EIN formatted as SSN on received 1099-MISC -- Problem?
Rich Carreiro
customers. Some of the received 1099-MISCs put the correct digits in
the "Recipient's identification number" box, but formatted them as
XXX-YY-ZZZZ instead of XX-XYYZZZZ.
Is this anything the taxpayer needs to care about?
--
Rich Carreiro rlc-...@rlcarr.com
--
<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2007) - All rights reserved. >>
<< ------------------------------------------------------- >>
Paul Thomas, CPA
"Rich Carreiro" <rlc-...@rlcarr.com> wrote
> Taxpayer is a sole prop but has, uses, and gives out an EIN to
> customers. Some of the received 1099-MISCs put the correct digits in
> the "Recipient's identification number" box, but formatted them as
> XXX-YY-ZZZZ instead of XX-XYYZZZZ.
>
> Is this anything the taxpayer needs to care about?
>
Nope. There shouldn't be any overlap of the EIN and SSN number set.
--
Paul A. Thomas, CPA
Athens, Georgia
Phil Marti
> Taxpayer is a sole prop but has, uses, and gives out an EIN to
> customers. Some of the received 1099-MISCs put the correct digits in
> the "Recipient's identification number" box, but formatted them as
> XXX-YY-ZZZZ instead of XX-XYYZZZZ.
>
> Is this anything the taxpayer needs to care about?
I don't know why Paul says there would never be both an EIN and an SSN with
the same nine digits. Perhaps he could elaborate.
Whether this could someday be a hassle for your client is up in the air IMO.
It could definitely be a problem for the payor, who is sending IRS an
unmatchable document, unless the person (if he exists) with that SSN happens
to have the same last name as your client, in which case it creates problems
for him.
I'd advise the payor were I your client. It is, however, nothing your
client need make sure is fixed.
--
Phil Marti
Clarksburg, MD
D. Stussy
news:m3abmqn...@swing-shift.time-tripper.com...
> Taxpayer is a sole prop but has, uses, and gives out an EIN to
> customers. Some of the received 1099-MISCs put the correct digits in
> the "Recipient's identification number" box, but formatted them as
> XXX-YY-ZZZZ instead of XX-XYYZZZZ.
>
> Is this anything the taxpayer needs to care about?
If he gave out the EIN via a form W-9 (and kept a copy), then it is
definently NOT his problem.
As long as he correctly reports the income from the document, it is also NOT
his problem.
He should inform the payor that they are using the wrong TIN.
========================================= MODERATOR'S COMMENT:
Same comment as on Kaye's forum: It really won't matter.
Gil Faver
"Phil Marti" <prm2...@verizon.net> wrote in message
news:swpnj.1401$e46.974@trnddc04...
> "Rich Carreiro" wrote:
>
>> Taxpayer is a sole prop but has, uses, and gives out an EIN to
>> customers. Some of the received 1099-MISCs put the correct digits in
>> the "Recipient's identification number" box, but formatted them as
>> XXX-YY-ZZZZ instead of XX-XYYZZZZ.
>>
>> Is this anything the taxpayer needs to care about?
>
> I don't know why Paul says there would never be both an EIN and an SSN
> with the same nine digits. Perhaps he could elaborate.
>
> Whether this could someday be a hassle for your client is up in the air
> IMO. It could definitely be a problem for the payor, who is sending IRS an
> unmatchable document, unless the person (if he exists) with that SSN
> happens to have the same last name as your client, in which case it
> creates problems for him.
>
> I'd advise the payor were I your client. It is, however, nothing your
> client need make sure is fixed.
the documents would match. The numbers are identical. The placement of the
hyphens are offset. The IRS will not care, and probably not even notice. I
doubt the hyphens are included in their databases. They carry no
information, but take up space.
Harlan Lunsford
> "Rich Carreiro" <rlc-...@rlcarr.com> wrote in message
> news:m3abmqn...@swing-shift.time-tripper.com...
>> Taxpayer is a sole prop but has, uses, and gives out an EIN to
>> customers. Some of the received 1099-MISCs put the correct digits in
>> the "Recipient's identification number" box, but formatted them as
>> XXX-YY-ZZZZ instead of XX-XYYZZZZ.
>>
>> Is this anything the taxpayer needs to care about?
>
> If he gave out the EIN via a form W-9 (and kept a copy), then it is
> definently NOT his problem.
>
> As long as he correctly reports the income from the document, it is also NOT
> his problem.
>
> He should inform the payor that they are using the wrong TIN.
>
I have a client, small garage with contractors and on the 1099's issued
each year we use his social security number, for he has never had what
we call an FEI# formatted 63-xxxxxxx.
Nary a peep from IRS.
ChEAr$,
Harlan Lunsford, EA n LA
Phil Marti
> the documents would match. The numbers are identical. The placement of
> the hyphens are offset. The IRS will not care, and probably not even
> notice. I doubt the hyphens are included in their databases.
The hyphens are omitted, but a one-character field, TINTYPE, tells the
systems the appropriate information, including where to put hyphens and
what, if any, suffixes to use when printing an "edited" TIN. This way they
can store--and transmit--a complete TIN with all necessary information in 10
characters rather than the 12 that would be required for an SSN with suffix.
IOW, it does matter to the IRS whether it's an SSN or an EIN.
--
Phil Marti
Clarksburg, MD
--
inky dink
> "Gil Faver" <rowdy'sb...@xxyz.com> wrote:
>
>> the documents would match. The numbers are identical. The placement of
>> the hyphens are offset. The IRS will not care, and probably not even
>> notice. I doubt the hyphens are included in their databases.
>
> The hyphens are omitted, but a one-character field, TINTYPE, tells the
> systems the appropriate information, including where to put hyphens and
> what, if any, suffixes to use when printing an "edited" TIN. This way
> they can store--and transmit--a complete TIN with all necessary
> information in 10 characters rather than the 12 that would be required for
> an SSN with suffix.
>
> IOW, it does matter to the IRS whether it's an SSN or an EIN.
they know, but I doubt they care. Since there is no overlap between SSN and
EINs, they can tell. But I get 1099s with my SSN shown in the EIN format
every year. There are some IRS forms (and/or state forms) where I use my
SSN, but it goes in their fill in PDF form in the EIN format.
I know that the 1099s match up with the IRS data.