Protecting Your Social Security Number ... Part 2

Follow Up - When Someone Wants Your Social Security Number...

A number of you had questions concerning

the article, “What Should You Do

When Someone Wants Your Social Security

Number,” printed in the Winter 2002 issue.

Here are answers to those questions.

What if the employee doesn’t have a

Social Security number when wage

reports (Forms W-2) are due to Social

Security?

Paper Filers: If the employee applied for a

card but didn’t receive the number in time

for filing, enter “Applied For” in Box d.

Magnetic Tape/Diskette or Electronic Filers:

If the employee applied for a card but didn’t

receive the number in time for filing, enter

all zeros in the field for the Social Security

number.

Remember to ask the employee to tell you

the number and exactly how his or her

name is printed on the card.

My employee received his or her Social

Security number after I filed my wage

report. What do I do?

When you receive the employee’s Social

Security number, file Form W-2c, Corrected

Wage and Tax Statement, to show the

employee’s number.

What happens if someone “makes up”

a Social Security number?

Providing a “made up” Social Security number

can violate the law under some circumstances.

An individual who devises and uses

such a number could be in violation of section

208 of the Social Security Act (42 U.S.C.

408), which considers certain misuses of the

Social Security number to be a felony.

Does “making up” a number violate

other laws?

Other federal or state laws may be affected

depending on the circumstances. Many government

agencies, including state or local

agencies, may have their own sanctions for

people who intentionally provide false information.

Consult a private attorney for more

specific advice.

What if a “made up” Social Security

number actually belongs to someone?

If an employee gives you a “false” number

that happens to match the actual Social

Security number of another person, he or

she has violated a federal law. This person

may be subject to criminal penalties for

wrongful use or misrepresentation in connection

with Social Security numbers, as

stated in section 208 of the Social Security

Act and under Title 18 U.S.C. Therefore, a

person should not intentionally scramble his

or her Social Security number or provide

another “created” number in a nine-digit

format. The number could be a valid Social

Security number belonging to someone else.

The use of someone’s Social Security number,

aside from being illegal, could cause

serious financial and legal problems for

that person.

Will Social Security give out my

number to another party?

Social Security will verify a person’s Social

Security number for a third-party requester

only with the written consent of the person

who is assigned the number or as authorized

by the Privacy Act or another federal

law. Examples of cases in which Social

Security will verify a person’s Social Security

number without his or her written consent

include giving the number to:

Employers to assist in submitting accurate

wage reports to Social Security so that workers’

wages can be correctly credited to their

records.

State and other federal agencies that

administer entitlement or income-maintenance

programs similar to Social Security’s

programs.

What if I don’t want to give my number?

If you do not wish to use your Social

Security number as an identifier with a business,

you should ask them to provide you

with an alternative identifier. Social Security

recommends to businesses that alternative

numbers be in a format that cannot be confused

with a Social Security number. If a

nine-digit number is to be used, Social

Security advises businesses that the number

begin with alphabetic letters or “000.”

Are there times when I have to

give my number?

There are federal laws that require people to

provide their Social Security numbers when

requesting certain benefits or services. For

example, section 1137 of the Social Security

Act gives states the authority to require

Social Security numbers from applicants for

Temporary Assistance for Needy Families,

Medicaid and unemployment compensation.

Can we stop businesses and schools

from using Social Security numbers for

identification?

No, the Privacy Act of 1974, as amended

(5 U.S.C. 552a), does not provide limitations

on how private industry uses the Social

Security number.

Identity theft is the fastest growing crime

in America today. Many businesses and

schools are voluntarily changing the way

they numerically identify customers and

students to help prevent identity theft. This

can be quite expensive and will take some

time to implement on a large scale.

In the future, legislation may mandate that

businesses and schools make this change.

Currently, there are legislative proposals

designed to place limitations on how the

Social Security number can be used. One

would prohibit companies from selling or displaying

customers’ Social Security numbers,

except for a business purpose such as checking

a credit report or securing a mortgage.

Source: SSA/IRS Reporter Summer 2003