Section in Health-care law puts serious accounting strain on small businesses

Kristie Arslan, Executive Director of Legislative Offices for the National Organization for the Self-Employed, which represents America’s smallest businesses, including the self-employed and micro-businesses, concurred, telling TheDC that this mandate is going to hurt sole proprietorships. “According to our surveys about 40% of our members do their accounting or tax filing on their own. One of the biggest issues with this 1099 mandate is the burdensome amount of both tax complexity and paperwork placed on this size business,” she said.

Arslan also lamented that this provision will be a distraction from actual work. “What is worse is that all this paperwork pulls business owners away from what they should be doing in this economy, which is running their business,” she said.

According to the Small Business Administration, in the last 15 years small businesses have created 65% of new jobs.

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