This article was originally printed in the latest issue of Numismatic News.
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IRS reporting on rare coin purchases of $600 or more was approved by Congress and signed into law by President Obama as part of health care reform last March. The measure goes into effect Jan. 1, 2012, but not if the Industry Council for Tangible Assets, the Professional Numismatists Guild and the American Numismatic Association have anything to say about it.
These groups, the nation’s chamber of commerce and a host of other affected industries are in systemic rebellion against section 9006 of the Health Care bill, which would require 1099 forms to be issued where individuals or corporations make sales of $600 or more to coin dealers – a time-consuming, paper-intensive and intrusive process for all concerned.
Two bills have been introduced to give a legislative solution. H.R. 5141 (introduced by Rep. Lungren) would repeal the bill outright, and a different approach is taken in S. 3578. The ANA board of governors voted in Boston at their convention to seek repeal of the measure. ICTA and PNG are being more aggressive, willing to utilize the lobbying power and congressional goodwill to seek remediation.
A legislative push may not really come until next year. The bright spot, opponents acknowledge, is that the start date for implementation is in 2012.