The Housing Assistance Tax Act of 2008 includes the enactment of Section 6050W of the Internal Revenue Code that requires reporting entities to annually report payment card and third-party network transactions to the Internal Revenue Service (IRS) for each calendar year. This IRS mandate also requires all merchant service providers to validate the legal name and Tax Identification Number (TIN) for every merchant in their portfolio on an annual basis. At the beginning of every year, you will receive form 1099-K reporting your total gross sales of credit card transactions for the previous year. It is critically important for you to furnish your correct TIN (Taxpayer Identification Number) and correct business name to us to avoid a 28% withholding as mandated by the IRS. Additional monthly fees may be assessed if you fail to validate your information.
Please feel free to download a copy of the Merchant Handbook for your records.
Article ID: 36000167001