Senate almost unanimously passes bill that repeals the new Form 1099 requirements that were scheduled to take effect next year.

By a vote of 87-8, the Senate, on February 17, the Senate approved S.223, the FAA Air Modernization and Safety Improvement Act.  The FAA Bill includes a repeal of the expanded Form 1099 information reporting requirements for payments of $600 or more to corporations. The FAA Bill will now go to the House for vote.  If enacted, the FAA BILL would nullify the 1099 provisions of Sec. 9006 of the Patient Protection and Affordable Care Act which would have been applicable starting in 2012.  The PPACA had expanded the 1099 requirement to include payments for property and gross proceeds to the list of payments subject to 1099 reporting and would have included the need to issue 1099s to (taxable) corporations.  The FAA Bill will strike Sec. 9006 of the PPACA as if it had never been enacted. 
This will be a big relief to companies who would otherwise have had major reporting requirements to contend with.  This vote is seen as business friendly and therefore received wide bipartisan support.