get as much information as you can instead of going off half-cocked. And actually think through the things you'd like to say, because hyperbolic rants don't do anyone a damn bit of good.

Re: 1099 will end the world in 2012

#82

Post by revicon » Fri, Jul 23, 2010, 5:34 PM UTC

akmiller wrote: post #63

I don't like this at all but if you want to attempt to take a positive spin on it you could see that this would be a lucrative area for many startups to start offering services for handling these 1099's.

Cam here to make this comment. Wouldn't be too difficult to build a quick site that aggregates all your transactions, auto-generates appropriate 1099s and mails them to the company accounting addresses it has on file matching the transaction records.

Re: 1099 will end the world in 2012

#83

Post by Sirocco » Fri, Jul 23, 2010, 5:39 PM UTC

subwindow wrote: post #41

What the hell is up with this thread? This has to be the worst thread I've ever seen at HN. You'd think this were a comment thread on Fox News or something. People: Chill the fuck out. The IRS is accepting comments on the issue. The rule doesn't go into effect until, realistically, April of 2013. By then, it is almost guaranteed that the rule will be significantly weakened to the point where it is not much different…

In all seriousness, the Reddit influx is upon us, full tilt.

Re: 1099 will end the world in 2012

#84

Post by korch » Fri, Jul 23, 2010, 5:41 PM UTC

Theoretically, an Age of Bureaucracy can last until a paper shortage develops, but, in practice, it never lasts longer than 73 permutations. — Adam Weishaupt

  — Robert Anton Wilson, The Illuminatus! Trilogy

I say great, bring it on! The sooner we Immanentize the Eschaton, the better!

Fiction aside, I predict this law will get repealed pretty quickly and quietly before it goes into effect. The amount of added annual tax revenue from this is projected to only be $20 billion, and as soon as various interest and trade groups realize how much more the extra paperwork is going to cost them, then they'll be screaming at the Congress-critters. They already went through this process with SOX.

It's the Government's duty to maximize tax revenues, so if the cost of doing business in general causes a decrease in many company's profits, then there is less overall income to tax. If that amount of lost tax revenue is more than the projected increase of $20 billion, and I bet it is, then it makes sense to repeal that particular law.

Re: 1099 will end the world in 2012

#85

Post by Anechoic » Fri, Jul 23, 2010, 5:54 PM UTC

nhebb wrote: post #74

Last year a customer accidentally double entered my invoice in their system, and paid me two checks instead of one. I contacted them to let them know of the discrepancy, and never cashed the second check. Their system was never corrected, and I got a 1099 showing I earned double the actual amount. I'm still trying to iron this mess out, and it's just one 1099.

The good news for you is that the uncashed second check will eventually show up as a discrepancy on their books and they will have to deal with it. It make take some time but it will happen.

Re: 1099 will end the world in 2012

#86

Post by gruseom » Fri, Jul 23, 2010, 5:57 PM UTC

It's easy to see that this is much ado about nothing: if it actually happens as described, it will do significant harm to major politician-owning interests. Therefore it won't happen.

Re: 1099 will end the world in 2012

#87

Post by Yzupnick » Fri, Jul 23, 2010, 6:05 PM UTC

sophacles wrote: post #58

ojbyrne wrote: post #16

New budgeting guideline - spend no more than $599 at any individual supplier.

Wait -- wouldn't this help the economy by creating many competing entities in any given space?

Or hurt it by forcing people to use a less efficient supplier. Competition is only good if it organic in nature, (ie: comes about because both have efficient methods and high quality products, even though they differ to some degree) not if it forced competition. Then you end up getting a worse product when you could have gotten a better one.

Re: 1099 will end the world in 2012

#88

Post by RyanMcGreal » Fri, Jul 23, 2010, 6:06 PM UTC

Sirocco wrote: post #83

subwindow wrote: post #41

What the hell is up with this thread? This has to be the worst thread I've ever seen at HN. You'd think this were a comment thread on Fox News or something. People: Chill the fuck out. The IRS is accepting comments on the issue. The rule doesn't go into effect until, realistically, April of 2013. By then, it is almost guaranteed that the rule will be significantly weakened to the point where it is not much different…

In all seriousness, the Reddit influx is upon us, full tilt.

From the Hacker News Guidelines: [1]

"If your account is less than a year old, please don't submit comments saying that HN is turning into Reddit. (It's a common semi-noob illusion.)"

[1] http://ycombinator.com/newsguidelines.html

Re: 1099 will end the world in 2012

#89

Post by Retric » Fri, Jul 23, 2010, 6:06 PM UTC

jcnnghm wrote: post #14

This will be an unmitigated disaster. Office Depot will get 50 million or so 1099's. How do you deal with that many accounting discrepancies? How do you match that many transactions to all those forms. What about under and over-reporting? This is a Democrat clusterfuck if there ever was one.

This does not apply to transaction made with a credit card so I don't think Office Depot is going to notice.

Re: 1099 will end the world in 2012

#90

Post by Retric » Fri, Jul 23, 2010, 6:09 PM UTC

ubernostrum wrote: post #81

DanielBMarkham wrote: post #21

[warning. rant head] This has to be the most mind-numbingly stupid thing I have seen the government do in the last couple of decades -- and that includes bad wars, if that's your thing. Why can it be so bad? Because it screws with every single economic entity in the nation, in a way that pervasive, subtle, and micro-managing. If you want to know where "1984" is, with Big Brother watching all of your moves, it's not b…

[warning: common sense ahead] Seriously. Chill out. The thing hasn't even been finalized yet, and there'll be public comment periods and reviews and all sorts of other stuff providing people an opportunity to go froth at the mouth about how this will be the end of the world or whatever. In the meantime: take a deep breath. Relax. Read and learn. Get as much information as you can instead of going off half-cocked. And…

It's my understanding there is a specific exemption to any purchases made with a Credit Card.

So now it's non CC company to company transactions > 600$/year which is a far smaller pool. The absolute worst possible case is total revenue / 600$ but the reality is most companies have a fairly small number of suppliers. So something like Ln (revenue / 1000) for the average small business.