[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3991 Introduced in House (IH)]

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118th CONGRESS
  1st Session
                                H. R. 3991

 To amend the Internal Revenue Code of 1986 to increase the threshold 
  for requiring information reporting with respect to certain payees.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              June 9, 2023

 Mr. Schweikert (for himself, Ms. Tenney, Mr. Ferguson, Ms. Van Duyne, 
 Mrs. Miller of West Virginia, Mr. Steube, Mr. Smith of Nebraska, and 
Mr. Wenstrup) introduced the following bill; which was referred to the 
                      Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
 To amend the Internal Revenue Code of 1986 to increase the threshold 
  for requiring information reporting with respect to certain payees.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Small Business Paperwork Savings 
Act''.

SEC. 2. INCREASE IN THRESHOLD FOR REQUIRING INFORMATION REPORTING WITH 
              RESPECT TO CERTAIN PAYEES.

    (a) In General.--Sections 6041(a) of the Internal Revenue Code of 
1986 is amended by striking ``$600'' and inserting ``$5,000''.
    (b) Inflation Adjustment.--Section 6041 of such Code is amended by 
adding at the end the following new subsection:
    ``(h) Inflation Adjustment.--In the case of any calendar year after 
2024, the dollar amount in subsection (a) shall be increased by an 
amount equal to--
            ``(1) such dollar amount, multiplied by
            ``(2) the cost-of-living adjustment determined under 
        section 1(f)(3) for such calendar year, determined by 
        substituting `calendar year 2023' for `calendar year 2016' in 
        subparagraph (A)(ii) thereof.
If any increase under the preceding sentence is not a multiple of $100, 
such increase shall be rounded to the nearest multiple of $100.''.
    (c) Application to Reporting on Remuneration for Services and 
Direct Sales.--Section 6041A of such Code is amended--
            (1) in subsection (a)(2), by striking ``is $600 or more'' 
        and inserting ``equals or exceeds the dollar amount in effect 
        for such calendar year under section 6041(a)'', and
            (2) in subsection (b)(1)(B), by striking ``is $5,000 or 
        more'' and inserting ``equals or exceeds the dollar amount in 
        effect for such calendar year under section 6041(a)''.
    (d) Application To Backup Withholding.--Section 3406(b)(6) of such 
Code is amended--
            (1) by striking ``$600'' in subparagraph (A) and inserting 
        ``the dollar amount in effect for such calendar year under 
        section 6041(a)'', and
            (2) by striking ``only where aggregate for calendar year is 
        $600 or more'' in the heading and inserting ``only if in excess 
        of threshold''.
    (e) Conforming Amendments.--
            (1) The heading of section 6041(a) of such Code is amended 
        by striking ``of $600 or More'' and inserting ``Exceeding 
        Threshold''.
            (2) Section 6041(a) of such Code is amended by striking 
        ``taxable year'' and inserting ``calendar year''.
    (f) Effective Date.--The amendments made by this section shall 
apply with respect to payments made after December 31, 2023.
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