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If you are a business, and those payments total more than $600 in a year, yes.

According to Cato, many "someones" have read it the same way.



On the plus side, non-compliance is going to be so high at first, I doubt many will be "enforced" about it.


You should consider that while some laws are not enforced, it's yet another lever that the government can use against you. In this case, it would probably give the IRS even more broad reaching powers to audit people and businesses for not being compliant.


But what counts as a business. If I write a book and get $5000 in royalties on a 1099, do I have to send Amazon a 1099 for the computer I bought to write the book?

Even if I do... not gonna happen.


Unless you establish a "business", however that's defined by the Congress and IRS (Schedule C at a minimum? It's been too long since I filed one.), and it pays for the computer, no.




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