There is nothing to worry about as long as your organization is doing what is supposed to be done when it comes to reporting income paid on Forms 1099. Now, more than ever, you must utilize best practices with regards to collecting and reporting taxpayer-identification numbers and income as required. In this newly-created program, you will learn exactly what you should be doing to comply with IRS regulations.
While TIN solicitation might sound too lascivious for the legitimate business world, every organization must take this task seriously. For if they don't, a very uncomfortable and costly audit with the IRS is likely to ensue. If you've heard that the IRS budget is likely to be cut and think that means good news for your organization when it comes to audits, think again. The indications are that enforcements concerning information reporting errors will be up.
Mary S. Schaeffer is the author of 18 business books, a monthly newsletter, and a free bi-weekly e-zine, as well as several CPE courses for CPAs. She runs AP Now, a boutique publishing and consulting firm focused on accounts payable issues. She also serves as the Education Director for the Institute of Financial Operations.
Before turning to write and consulting, she worked in the corporate world as an Assistant Treasurer for the Equitable Life Assurance Society, a Financial Risk Manager for O&Y and a Corporate Cash Manager for Continental Grain. A frequent and popular speaker at both live and online events, she has an MBA in Finance and a BS in Mathematics.