The Senate voted on April 5 to repeal the 1099 reporting rule that had been created last year by the Patient Protection and Affordable Care Act (“Obamacare”). That rule would have required all businesses, regardless of their size, to report on 1099 forms the value of goods and services of $600 or more to each provider starting next year — an insane rule that would likely have been more costly to business than the government could have recouped in taxes on the income reported on the forms. The House already voted for repeal and President Obama has promised to sign the measure.

But the existence of the rule in the first place shows the ignorance of business operations by so many in Congress. As a business owner, I have to ask myself: Who would vote for a rule requiring a company, even a one-person firm, to obtain the tax identification number of each company with which it transacts business, then complete 1099s where required, and finally cross-check 1099s received? It is evidence of Congress’ indifference to the current regulatory burden on business.

This regulatory burden is huge, and is particularly onerous to small businesses. According to a study from The Heritage Foundation, the cost of regulation is rising. In the government’s fiscal year 2010, 43 new regulations were imposed by Washington — a record number (though after President Obama signs the repeal of 1099 reporting there will be one less). The study says, “According to a report recently released by the Small Business Administration, total regulatory costs amount to about $1.75 trillion annually, nearly twice as much as all individual income taxes collected last year.

If Congress were serious about getting the economy rolling robustly again, it would take another look at the time and cost of regulation to business and figure out a way to reduce the burden.