Signed up for Payroll, EIN keeps getting denied by Square, IRS said I am entering my info correctly

[tlogank]

I recently hired an employee for the first time. I signed up for Payroll with Square since they are already my POS service. I have entered the EIN exactly as it appears on my IRS form. I have tried it a dozen different ways (I am a sole proprietor) but Square denies it every time. I called IRS and they said I was doing it exactly as I should and this was Square's problem. I am at a loss here as my employee needs to get paid but Square refuses to accept the EIN. Anyone have any suggestions? I have been emailing Square support, but it's been a slow and useless effort. 

[Summer2024]

Hi, @tlogank ! 

That is super frustrating. I have reached out to a payroll specialist to take a look into this situation and possibly provide some better insights than what you have gotten from support. I will be back once I have a response from them. 

[Summer2024]

@tlogank 

While they take a look - 

A couple of things to try/know:
• When you enter your EIN and “Taxpayer name” in Square Payroll, they have to match exactly what’s on your IRS EIN letter (often called the SS‑4 confirmation) – including spelling, “LLC/Inc,” and spacing. If you haven’t already, grab the IRS letter and type the name in exactly as shown.

• If your EIN was issued very recently, there is usually a lag (often several weeks) before it shows up in the databases that payroll providers use to validate EINs. During that time, even though the IRS says the EIN is active, our system (and other providers) may still show “invalid” until those records update.

In the meantime, if you absolutely must pay your employee before that EIN can be verified, you can pay them outside of Square Payroll (for example, by check) and then add those earlier wages into Square Payroll later once your EIN has been accepted, so your year‑end W‑2s stay accurate.

[Summer2024]

@tlogank - Sorry for all the pings here! 

It looks like your EIN was verified on 2/15. . It looks like the issue was it originally did not include the middle initial in your taxpayer name, once you updated that, it verified correctly. 

Glad this could all be worked out. Let me know if any other issues are pending. 

[tlogank]

You need to unmark your reply as the solution, as your comment is incorrect. The issue was not how my name was listed, I tried my name 100 different ways and the IRS confirmed I was typing it correctly. I figured out the resolution from an obscure reddit comment a few years ago. I put my SSN instead of my EIN and it was accepted. Doesn't make any sense, but hoping it works when payroll comes out.

[Summer2024]

@tlogank - Our payroll team let me know that it was the middle initial that was the issue.

[tlogank]

Your payroll team was wrong, like I said, I tried it 100 ways with and without the middle initial. I just got another error about the same problem today, so the issue is still not resolved. Please unmark the thread as successfully resolved, as that is not the case. I filed payroll today and getting the error again. 

[tlogank]

Accidental duplicate reply. Issue still occurring, back to square one with no resolution still. 

[Summer2024]

Sheesh - okay. I'm so sorry. Let me get back with them. 

[tlogank]

Not your fault, I am just frustrated with this whole experience. 

[Summer2024]

I did remove my solution tag because how stinkin annoying is it to be having a problem and see your post as solved 🤣 I'm working with them now to hopefully get this resolved. 

[Summer2024]

@tlogank - are you able to upload your form SS-4 anywhere? Or did Support ask for it at any time? 

[tlogank]

I am not sure what that form is, but I have uploaded a CP-575A form with the IRS name and EIN to support within the last week.

[Summer2024]

It is the form you filed for your EIN. 

[tlogank]

I talked to the IRS again today. They said I will not have an SS4 to offer you because I applied online and the SS4 only applies to paper applications. They said my CP-575A is the official IRS form confirming my EIN and you should need nothing more than that. They said my account is fully active in their master records and requires no further action from me. They also confirmed that the full taxpayer name I am entering and the EIN are correct. Can we please resolve this? 

[poolman]

Did you get this resolved? It kicked mine back for no reason as well at the same time as you and I can't pay my employee. Seems like a Square issue as well. I contacted the IRS and they said everything I put in is correct. Any luck? I'm on the verge of switching platforms due to the rising costs of Square and this being an absolute cluster, I stayed with them despite all the bugs but it seems loyalty is being punished haha

[tlogank]

Unfortunately I have not had any luck. How long have your had your EIN? I was wanting to use Square Payroll because I already have them for POS and like the timecard app, but the support has been really bad. They will go many days before they respond via email or here. Starting to look at Patriot Payroll now.