The Internal Revenue Service said Tuesday that for tax year 2011, it would require the manual key entry of the Taxpayer Identification Number shown on W-2 forms received from employers for all taxpayers with Individual Taxpayer Identification Numbers who are reporting wages.
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The IRS warned that no software package should provide an auto-population feature, regardless of the presence of an override feature, to populate the TIN on the Form W-2 for ITIN filers.
Failure to comply with the requirement could result in a written reprimand, suspension or expulsion from the e-file program, the IRS noted, citing Revenue Procedure 2007-40.
The IRS has been cracking down on all forms of taxpayer and tax preparer fraud, in some cases using identification numbers to trace incidents of errors and omissions.