ABC Taxes, Tips & Tools

In an effort to com­bat iden­tity theft, the IRS says that pay­ers of inter­est, div­i­dends, non employee com­pen­sa­tion and the like may now trun­cate the Social Secu­rity Num­bers to the last 4 dig­its on infor­ma­tion returns given to the tax­payer.  Of course the forms filed with the IRS must have all the dig­its vis­i­ble oth­er­wise the IRS could not use them for income match­ing etc.

The IRS bul­letin on the sub­jects specif­i­cally states that this rul­ing applies to forms 1098, forms 1099 and forms 5498.

This rul­ing does NOT apply to forms W-2 and W-3.

If you need help with this issue or other small busi­ness ser­vices, small busi­ness ser­vices and tax­a­tion are our busi­ness. Please give Art & Busi­ness Con­sult­ing a call. We would love to engage you as a client.

The usual dis­claimers: Although ABC has made every effort to insure the accu­racy of Taxes, Tips and Tools, mis­in­for­ma­tion, dis­in­for­ma­tion, changes, mis­takes, typos and hack­ers hap­pen, there­fore Art & Busi­ness Con­sult­ing LLC takes no respon­si­bil­ity for any action taken or results based on the infor­ma­tion sup­plied here in.   Inter­nal Rev­enue Ser­vice Cir­cu­lar 230 Dis­clo­sure:  As pro­vided for in Trea­sury reg­u­la­tions, advice (if any) relat­ing to fed­eral taxes that is con­tained in this com­mu­ni­ca­tion (includ­ing attach­ments) is not intended or writ­ten to be used, and can­not be used for the pur­pose of (1) avoid­ing penal­ties under the Inter­nal Rev­enue Code or (2) pro­mot­ing, mar­ket­ing or rec­om­mend­ing to another party any plan or arrange­ment address herein.  Art & Busi­ness Con­sult­ing LLC cur­rently does not have a cer­ti­fied pub­lic accoun­tant or an attor­ney on staff; this infor­ma­tion is purely for edu­ca­tional pur­poses and not to be con­strued as legal or finan­cial advice. Art & Busi­ness Con­sult­ing LLC and its employ­ees, mem­bers and asso­ciates are not engage to prac­tice law; you always should dis­cuss legal mat­ters with your attor­ney before talk­ing to any­one else.