Estate Set-up with TINs
Answer by Mary Beth Guard, BOL Guru Guru BIOS
Question: If an estate or trust has a Taxpayer Identification Number, rather than a Social Security number, how should the short name be set up? For the purpose of finding the account, it seems to make more sense to use the last name for the short name, but this seems to go against the idea of the TIN. Can the IRS match the TIN using the last name or does it need the actual name of the entity for the IRS name control – for instance, John Doe Estate?
Answer: The IRS TIN Matching Process guidance states that the IRS develops the name control for a decedent’s estate from the decedent’s name on the first name line on the information return. The decedent’s name may be followed or preceded by the word
“Estate.” The TIN used should be the one that was assigned to the estate. They provide the following examples:
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