It does sound silly/hard to believe. But you of all people should know that in this new era, truth is stranger than fiction.
Here's the text and an explanation. Not really hard to understand, there is no dispute about this in the accounting world. Some of the big changes are "corporations" are now included as "persons" for purposes of sending 1099s, and you also have to send it for "amounts [paid] in consideration for property" (i.e., when you buy paperclips, you are paying consideration for property).
Health Care Bill Section 9006 and Your Small Business-HUGE New Small Biz Expense!)