The IRS Audit Blog

Posts Tagged ‘ssn’

Question: Can a US Corporation aquire an EIN (Tax ID) when it’s only Owner/Director is a Canadian Citizen?

I am incorporating an online retail business in Delaware, but I require an EIN (Employer Identification Number) from the IRS in order to purchase wholesale goods from most US suppliers. I need to know the steps involved and if it is possible. I have done extensive research but always come to a point where I need to enter a US Social Security number, which as a Canadian citizen, I do not have. I have tried numerous times to contact the IRS directly but have not been able to even reach them by phone. Please help!

Answer: Absolutely. You may not be lucky enough to have to pay for health care but your business is an American Entity. Easiest way around getting the job done is to go through a service like a leagalzoom.com or any of the countless others out there. For a small fee they do all of the leg-work.

You are also going to have to assign a local agent to receive all legal correspondence for your corp and have it forwarded to you. They take care of that as well. It will cost you about an extra $100 a year.

IN BRIEF

Rosemary Clarke Middle School’s after school SAFE Club operates from 2 to 5 p.m., Monday through Thursday. The program is staffed by certified teachers and funded through the 21st Century Community Learning Centers grant.

American Socialism For The Rich 2.4

Question: Can a third party employer of a freelance job demand a refund using a 1099 tax form?

I did a freelance job for a Bride. She was pleased with the work my partner and I did, but the Bridesmaid was not.

The bridesmaid then demanded a full refund (we charged the Bride $120). Since we were advised from our school we were legally in the right, we did not grant her wish.

Now, the Bride has contacted me saying she is going to fill out a 1099 tax form that will some how force me to pay her the $120. Now, she only has my name and cell phone number, not address. So I’m wondering two things:

1) Can this tax form force me to give her the refund?

2)Can she fill out this tax form without my contact information? (Boils down to me, if the IRS doesn’t know where I am, how will they bill me?)

Thank you for your help

Answer: 1. Since the wedding was clearly not part of HER ordinary business, a Form 1099 would not be necessary. All that it does is serve notice upon you and the IRS that you received some amount of money. Assuming that you are showing that income on your tax return you have nothing to fear.

2. If she tries to file a Form 1099 without your SSN on it, the IRS will stick her with a $50 penalty unless she can show evidence of her due diligence in securing your name, address, and SSN.

3. Filing a Form 1099 does not create any liability to you to refund any money. It’s just a record of an amount of money paid to you. The purpose is to ensure that you report the income AND to give the payer the evidence necessary to deduct the cost. (And that is why you don’t prepare a Form 1099 for non-business expenditures, since there’s nothing for you to deduct in the first place.)

My guess is that “Bridezilla” is taking tax advice form a Tax Moron. Let her stew in her ignorance. The only way that she can “force” you to refund the money is to sue you in Small Claims Court and win. For $120 that’s not likely to happen, though she is free to do so if she chooses. Since the bridesmaid had no hand in the payment, she has no claim of any refund at all. Tell HER to eat rocks.

Briefs – Jan. 7

Senior Meal every third Sunday at Clarinda Regional Health Center

“Save White America” Guy at San Antonio Tea Party Pt.2

Question: what is the phone number for the irs to talk to a person?

tax refund

Answer: VB is correct, that is the general #. However, if your case is in Collections, call 1-800-829-7650 or 800-829-3903 if it is a large dollar case.

Need some free help filing your income taxes? Dixon group may help

For the fifth year, Dixon Family Services is offering free help to families and individuals with filing their taxes.

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Question: IRS tax form 4506 question?

My mortgage lender is asking for my 2006,2007, and 2008 tax returns. They have enclosed form 4506. Do I have to fill it out, send it to the IRS asking for transcripts of these returns? Can I just make copies of the returns myself????

Answer: That is an internal form that the mortgage company may use to make sure you have nor altered your returns. You send it back to your mortgage company signed & dated along with copies of your signed & dated tax returns they are asking for. They need both. Do not send it to the IRS yourself.

IRS Tax Tips for the 2010 filing season – #13

How to obtain a transcript of your past tax information.