TN 4 (02-22)

GN 03913.001 Access to Electronic Services, Direct Fee Payment, and Annual Tax Statements for Representatives

A. Introduction

We require a representative to register with us if he or she wants to receive direct payment of fees or credentials for access to our electronic services (e.g., the electronic disability claims file and online appeals portal). A registered representative must also tell us each time he or she would like to receive direct payment of their fee for a claim, matter, or issue.

The Internal Revenue Service (IRS) requires us to report aggregate direct fee payments of $600 or more in a calendar year. Law firms and other business entities can complete a separate, optional registration process to receive informational Forms IRS 1099 reporting only the amount of fees we paid affiliated representatives in their capacity as employees of the entity.

NOTE: Effective in Tax Year 2020, we issue annual Forms IRS 1099-MISC to representatives who work as employees of law firms or business entities, and Forms IRS 1099-NEC to representatives who work as sole proprietors.

For the definition of a representative, see GN 03910.001. For the necessary qualifications to serve as a representative, see GN 03910.020.

For more information on the appointment of representatives, see GN 03910.040.

 

B. Definitions as used in this subchapter

  1. 1. 

    Affiliation: The employment relationship between a representative and an entity, firm, or other organization. A representative may be affiliated with multiple firms or entities at one time and should report the appropriate affiliation status to us for each pending claim, matter, or issue.

  2. 2. 

    Registration: The process by which a representative provides personal information to obtain credentials for our electronic services and enroll in direct fee payment.

  3. 3. 

    Registration, Appointment, and Services for Representatives (RASR): The application we use to store and manage appointment information, direct payment data, and notices to registered representatives.

  4. 4. 

    Representative Identification Number (RepID): The 10-character identifier we assign to a representative to use instead of his or her own Social Security Number (SSN). The representative uses this number for establishing appointments and conducting business with us.

  5. 5. 

    User Identification Number (UserID): The unique number RASR generates and assigns to a representative for accessing our electronic services.

C. Forms

We use three forms to collect the information we need to register a representative for direct payment and electronic folder access, issue direct fee payments, and send annual Forms IRS 1099-MISC and 1099-NEC to a representative and his or her employer(s):

  • Form SSA-1699 (Registration for Appointed Representative Services and Direct Payment): A representative uses the SSA-1699 to provide the information we need to register him or her for direct fee payment, electronic services, and annual issuance of Form IRS 1099-MISC or 1099-NEC. A representative can use the SSA-1699 to establish his or her affiliations with law firms and other business entities, but must also specify the affiliation for each claim by using section 5 of the SSA-1696 (or any other writing with the same information).

    For more information on the SSA-1699, see GN 03913.005 and GN 03913.010.

  • Form SSA-1696 (Claimant’s Appointment of a Representative): A claimant may use the SSA-1696, or any other writing, to appoint a representative to represent him or her in the claimant’s dealings with us. A representative who wants direct payment for his or her work on a claim, matter, or issue must explicitly request direct payment and submit to us all of the information requested in Section 5 of the SSA-1696. For more information on the role the SSA-1696 plays in direct fee payment, see GN 03913.040.

    NOTE: We do not require representatives or claimants to use the SSA-1696. The claimant may appoint the representative using any other writing. Similarly, the representative may explicitly request direct payment in any other written format as long as the request includes all of the information contained in Section 5 of the SSA-1696. For the information we need to process representative appointments, see GN 03910.040D.

  • Form SSA-1694 (Request for Business Entity Taxpayer Information): A business entity may use the SSA-1694 to register to receive an informational 1099-MISC that reports only the income that affiliated appointed representatives receive while performing services as employees of that entity. For more on the SSA-1694 and entity registration, see GN 03913.050.

D. Use of obsolete forms

On February 7, 2020, we archived Form SSA-1695 and incorporated the information on the form into Section 5 of the new SSA-1696. We do not require representatives to resubmit forms for appointments already in effect as of that date. While we work to phase out the obsolete forms, we will continue to accept appointments and direct payment requests using the discontinued forms.

1. Procedure – Representative submits new SSA-1696 with SSA-1695

If a representative submits both the new SSA-1696 and an SSA-1695, and the information on the SSA-1695 is repetitive of the information provided on the SSA-1696, shred the SSA-1695. You may advise the representative that we no longer use the SSA-1695, but that the information provided in the SSA-1696 was sufficient and that we require no further action.

If the SSA-1695 contains information not provided on the SSA-1696, accept the form and use the information to establish the direct pay link in RASR. Fax the SSA-1696 into the eFolder and shred the SSA-1695.

2. Procedure – Representative or claimant submits SSA-1696-U4

If a representative or claimant submits an old SSA-1696-U4 or any other writing in lieu of the current version of the SSA-1696, process the appointment in accordance with GN 03910.040. Inform the representative that he or she must submit all the information requested on Section 5 (page 5) of the SSA-1696 in order to receive direct payment.


To Link to this section - Use this URL:
http://policy.ssa.gov/poms.nsf/lnx/0203913001
GN 03913.001 - Access to Electronic Services, Direct Fee Payment, and Annual Tax Statements for Representatives - 02/15/2022
Batch run: 02/15/2022
Rev:02/15/2022