Why Is It Important to Have Valid TIN/SSN Information?

The most important reason to have correct ID information is to avoid potentially high penalties. The current penalties are $100 for every 1099 or W-2 that has a missing or incorrect TIN or SSN.
However, you can reduce the penalty to $30 if you file the correct information within 30 days of the due date or to $60 if the correct information is filed by August 1st.
You can also avoid the penalty completely if you have a small number of errors that are corrected no later than August 1st. That small number is currently the larger of ten returns or 1.5% of the total returns submitted.
The penalty can also be waived completely for 1099s if the recipient refuses to provide a valid TIN after you have requested it.
Fortunately the IRS provides a TIN Matching Service for 1099s. Information about this service can be found from the IRS.
The SSA provides a similar service for W-2s. You can find information about their service at the SSA’s website.
Advanced Micro Solutions’ 1099-etc has both TIN and SSN matching built into our W-2/1099 Forms Filer and our AMS Payroll software to help eliminate these costly errors. All that you need to do is create a file and upload it to the appropriate agency for verification.
We offer a risk free DEMO to help you determine if our software will fit your needs. We provide free live support via phone, email, fax, or chat Monday – Friday from 8AM – 6PM with extended hours including Saturdays in January and April.

Software Solutions from AMS

Our W2 and 1099 Forms Filer is our only required platform. From there, users pick the services they need. Choose from the tools below to build out your customized accounting software.