Senator Pushes For The Repeal Of The Health Reform's 1099 Rule This Year

Senator Mike Johanns (R-NE)

Senator Johanns Looks To Repeal Of 1099 Filing Requirement In Lame Duck Session

An amendment to the food-safety bill introduced by Sen. Mike Johanns, R-Neb., would repeal a provision in the health care reform law requiring businesses to report to the Internal Revenue Service any purchases from a single company totaling $600 or more annually.

The vote, scheduled for Monday November 29th, would repeal a change in tax reporting requirements hidden within the health care law. Even Obama has conceded that the provision is onerous on small businesses and warrants adjustment.

“I think the momentum is there,” Johanns said. “I don’t think anyone is trying to defend why this [provision] needs to be there.” Read More

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NJ Congressman Steve Rothman's Chief of Staff Fired After Arrest

NJ Rep. Steve Rothman
With Former Chief of
 Staff Robert Desheine

NJ Congressman Steve Rothman (D-N.J.) chief of staff Robert Decheine was arrested Friday in Gaithersburg, Md. Congressman Rothman fired Decheine after he was arrested for allegedly soliciting sex from a minor. 

“Congressman Rothman immediately consulted appropriate House counsel and terminated Mr. Decheine’s employment, effective November 19, 2010, due to the very serious nature of this charge,” Rothman spokesman Aaron Keyak stated. “Congressman Rothman considers this alleged criminal act to be shocking, appalling and indefensible. As a parent, he understands the vital importance of protecting our children from predators.”

Rothman legislative director Marc Cevasco will serve as acting chief of staff.

Decheine also served in the position of Senior Advisor in Obama's Presidential Campaign.

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Members of the NJECPAC Board of Governors met with Decheine in May of 2010. He failed to understand the Green Jobs Improvement Act and why it is important for creating jobs when he proceeded to ask us how the unions felt about it, which was not even relevent to the conversation. Now we know his mind may have been elsewhere.

What Will The Tax Rates Be In 2011

By NJECPAC Government Affairs
Director Joseph Hovanec Jr.

No one knows what the tax rates will be in 2011. The current tax rates (commonly but incorrectly referred to as the Bush Tax Cuts) are set to expire at the end of this year. The current tax rates have been in effect nearly a decade. They ceased to be tax cuts and became the current tax rates the moment they were signed into law.

The expiration of those tax rates will lead to increased taxes on income, capital gains, dividends, and estates. That would be an epic failure, since raising taxes in a weak recovery is the last thing lawmakers should even consider.

But Congress in the lame duck session is still led by Nancy Pelosi, who in lockstep with Harry Reid hasn’t taken any action to stop the coming tax hike, preferring instead to devote the lame duck session to less pressing issues like the DREAM Act immigration amnesty and Don’t Ask, Don’t Tell.

Harry Reid is pushing for forcing a vote on extending the current rates only for those making under $200,000. He already knows that extending the tax rates only for those making under $200,000 is doomed to fail so why force a vote on it. The reason is politics at its worst. When the vote fails they will use that to demonize Republicans, falsly claiming that they dont care about the middle class. 

A weak but likely at least minimally effective political tactic.  

One arguement I have heard against extending the tax rates for everyone is how much it will cost. How is it possible that extending current tax rates can "cost" anything when it represents revenue that the Government hasnt had for so long? Keep in mind it is not their money to begin with.

Contimplating 2011

Another arguement I heard recently is the current tax rates have been in effect for so long and they havent reduced the unemployment rate. That is the weakest arguement of them all. The unemployment rate under George Bush was as low as 4.3% and more revenue was flowing into the federal government than ever in the history of the country. It was not the tax rates that caused the weak economy leading to the current unemployment rates. The primary reason that those rates are not helping now is the real possiblity that they will go up January 1st. Businesses have retracted any expantion plans which includes any new hiring because of the prospect of facing huge tax increases.

Pause and reflect for a moment on the absurdity that businesses, entrepreneurs, financial planners, tax preparers, and taxpayers have no certain idea of what they’ll be expected to pay the IRS come January.