IRS 1098/1099 Export Does Not Include Loans Where Borrowers Have Invalid Or Missing SSN or TaxID

IRS 1098/1099 Export Does Not Include Loans Where Borrowers Have Invalid Or Missing SSN or TaxID

Servicers of loans need to submit all reportable loans to the IRS and may wish to include loans with missing or invalid SSN/TIN numbers in order to minimize IRS penalties.

IMPORTANT! Seek the advice of a tax professional before choosing to include loans where the borrower has an invalid or missing TIN.

Environment:

IRS 1098/1099 Export

Workaround:

An optional checkbox, IRS 1098/1099 Export – Include TaxID Exceptions, is available on the System Administration > Table Setup > Company > End of the Year tab to choose to
include loans with invalid Tax IDs in the IRS 1098/099 Export and the associated IRS 1098, IRS 1099-Int and Annual Statement forms.

Select the option to include loans with the following exceptions in the exports:

  • No Reported TIN
  • TIN number less than 9 digits
  • TIN number with same digits (example: 888888888)
Notes:
  • The Tax Payer Identification number field will be left blank in the IRS 1098/1099 Export and associated forms for loans with invalid TIN numbers.
  • Make sure that the IRS 1098/1099 Export – Include TaxID Exceptions is set as desired at the end of the year, or in January prior to producing the IRS forms and exports.
  • Seek the advice of a tax professional before choosing to include loans where the borrower has an invalid or missing TIN.

ArticleNumber:

000069510