2011-02-03

Senate Repeals Part of Health Care Law

Carl Levin (left) and Debbie Stabenow proposed amendments conerning the 1099 rule. | AP Photos

In a strong bipartisan vote, part of the health care bill was successfully repealed.

The Senate voted Wednesday for the first time to repeal a piece of President Barack Obama’s health care overhaul, rolling back a new tax reporting requirement that’s been universally panned by business owners.


The amendment to repeal the 1099 reporting requirement passed 81-17 with broad bipartisan support.

The provision was one that Obama identified in his State of the Union speech as something that Democrats were willing to change.

The Senate voted several times last year on repealing the requirement, but all the attempts failed amid partisan bickering over how to pay for it. Republicans made an attempt to repeal the provision by taking money from the health reform law’s prevention and wellness fund. Democrats tried to repeal it without paying for it.

The provision would have required business owners to file 1099 tax documents on all cumulative purchases from a single vendor that total more than $600 in a year.

It was included in the health law because it would have raised about $17 billion in previously uncollected taxes. A bipartisan collection of business groups have opposed the provision, arguing that it would bury them in paperwork.
Well, that's just not enough.

Click title of post for full article.

On Wed, the vote to repeal the health care bill failed along party lines, 51-47.  The Republicans are planning to continue to push this issue for the coming 2 years.

Two federal judges have ruled the law is unconstitutional, partially or in its entirety, citing a requirement for individuals to purchase coverage and pay a penalty in taxes if they fail to do so. Two other judges have upheld the law.

You can read more here

Democrats tried to argue that the policy debate is largely over.

Sen. Barbara Mikulski, D-Md., called the Republican repeal effort "one more hollow, symbolic, pander-to-the-masses amendment."

"I want to hear their ideas for replacement," she said.

Republicans made clear they have plenty of ideas for replacement — of Democratic senators, if not the health care reform.

"Yes, we were unsuccessful today, but we do know where everybody stands," said Sen. Orrin Hatch, R-Utah.

"We've made some headway," said Sen. John Thune of South Dakota.

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