Current through Register Vol. 54, No. 45, November 9, 2024
Section 117.16 - Identification number(a)Designations. The identifying number to be used by an individual is his social security number which is called an account number. But the number to be used by an individual engaged in a trade or business and required to file returns for Federal employment tax or Federal excise tax purposes is called an employer identification number. The identifying number for all persons other than individuals is also an employer identification number. Thus, it is possible for an individual to have both an account number and an employer identification number.(b)Use of numbers. Every person required to make a return, statement, or other document with respect to his liability, or to matters relating to or dealing with his liability, for the tax imposed under this article, shall include his account number or his employer identification number, as the case may be, in any such return, statement, or other document filed. If such person is an individual engaged in a trade or business, he shall include his account number in the return, statement, or other document, and shall also include his employer identification number. A fiduciary or agent making a return, statement, or other document for another person shall include therein the identifying number of such other person but not the identifying number of the person acting as fiduciary or agent. An income tax return or a declaration of estimated income tax filed jointly by a husband and wife should include the identifying numbers of both.(c)Number of person to be used if return is made by another. The following procedures apply if a return is made by another person: (1) If a return, statement, or other document with respect to any person is required to be made by another person, the account number or the employer identification number, as the case may be, of the person with respect to whom the return, statement, or other document is required to be made, shall be used as follows: (i) Requested of such person by the person required to make such return, statement, or other document.(ii) Furnished by such person to the person required to make the return, statement, or other document.(iii) Included in the return, statement, or other document by the person required to make it.(2) A request should state the identifying number which is required to be furnished under authority of law. An individual who receives amounts of income for which a return, statement, or other document shall be made by the payer thereof, and which is payable to the trade name of a sole proprietorship operated by him, shall furnish his employer identification number to the payer of such amounts. If such individual is not required to secure an employer identification number, he shall furnish his account number to the payer. If an amount is made payable to a fiduciary or agent for a named or otherwise designated trust, estate, minor, incompetent, or other person, the identifying number of such trust, estate, and the like and not the identifying number of the person acting as fiduciary or agent, shall be included by the payer in the return or statement of information made by him with respect to such payment. In the case of dividends on stock made payable to a person other than the record owner of the stock, the identifying number and name of the record owner shall be included by the payer in the return or statement of information made by him with respect to such dividends.(d)Multiple payees. If an information return or statement is required to be made by any person with respect to a payment made by him to more than one person, the identifying number of only one of such payees is required to be requested of such payees by the payer, furnished to the payer by such payees, and included by the payer (clearly linked with the name of the payee to whom it belongs if the surnames are different) in the return or statement of information made by him with respect to such payment. If the multiple payees are husband and wife, the account number of the husband shall be requested and furnished and shall be included by the payer in the return or statement of information made by him with respect to the payment. If the multiple payees are an adult and a minor, the account number of the adult shall be requested and furnished and shall be included by the payer in the return or statement of information made by him with respect to the payment.(e)Applications. Each person shall use as his account number or employer identification number that number which has been assigned to him and which he uses as a means of identification when filing any returns, statements, or other documents for Federal tax purposes. The following requirements apply: (1) An application for an identifying number shall be made by every person required under this section to include his identifying number in any return, statement, or other document required to be filed by him or to furnish his identifying number to another person for inclusion in any return, statement, or other document required to be filed by such other person. However, any person who has an identifying number, either an account number or an employer identification number, assigned to him previously shall not make application for another number of the same kind under this section.(2) An individual needing an account number shall complete an application form which may be obtained from any district director of the Internal Revenue Service or any district office of the Social Security Administration. The application, together with any supplementary statement, shall be prepared in accordance with the form, instructions, and regulations applicable thereto and shall set forth fully and clearly the data therein called for. The application shall be filed in accordance with the instructions on the form. An account number will be assigned to the applicant in due course upon the basis of information reported on the application. A card showing the name and account number of the individual to whom the number has been assigned will be furnished to the individual. In appropriate cases, the Department may require such information as may be necessary to assign an identifying number to any person.(3) Any person needing an employer identification number may obtain an application from any District Director of the Internal Revenue Service Center or any district office of the Social Security Administration. The application, together with any supplementary statement, shall be prepared in accordance with the form instructions, and regulations applicable thereto, and shall set forth fully and clearly the data therein called for. The application shall be signed by one of the following: (i) The individual, if the person is an individual.(ii) A responsible and duly authorized member or officer having knowledge of its affairs, if the person is a partnership or other unincorporated organization.(iii) The fiduciary, if the person is a trust or estate. The application for an employer identification number should be filed approximately one month in advance of the first required use of the number to permit issuance of the number in time for compliance with such requirement. The application shall be filed in accordance with the instructions on the requisite form. An employer identification number will be assigned to the applicant in due course upon the basis of the information reported on the application.