Subpart 4.9
Taxpayer Identification Number Information
FAR Subpart 4.9 requires agencies and contractors to collect, report, and verify Taxpayer Identification Numbers to ensure compliance with IRS contract and payment reporting requirements.
Overview
FAR Subpart 4.9 establishes requirements for collecting, reporting, and using Taxpayer Identification Number (TIN) information in federal contracting. Its primary purpose is to ensure that agencies and contractors comply with IRS regulations regarding the reporting of contract and payment information. The subpart defines key terms, outlines when and how TINs must be collected from contractors, and details the procedures for reporting contract and payment data to the IRS. It also prescribes the solicitation provision that must be included to obtain TIN information from offerors.
Key Rules
- Scope and Definitions
- Clarifies the applicability of TIN requirements and defines relevant terms, including TIN and related IRS terminology.
- General Requirements
- Mandates the collection of TINs from contractors and subcontractors, except in specified exempt cases.
- Reporting Contract Information to the IRS
- Requires agencies to report certain contract awards to the IRS, including contractor TINs and other identifying information.
- Reporting Payment Information to the IRS
- Outlines the obligation to report payment data, such as amounts paid to contractors, to the IRS for tax compliance.
- Solicitation Provision
- Requires inclusion of a specific provision in solicitations to collect TINs and related information from offerors.
Responsibilities
- Contracting Officers: Must ensure TINs are collected, reported, and solicitation provisions are included; oversee compliance with IRS reporting.
- Contractors: Must provide accurate TIN information and comply with IRS reporting requirements.
- Agencies: Responsible for timely and accurate reporting of contract and payment information to the IRS.
Practical Implications
- Ensures tax compliance and proper IRS reporting for federal contracts.
- Impacts solicitation, award, and payment processes.
- Common issues include missing or incorrect TINs, which can delay payments or trigger IRS penalties.