So...
I recently signed up with MSI and accepted an assignment (no, I hadn't read this thread yet).

If I'm understanding what is being said, if I agreed to work with/for TS, I would need...
-- the EIN (even if it is before their June deadline).
-- And, getting an EIN could/would require me to enter the muck of business licenses, occupational licenses, and other "mess"

If that's the case, even as much as I hate to 'flake', I also dread the idea of opening up new paperwork woes for something that may turn out to be a source of one/few assignments.

If I read correctly, you should be able to do the shop now before the June deadline. Contact the scheduler before you cancel and please let me know how it goes. Go to the EIN app and read b4 you decide. It is easy peasy.

It is hard to tell how diligent your state and local taxing authorities are. We got an EIN for a small business that would never have customers anywhere near our home. Fairly promptly we began getting official notices that we needed to get a sales tax number and file quarterly reports with the state; get a local business license including inspections of the premises; get an occupancy permit for our 'office', pay tangible taxes each year on equipment used by the business and similar nonsense. The plan was to sell items that are tax exempt in our state via the internet. It was a nightmare and we closed the business before we opened it.

Things may be different in your area. Where I used to live, zoning would not tolerate a business of any sort in the residential neighborhood where I lived. An EIN there would have alerted folks that there was a business and my official notices could well have been cease and desist orders.

If your state and local area are not feeling a financial pinch, they are probably much less likely to look to business licenses and tangible taxes as a source of revenue, so you could be fine.

Flash - A lot of tax authorities are starting to crack down on all kinds of things because they have huge budget deficits. Your experience is another reason to think long and hard before getting an EIN. We don't make enough money from any one MSC to justify the hassle you went through with an EIN.

Are we done know until we get new info?

cynb -- Not sure what you mean by new info, but Flash provided new info by relating the difficulties he experienced after getting an EIN. Since you believe it's so easy peasy, that experience may not be of a concern to you, however, it may be a concern for people who live in a jurisdiction that would start requiring all kinds of business licenses and other expenses. In other words, there are potential consequences that can be connected to getting an EIN that have nothing to do with making Trendsource happy.

For what it's worth, I wrote to them tonight after I received their Project Acceptance Confirmation, saying:

>> Greetings.

>> I did not realize I would not get paid for this project unless I got an EIN, in particular by your June deadline. I do not feel comfortable making that step at this time.

>> If necessary, please remove me from this assignment.

>> Thank you.

As yet, I have not heard back from them (but it is/was late). I will share what I hear.

Thank you all for the continuing discussions.

The Trendsource shops are not that exciting and the shop fees are a joke. EIN=not worth it!!! End of discussion for me.

I did not have to enter my business license in order to get the EIN#, and since I've done it (believe me), it was free and simple with instructions
on the form...you will also have to send a W-9 form emailed and signed. I don't want to lose the grocery shops, of which I do monthly.
Good luck, many have done this but afraid to write about it on this forum for
fear of being attacked like I was.....good luck if it's what you want. I hope this helps, as I'm one of the few having actually gotten one and posting about it.
The12-GetItDone Wrote:
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> So...
> I recently signed up with MSI and accepted an
> assignment (no, I hadn't read this thread yet).
>
> If I'm understanding what is being said, if I
> agreed to work with/for TS, I would need...
> -- the EIN (even if it is before their June
> deadline).
> -- And, getting an EIN could/would require me to
> enter the muck of business licenses, occupational
> licenses, and other "mess"
>
> If that's the case, even as much as I hate to
> 'flake', I also dread the idea of opening up new
> paperwork woes for something that may turn out to
> be a source of one/few assignments.

Irene, getting an EIN is really simple. Nobody is arguing about that. It is the other ramifications of getting it that need to be considered. It is easy to strike a match but more difficult to put out the forest fire it may cause. Think consequences, not just the action.

Irene -- What you did to get the EIN was not the message of Flash's experience. It may be easy to get the EIN, however, using it may trigger something in local government when they cross-check tax i.d.s that can cause headaches for people. Again, these EIN requirements are unnecessary and may very well create problems for people, not from the IRS but local government departments that can end up costing a lot of money and headaches. In other words, this issue is not as easy peasy as at least one person put it. There are possible repercussions that people need to be aware of and that are different from jurisdiction to jurisdiction. So, if you did not experience what Flash did, that does not mean that someone living in another area of the country won't have an experience like Flash's. Also, it does not mean that next year after you file your tax return using both an SSN and EIN, that won't trigger something that will cause you headaches and cost you money because you needed business licenses and had zoning issues that you did not know about. Bottom line, before you get and use that EIN, you better know all of the repercussions of using that number so you don't have local issues like Flash experienced.

