Does anyone know why the W-2 worksheet now asks down at the bottom Employee information: Correct to match employee information on W-2 Employee's SSN? and it has you enter the SSN... Is this only for Clients using an ITIN?
Yes. It is used when someone with no SSN uses a fake number in order to work. Some such people do not know the number is fake because they bought a counterfeit Social Security card.
Thanks for the response.. Yes client is filing with an ITIN, So what is the purpose behind this? Is it to report them?
IRS does not share files with immigration--although IRS won't tell us--there is some serious identity theft going on-had 3 last year alone-more likely if they are using this-it's along those lines-they have definitely stepped up activities in that area-used to be the worst that would happen is my clint would get a lett from ss-2 of these past three went way beyond that-1 is continuing in fraud
IRS also implemented a rule saying preparers must manually enter ITINs in their software.
So Taxpayers with ITIN number can't file their returns electronically?
If yes! How can I do with the error on w-2 worksheet?
Thank you for you answer.
Yes they can.. What you will need to do when the W-2 worksheet gives you an error is type in the SSN that is on the actual W-2 you are entering into the software.
My understanding is that this was also done to enable us to e-file returns with ITINs. Before the W-2 w/s asked for the correct W-2 info, we had to paper file all ITIN returns.
