Taxpayer Identification Number Compliance
No Additional Fees!
The Internal Revenue Service (IRS) issued final regulations requiring that, starting with transactions in calendar year 2011, the gross amount of payment card transactions be reported annually to merchants and the IRS. These final regulations contain rules to implement reporting of credit card, debit card and similar transactions. Beginning in January 2012, every payment settlement entity will file a 1099-K form with the IRS reporting the gross amount of each merchant’s card transactions for the 2011 year, as well as provide a corresponding statement to each merchant.
We are pleased to announce that we are not charging any additional fees associated with the new Internal Revenue Code Section 6050W reporting requirements.
The new regulations require that the merchant’s Taxpayer Identification Number (TIN) and legal name, as listed in its 1099-K, match what is on file with the IRS. If a merchant fails to provide its TIN, or if there is a discrepancy between the TIN and/or legal name the merchant previously provided and the TIN and/or legal name on file with the IRS, then the IRS may require the reporting entity to withhold a portion of the merchant’s future payments from card transactions (the withholding rate is currently set at 28%). This withholding provision goes into effect for payments starting in 2013.
Compliant merchants (those whose TIN and legal name match the IRS database) will not be charged any additional fees for the issuance of annual information reports, known as 1099-Ks. This report, which is issued to both the IRS and the merchant, identifies the merchant’s gross card transaction payments. In addition, we will not charge non-compliant merchants (those whose TIN and legal name do not match IRS database) any fee while we try to resolve discrepancies that may exist between the information we have on file, and the information on file with the IRS.
To help you understand and comply with the new regulations, we have provided a list of Frequently Asked Questions.
How to Update Your TIN
As an additional benefit to you, we compare TINs and legal names in our records to the information in the IRS database. If the information we have does not match the IRS database, we will notify you, provide you a Security Key, and the opportunity to update your information with us.
To avoid a disruption in your merchant funding, we ask that you review your TIN and legal name as they were originally filed with the IRS and as provided to us and ensure that both are accurate and consistent. If you need to update your information on file with us, please perform one of the following options:
Update Online
To update your TIN in our records now, have your Security Key ready and click the button below. You will be taken to a secure site where you may enter your information to be validated with the IRS database.
Print and FAX
Print and complete* this form and fax it to : 888-415-0052
Print and mail
Print and complete* this form and mail to:
Attn: Customer Support
Merchant Services
255 Gold Rivers Court, 3rd Floor
Basalt, CO 81621
* Note: Please enter your merchant identification number (MID) on the IRS W-9 form in the area indicated below.
