Truncated Forms W-2 and 1099

February 18, 2021

As a safeguard against identity theft, the Internal Revenue Service (IRS) allows payers to truncate, or shorten, the payee’s taxpayer identification number (SSN, FEIN, or ITIN) on the copy of Form W-2 or 1099 that the payer gives to the payee.

However, Forms W-2 and 1099 filed by employers with the IRS, Montana Department of Revenue, or the Social Security Administration must have full versions of both the employee’s and employer’s identification numbers.

What this means for Employees:

You may receive a Form W-2 or 1099 from your employer with identification numbers shortened for increased security.

You may still use these forms when filing your individual income taxes.

What this means for Employers:

You may provide your employees with Forms W-2 or 1099 with truncated identifying numbers. But you may not submit truncated identification numbers to the IRS, Montana Department of Revenue, or Social Security Administration.

If the forms with truncated information are incorrectly submitted to the Montana Department of Revenue, you may be asked to resubmit them using the correct format.