The IRS announced penalties assessed against any college, university or other educational institution for Forms 1098-T that were filed with an incorrect or missing taxpayer identification number (TIN) will be waived for tax years 2012, 2013, and 2014.
The IRS announcement (August 28, 2015) states that the IRS is providing this penalty relief for these three years in light of recent legislation that provides relief to educational institutions from future penalties for missing or incorrect TINs if the educational institution certifies under penalty of perjury that it has complied with regulations governing solicitation of payee TINs. Although this legislation permits this certification, it does not remove the requirement to properly solicit payee TINs. Read more about the legislation at TaxNewsFlash-Exempt Organizations
The IRS stated that for tax year 2012, each educational institution that was previously assessed a penalty will receive a letter from the IRS informing them of the IRS decision. Affected institutions that do not receive a letter by October 1, 2015, are directed to respond to the IRS using the original penalty assessment notice. The IRS is not assessing penalties for incorrect or missing TINs for tax years 2013 and 2014.
For more information, contact:
D. Greg Goller | +1 (703) 286-8391 | email@example.com
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