I have a friend who is a non-US resident. He is forming a US corporation. In order to get an EIN, he needs someone with a social security # to sign for the SS-4 form. He asked me if I would do it, and said it would not mean any danger to me. Can someone, please tell me about all the things involved with this?
Are there any downsides? Are there any hidden benefits for me?
Thanks.
talk to a CPA.
if someone from a foreign country wants to start a Corp in America, how do you know they “need” a SS number…let alone yours.
how close are you to this “friend”.
talk to a CPA.
a two minute conversation with a CPA will yield the best results.
also visit irs.gov
They do need a Federal Taxpayer I.D. Number for the corporation, and the Form SS-4 will require a Federal Taxpayer I.D. Number for the person or entity applying for the new EIN. I am only guessing, but they may need your number to get around FIRPTA withholding requirements. I agree with the prior poster. You need to seek advice of counsel, but make sure they are someone that has indepth knowledge of FIRPTA issues. I think you will find that this is not a good position for you to be in and you should probably pass on the idea.
uhmm…if you’re not the “applicant” and he uses your number, that’s called fraud.