Actions Are Needed to Reduce the Risk of Fraudulent Use of Employer Identification Numbers and to Improve the Effectiveness of the Application Process

Date Issued

Wednesday, February 7, 2018

Submitting OIG

Treasury Inspector General for Tax Administration

Other Participating OIGs

Treasury Inspector General for Tax Administration

Agencies Reviewed/Investigated

Internal Revenue Service

Report Number

2018-40-013

Report Type

Audit

Agency Wide

Yes

Number of Recommendations

Questioned Costs

Funds for Better Use

Open Recommendations

This report has 2 open recommendations.

Recommendation Number	Significant Recommendation	Recommended Questioned Costs	Recommended Funds for Better Use
3	No	$0	$0
The Commissioner, Wage and Investment Division, should correct programming to reject EIN applications when an EIN has previously been assigned to the same sole proprietor and to reject applications when IRS data indicate that the sole proprietor is deceased.
9	No	$0	$0
The Commissioner, Wage and Investment Division, should develop programming to reject estate applications if the decedent TIN is not that of a deceased individual.