Scam Sites Charging for Employer Identification Numbers are Fraudulent
Warning! Warning! Here's the lowdown on scammers making bank by selling you stuff that ain't worth a dime - like government services, like the good ol' IRS and their Employer Identification Number (EIN). The Federal Trade Commission is sounding the alarm about shady websites posing as the IRS, charging up to $300 to file paperwork for an EIN!
But, here's the kicker: you can score a free EIN on the real IRS website! All it takes is a few minutes of your time, and boom! You're set. An EIN is a corporate identifier for filing taxes, and it's required for anyone opening a business, estate, or nonprofit, or even if you've got household employees like a family who hires a nanny.
So, how does this EIN scam go down, ya ask?
These shifty services are impersonating the IRS or pretending to be buddy-buddy with them in various ways, including:
- Showing off IRS seals and logos on their websites and ads
- Slapping "IRS" in their domain names or on their websites
- Using the term "EIN Assistant"
- Not coming clean that they're not associated with the IRS
- Not admitting that payments are just service fees because EINs are free
It's not just EINs, either - scammers are raking in the dough by charging for applications for Trusted Traveler Programs like TSA PreCheck and Global Entry. Though these programs cost a pretty penny, you don't need to pay a dime for the application itself. (Note that TSA PreCheck partners with several third-party enrollment providers, with total fees ranging from $67 to $78.)
And here's how to get your free EIN
If you need an EIN, you can complete the application using the IRS's snazzy EIN Assistant tool. You'll need to spill the beans about your business' legal structure and share some personal details like your name, address, contact info, and tax ID.
Bam! Your EIN pops up as soon as you've finished and verified the info, and the whole process takes fewer than 15 minutes if you've got everything lined up.
To dodge these EIN scams and keep your financials tidy, stick to applying for an EIN directly through the official IRS website (irs.gov), avoid any look-alike sites, and steer clear of any fees for EIN applications. If you suspect a scam, report it to the Federal Trade Commission or the Better Business Bureau to keep our beloved government services free and fair for all!
- Scammers are deceiving individuals by charging for Employer Identification Number (EIN) applications, pretending to be affiliated with the IRS, using IRS seals and logos, and posing as EIN assistance providers.
- It's important to remember that EINs are free, and you can obtain one directly from the IRS's website without any additional costs.
- To avoid falling victim to EIN scams, always apply for an EIN through the official IRS website (irs.gov), avoid any sites resembling the IRS, and refuse to pay any fees for EIN applications.
- If you suspect an EIN scam or any other fraudulent activity, report it to the Federal Trade Commission or the Better Business Bureau to ensure government services remain accessible and fair for everyone.
