2025 Information Return Compliance to Avoid Penalties: Form W-9, TIN Verification, B Notices and Backup Withholding

This 90 minute webinar on "2025 Information Return Compliance to Avoid Penalties: Form W-9, TIN Verification, B Notices and Backup Withholding" This webinar will cover the Issuers of 1099 Forms can adopt best practices and procedures that streamline the year-end process and provide assurance that 1099s are correct, at least so far as vendor names and tax ID numbers (TINs) are concerned. While certain errors in reporting dollar amounts are considered "inconsequential" under de minimis error rules, errors in the payee name or TIN are never considered inconsequential and can result in penalties. Best practices to avoid errors and penalties include TIN solicitation, TIN verification, a timely and appropriate response to IRS notices, B-Notices, and procedures to implement and discontinue backup withholding as required. The webinar will discuss the solicitation process including solicitation, effective use of Form W-9, annual solicitations, B-notices, solicitations in response to IRS notices, and what to do when the vendor does not provide a TIN or provides an incorrect TIN. It will cover how to register to use the IRS TIN verification service, how the system matches names and numbers and how this can help in preparing submissions to prevent false positive or negative responses from the system. It will cover how to submit TINs for verification and what to do when the system indicates a mismatch between the name and number of the vendor. Procedures related to IRS notification of a name number mismatch or proposed penalties for incorrect information returns are also covered including procedures the payer must follow in issuing B-Notices to payees. The session will discuss the establishment of procedures for the proper administration of backup withholding.

Year-end is a busy time for Accounts Payable. With annual increases in information return penalties, it is more important than ever to prepare information returns correctly and file them on time. Preparation well in advance of the filing season is critical. The establishment and implementation of procedures that provide for TIN solicitation, TIN verification, response to IRS notices, and backup withholding are keys to efficient processing, avoiding errors or missing information, and establishing reasonable cause for penalty avoidance when errors occur. This webinar discusses how to establish procedures and best practices, including name/Tax ID number verification, that avoid situations that can lead to penalties or, when such situations occur, establish reasonable cause that allows you to avoid the penalty. The IRS recently released proposed regulations regarding the reduction of the e-filing thresholds for information returns. This session will provide the latest information available regarding the proposed regs and what to do to prepare for compliance under final regulations.

• Taxpayer identification number basics: Which number to use
• Form W-9: documentation that establishes reportable and non-reportable payees
• Due diligence procedures avoid or mitigate penalties
• TIN verification is a best practice to clear up potential problems
• Be aware of the IRIS system and how to apply for an IRIS Transmitter Control Code (TCC).
• How to handle missing or incorrect payee tax ID numbers "B" notice procedures – responding to IRS CP2100/2100A notices
• Penalties for late or incorrect 1099 Forms
• Be aware of backup withholding requirements and “B” notices.
• Be aware of best practices such as TIN solicitation and verification that can avoid or mitigate penalties for missing or incorrect vendor Tax ID numbers.
• Procedures and policies that establish "reasonable cause" and avoid penalties

This webcast will be of a valuable assistance to the below audience.

• CFOs and controllers
• Accounts payable and accounting managers
• Accounts payable processing professionals
• Employers and Business owners
• Purchasing managers and professionals
• Public accountants, CPAs and Enrolled Agents