[ 2.10.1 - Reasons for Changes to a Federal ID Number ][ 2.10.2 - Adding/Changing a Federal ID Number ][ 2.10.3 - Deleting a Federal ID Number ][ 2.10.4 - Federal ID Numbers 9+ Digits ][ 2.10.5 - Federal ID Numbers In Memory ][ 2.10.6 - Federal ID Number Changes Incoming Calls ][ 2.10.7 - Federal ID Number Changes Outgoing Calls ][ 2.10.8 - Federal ID Number Changes Written Documentation ]

Accurate FEINs are very important. Status uses FEINs as a search mechanism and to distinguish between different Employer accounts. In addition, proper certification of an account to the Internal Revenue Service depends on its FEIN. For these reasons it is essential that Status maintain the integrity of FEINs on the EMF. Accounts Examiners with questions concerning adding or changing FEINs should contact their unit supervisor prior to recording the transaction.

An FEIN can change for many reasons.

These reasons include:

• a change in legal entity
  
• an error by the Employer or their representative
  
• a social security number provided instead of an FEIN
  
• a new business location started (IRS decision to assign new FEIN)
  
• a bankruptcy
  
• a data entry error
  
• a Status Report processing under the wrong account number

An FEIN can be added or changed by accessing the STA screen or the SNC screen. The Accounts Examiner should be careful when processing corrections to an FEIN to insure that an ownership change has not occurred. Detail reason for adding or changing an FEIN on FTC.

1. If an account does not display an FEIN, record the FEIN if it is known.
   
   
2. If a spouse dies with no estate involved and the surviving spouse receives a new FEIN, record the new FEIN.
   
   
3. If a spouse receives a new FEIN because he/she took over the business from the other spouse, and no ownership change is involved, record the new FEIN. This usually occurs when the other spouse decides to retire.
   
   
4. If the IRS changes the Employer's FEIN and there has been no ownership change, record the new FEIN. This usually occurs when IRS assigns another FEIN in error.
   
   
5. If an error was made when the FEIN was originally entered, correct the FEIN. This usually occurs when there is a typo error when FEIN was entered.
   
   
6. If a social security number was originally entered as the FEIN, record the FEIN.
   
   
7. A corporation or an LLC have requested a new FEIN due to the companies having new stock ownership. If there has been no change to the legal entity then we will not assign a new account number. We can change the FEIN on the existing account per employer's request.

Sometimes it is appropriate to delete an FEIN from the EMF. You can only delete an FEIN using the STA screen.  An FEIN should be deleted when:

1. Closing an account as Established in Error. The FEIN should always be deleted from an account closed as Established in Error.
   
   
2. A social security number has been entered instead of the FEIN.

FEINs are nine digit numbers. If an FEIN greater than nine digits in length is provided call the Employer to verify their FEIN.

The SNC screen has a "Memory Only" function which enables the user to add an FEIN as a cross reference. An FEIN should be added as a cross reference whenever:

1. Spouses have separate accounts.
   
   
2. It might be useful to have a parent corporation's FEIN on a related account. This can occur whenever corporations use a common paymaster for their federal reporting.
   
   
3. It might be helpful to locate a particular account or group of accounts.

When adding an FEIN as a cross reference the FEIN displayed on the Status Master Record is not changed.

To add an FEIN as a cross reference only;

Access the SNC screen.

1. Key    EID Number
   
   Press  <Enter>
   
   
2. Key    FEIN

The SNC screen defaults to MEMORY ONLY N (No) which automatically replaces the existing FEIN with the FEIN keyed. To place an FEIN in memory only key over the default "N" with a "Y" (Yes).

3. Key MEMORY ONLY => Y
   
   
4. Press <Enter> to add the record.

In the tax run the FEIN will be added as a cross reference. The FEIN displayed on the Status Master Record will not change.

1. If an account already displays an FEIN that FEIN may be changed on the basis of an incoming phone call. The caller's authority should be verified.  Detail the reason for changing FEIN.
   
   
2. If an account does not display an FEIN and an incoming call provides an FEIN the caller's authority should be verified.
   
   
3. If the caller's authority can be verified the FEIN should be added and FTC screen updated with pertinent information. FTC comments should include the source of the information.  Detail FTC reason for adding FEIN.
   
   
4. If the caller's authority cannot be verified, the FEIN should not be recorded. The caller should be told to request the FEIN addition in writing or by fax. The FEIN addition should not be recorded until the written or faxed request is received.
   
   
5. Before changing an FEIN make certain that it does not already belong to another account.

An FEIN may be changed on the basis of a call initiated from the Status Section.

1. Call the Employer to get the necessary information.
   
   
2. Record the FEIN change as long as it does not already belong to another account.
   
   
3. Update the FTC screen with information pertinent to the FEIN change. FTC comments should include the source of the information and a brief comment on the reason for the change.

Written documentation for FEIN changes is often very important. This is especially true where the Employer wants an explanation regarding a change. The ideal documentation for an FEIN change is a signed request which can be identified as originating from the Employer or their representative. The following guidelines should be used when determining whether or not to add or change an FEIN based on a written request.

1. If an account does not display an FEIN and an FEIN is furnished on an unidentifiable written source, signed or unsigned, the FEIN can be added if it is determined that the FEIN does not already belong to another account.
   
   
2. If an unidentifiable written request, signed or unsigned, is received to change an FEIN the FEIN should not be changed without further investigation.
   
   
3. If a signed and identifiable request (IRS document) is received by fax to change an FEIN, change the FEIN and document FTC with the reason for changing FEIN. Put document in Doc Log & Destroy basket.
   
   
4. If an identifiable but unsigned written or faxed request is received to change an FEIN, the FEIN should not be changed without further investigation.