Are there any Banks or Credit Unions out there using the IRS TIN Matching program? We keep getting lists of TIN mismatches with penalty assessments. Could someone provide me with an IRS contact?
Thanks,

If I remember correctly, you have to go to the web-site below to register for the use of E-Services and then you can apply to use the TIN matching application:

https://la2.www4.irs.gov/e-services/Registration/Reg_Online/Reg_RegisterUserForm#

I've looked into it, but found that the applicant is required to provide personal financial information. This service appears to be geared more toward tax and other financial professionals.

Yes, the applicant is required to provide his or her AGI from the tax year of their choice. However, given the fact that the information is being provided to the Internal Revenue Service, that could hardly be classified as a disclosure. Logical parallels would be a refusal to provide a Social Security Number to the Social Security Administration or balking at providing a driver's license number to the bureau of motor vehicles.

The IRS already has the information. They are using it to verify the identity of the individual who is purporting to act on behalf of the bank.

The system's primary purpose is to help financial institutions clean up their information reporting.

And many banks do participate in this program.

Although a number of the e-services are geared towards tax professionals, you have to register for it to get to the TIN Matching application. Once you establish your identify with them and get an id, they'll then query you as to whether your acting on your own or for an organization (bank) for TIN Matching.

Your penalty notice should have a contact number and name or division. If you talk to someone unaware of your case number you may have trouble getting answers. I believe IRS is sending these out to banks all over the US.

You are talking about B Notices...that is not what this dicussion is about.

After considering some of the feedback I believe it would be worthwhile to enroll in the TIN matching program. Thanks all.

Thank you everyone, I enrolled our Bank in the IRS TIN match program (which is free). Hopefully this helps with our TIN mismatches.

I would highly recommend this free IRS service, it was a pain getting set up, but I am so happy with the functionality. The TIN matching system does not provide you with SSN's or TIN's, but it will confirm if you have a match or not. I was able to clean up quite a few customer records which should help our bank avoid IRS penalties. You can sign up via www.irs.gov, it's pretty straight forward.

But you can only use it for customers on which you will do information reporting. A customer opening a non-interest bearing checking account cannot be run through the TIN matching system.

Why?

Because it's an IRS service and the IRS is interested in helping you file 1099s with valid name/TIN matches. They are not concerned with whether you have obtained the correct TIN otherwise.

This IRS service also works when you have an invalid name/TIN on a Mortgage, as long as you have reported interest paid on the Mortgage (1098).

As rlcarey said, it can be used on any name/TIN combination (loan or deposit) that is subject to information reporting.

I was doing a search on TIN mismatch and came across this thread.

One of our Officers, checked on this service and said that this service could ONLY be used to verify new employees TIN to the IRS.

Could we use this service to verify deposit and loan customers TIN to the IRS to ensure a match?

IRS requires that it be used only for verification of TINs when you are employing the individual or you will pay him or her interest. In other words, cases in which it's important to the IRS (not just you) that the name and number match up.

See the following for more information:

http://www.irs.gov/pub/irs-pdf/p2108a.pdf

Thank you for your help!