Senator Baucus, the Chair of the Senate Finance Committee, issued a press release on Friday announcing that he would introduce legislation to repeal the new Form 1099 requirements.

If you are unfamiliar with these new rules, effective January 1, 2012, persons in business will have to issue Forms 1099 to businesses they pay more than $600 for goods or services during the year. So, for example, if you are in business as a writer and buy a new computer from Apple, you would have to issue Apple a Form 1099.

These new rules are absurd, and it is great news that Senator Baucus has announced that he will introduce legislation repealing these new rules. As soon as the draft legislation becomes available, we will post it here.