FAR 4.902, General.

Plain-English Summary

FAR 4.902 explains why the Taxpayer Identification Number (TIN) matters in federal contracting and payment processing. It covers two related topics: debt collection and IRS information reporting. First, it states that contractors doing business with a Government agency must furnish their TIN, and that the Government uses the TIN on certified vouchers submitted for payment so it can identify the contractor being paid. Second, it explains that the TIN is also needed so the Government can report certain contract information and payment information to the IRS under FAR 4.903 and 4.904. In practical terms, this section ties contractor identification to both payment administration and tax reporting, making accurate TIN collection and use essential for timely payment, compliance, and government-wide financial accountability.

TIN must be furnished

A contractor doing business with a Government agency must provide its TIN to that agency. This is a mandatory identification requirement, not an optional administrative detail.

TIN on certified vouchers

For certified vouchers prepared by the Government payment office and sent to a disbursing official, the Government must include the contractor’s TIN. This links the payment to the correct contractor for processing and recordkeeping.

TIN supports debt collection

The Government may use the TIN to collect and report delinquent amounts arising from the contractor’s relationship with the Government. This helps the Government match debts to the correct contractor across systems and agencies.

TIN required for IRS reporting

The TIN is also needed for Government reporting of certain contract information and payment information to the IRS. This requirement connects procurement records to tax reporting obligations under FAR 4.903 and 4.904.

Contractor

Provide a valid TIN to the Government agency when doing business with it, and ensure the number is accurate and kept current so payments and reporting can be properly associated with the contractor.

Government agency

Collect and maintain the contractor’s TIN and use it for debt collection and IRS reporting purposes as required by law and the FAR.

Government payment office

Include the contractor’s TIN with each certified voucher it prepares and submits to a disbursing official.

Disbursing official

Process certified vouchers that include the contractor’s TIN, using that information as part of the payment and reporting chain.

Contractors should treat TIN accuracy as a payment-critical data element; an incorrect or missing TIN can delay payment or create reporting problems.

Agencies need reliable vendor setup controls because the TIN is used both for paying the contractor and for matching delinquent debts and IRS reports.

This section is a reminder that procurement data and financial data are linked; errors in contractor identification can ripple into tax reporting and debt collection.

Contractors operating under multiple business names or entities should make sure the TIN matches the legal entity actually doing business with the Government.

Contracting officers and payment personnel should verify that TIN collection procedures align with the reporting requirements in FAR 4.903 and 4.904 to avoid downstream compliance issues.

(a) Debt collection . 31 U.S.C. 7701(c) requires each contractor doing business with a Government agency to furnish its TIN to that agency. 31 U.S.C. 3325(d) requires the Government to include, with each certified voucher prepared by the Government payment office and submitted to a disbursing official, the TIN of the contractor receiving payment under the voucher. The TIN may be used by the Government to collect and report on any delinquent amounts arising out of the contractor’s relationship with the Government. (b) Information reporting to the IRS . The TIN is also required for Government reporting of certain contract information (see 4.903 ) and payment information (see 4.904 ) to the IRS.