Paperwork Burden Reduction Act
Floor Speech
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Mr. SMITH of Missouri. Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 3797) to amend the Internal Revenue Code of 1986 to provide an alternative manner of furnishing certain health insurance coverage statements to individuals, as amended.
The Clerk read the title of the bill.
The text of the bill is as follows: H.R. 3797
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 ``Paperwork Burden Reduction Act''. SEC. 2. ALTERNATIVE MANNER OF FURNISHING CERTAIN HEALTH INSURANCE COVERAGE STATEMENTS TO INDIVIDUALS.
(a) Reporting of Health Insurance Coverage.--Section 6055(c) of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:
``(3) Alternative manner of furnishing statements.--For purposes of this subsection, any person required to make a return under subsection (a) shall be treated as timely furnishing the written statement required under paragraph (1) if--
``(A) such person provides clear, conspicuous, and accessible notice (at such time and in such manner as the Secretary may provide) that any individual to whom a statement would otherwise be required to be furnished under paragraph (1) may request a copy of such statement, and
``(B) such person, on request of any such individual, furnishes a copy of such statement to such individual not later than the later of--
``(i) January 31 of the year following the calendar year for which the return under subsection (a) was required to be made, or
``(ii) 30 days after the date of such request.''.
(b) Certain Employers Required to Report on Health Insurance Coverage.--Section 6056(c) of such Code is amended by adding at the end the following new paragraph:
``(3) Alternative manner of furnishing statements.--For purposes of this subsection, any person required to make a return under subsection (a) shall be treated as timely furnishing the written statement required under paragraph (1) if--
``(A) such person provides clear, conspicuous, and accessible notice (at such time and in such manner as the Secretary may provide) that any individual to whom a statement would otherwise be required to be furnished under paragraph (1) may request a copy of such statement, and
``(B) such person, on request of any such individual, furnishes a copy of such statement to such individual not later than the later of--
``(i) January 31 of the year following the calendar year for which the return under subsection (a) was required to be made, or
``(ii) 30 days after the date of such request.''.
(c) Effective Date.--The amendments made by this section shall apply to statements with respect to returns for calendar years after 2023.
If you visit any Main Street in America, you will see that small businesses are struggling. Today's cost of living crisis has made everything from supplies to labor more expensive for mom-and-pop stores all across America.
Not only are small businesses struggling because of high prices, but Washington mandates are forcing small businesses to waste precious time processing paperwork instead of serving their workers and customers.
Right now, small businesses are forced to send millions of Americans paper copies of health insurance reporting forms every year, when the vast majority of individuals don't use this form.
Every taxpayer knows this form I am talking about. While it is known as a Form 1095-C, it is one that you get in the mail and have absolutely no idea what to do with. It looks like this, and you put it in the pile with your other tax forms and then realize when it comes time to file your taxes, you don't actually even need it.
In fact, only 1.4 percent of American workers and their families may need to use this form. The Paperwork Burden Reduction Act is a bipartisan bill, introduced by Representative Panetta and myself, that will put an end to this wasteful practice.
This bill saves small business owners time and money by relieving them of mailing outdated paperwork that only exists because Congress mandates it.
This mandate doesn't even make sense anymore. The origins of this paperwork were to prove compliance with the individual mandate of the Affordable Care Act, a mandate whose enforcement was zeroed out years ago.
Not only will small businesses have more time to focus on running a business, but this bill also recognizes how Americans actually file taxes. Now more than ever, Americans fill out their tax returns online. There is no reason that American workers should not be able to access this health insurance tax form online, as well.
I thank my colleagues on both sides of the aisle for supporting this measure that will eliminate needless paperwork for working Americans and small business job creators.
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Mr. SMITH of Missouri. Mr. Speaker, I have no further speakers, and I am prepared to close.
Mr. Speaker, back home in our districts, we have heard from workers and small business owners about the struggles they face in today's economy. Today, with this legislation before us, we finally have a chance to give them a bit of a break.
The Paperwork Burden Reduction Act will get rid of a Washington mandate that requires small businesses to waste time mailing unnecessary paperwork instead of serving their employees and customers. Not only will it save small business owners time, but it will also help them modernize their operations by letting workers access their health insurance tax forms online.
Mr. Speaker, I urge my colleagues to support this bill and help us deliver relief to workers and small business owners across America.
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