The U.S. House of Representatives yesterday voted 405-16 to repeal a measure that would require all federal and state governments and large municipalities to withhold 3% of all payments to contractors over $10,000 until the end of the tax year.

The requirement, which was passed in 2005 but is not set to go into effect until January 2013, was intended to prevent government contractors from evading or defaulting on their tax obligations. It has drawn fire from business and construction trade groups for its impact on contractors’ working capital and its attendant red tape. Last week, a repeal vote in the U.S. Senate narrowly failed due to wrangling over how to make up the tax revenue that would be lost, but Senate leaders from both parties have indicated that they will pursue other ways to pay for the repeal. Following the bipartisan passage in the House, the measure will likely come up for another vote in the Senate this year. The repeal effort has the support of the Obama Administration, which included it as part of its overall jobs package.