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House Repeals Controversial Health Care Provision

The House voted 314-112 on Thursday to strip a small-business reporting rule from President Barack Obama’s health care reform law, forcing the issue into a conference committee with the Senate.

The controversial provision requires companies to file forms with the IRS every time they conduct $600 dollars worth of business with an individual or company. The policy has been universally panned, and the Senate earlier this year passed its own version of a repeal.

Elimination of the 1099 requirement will likely be the first successful GOP effort to modify Obama’s health care law. The House passed a full repeal of the law earlier this year, but it has gone nowhere in the Senate.

Prior to Thursday’s vote, GOP leaders praised the 1099 repeal, arguing they were making good on a campaign pledge.

House Majority Leader Eric Cantor (Va.) said the measure “releases the burdens on small businesses so we can create jobs again,” while Majority Whip Kevin McCarthy (Calif.) argued it was part of the GOP’s goal of “fulfilling the pledge to America that we said we were going to do.”

Before the vote, Republicans beat back a Democratic motion to recommit that would have created a middle-class tax credit. Republicans argued it violated the chamber’s rules because it would increase spending.

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