Flash -- Exactly and I think that's the part of the discussion that is being either missed or ignored. I've never shopped for Trendsource and won't as long as they have this ridiculous and ignorant (in my opinion) policy in place. The fact that they're threatening to not pay people who have performed shops for them if they don't get an EIN is also a red flag and smacks of being unethical and possibly illegal. I don't think I've even looked at what they offer. Are their shops worth the risk of possible consequences of getting and using EINs? Based on what the majority of MSCs offer, I would think not.

I understand what Flash and Avi are saying, talking about apples and oranges,
having a larger money making business and making what I make from TS are very different, I hardly make enough from them to report it (I do), but the govt.
are not going to send people out to inspect my business, and I can't get over taxed on what I don't make. This will have to play out in CA where I live and laws are different and changing daily. I'm not arguing that maybe some shouldn't get one as Flash's problem played out...I can only do what's best for me at this time, and I can't see the negative for me. I rely on these food jobs and when that changes, so will I....I still say, to each his own!

Whoever said you will not be paid is wrong, you will be paid up until June 13th and unable to do the shops after that unless you get EIN#. Lots of speculation and not enough current info.



Edited 1 time(s). Last edit at 06/01/2012 08:38PM by Irene_L.A..

Boy, Irene, you did not understand what I was saying. Just because you don't get a 1099 DOES NOT mean they aren't reporting it. Secondly, you are required, by law, to report ALL income and, if you are getting income through your EIN, then you are required to report it using that number. Under reporting is a serious federal offense. Once you use that EIN and it is cross-referenced among various government agencies it can set off a chain of events that are not anticipated. All I'm saying is that people need to do their research and make sure they know what they're getting into. And, I am asking whether the Trendsource jobs make it worthwhile to spend the time to research. To discount what Flash and I are saying because things work for you is unfortunate.

avitoots,
I do not think that Irene said or implied that she was not reporting her income.

She said: "I hardly make enough from them to report it." I did not accuse her of not reporting. My emphasis was more for others who think that just because you don't get a 1099 they don't have to report it. My whole point is that whether you get a 1099 or not, the income is reported which can trigger things in other governmental departments. That's the issue, not the reporting or non-reporting of the individual. I will reiterate, you need to make sure you know what you're getting into both on a federal, state and local level as was shown in Flash's annecdote. The question remains, do you make enough from a company that is threatening to withhold pay for jobs performed to jump through these hoops. I would bet that for most the answer is no.

The grocery shops here only pay a $3.00 shop fee and a $4.00 reimbursement. Do they pay more in other parts of the country? For me, the trouble the EIN could potentially cause is not worth it. I make more of a "profit" couponing (and that is tax free!)

TS needs to stop focusing on how "easy" it is to get an EIN and how it will not affect taxes. As we have all said the income tax situation is totally irrelevant. What is relevant is the host of other licenses and taxes.

Making others aware of this is not attacking or bashing anyone who has chosen to get an EIN and wants to work for TS. It simply is not economically feasible for the majority of us. The amount of money I made from TS last year might cover my business licenses (yes, that is plural), but would not cover my increased insurance nor the personal property tax I would have to pay on any and all equipment utilized for my business including my 3 computers, printer, office furniture, digital camera and video camera.

Update, as promised: They replied this morning with, "Thank you for your follow up. We have removed this project from your list of upcoming completions."

There is no apparent evidence to me that there is a perma-ding on my record with them; however, I have done no work before for them to measure against, and don't plan on it until this requirement changes.

Please clear your head, I said, I hardly make enough to pay, (but I do), I have a tax accountant, so please don't leave out my comments. This makes me wonder if you really know what your talking about, or one of those drama mama's...please read before jumping in and misquoting. Thank you.
avitoots Wrote:
-------------------------------------------------------
> She said: "I hardly make enough from them to
> report it." I did not accuse her of not
> reporting. My emphasis was more for others who
> think that just because you don't get a 1099 they
> don't have to report it. My whole point is that
> whether you get a 1099 or not, the income is
> reported which can trigger things in other
> governmental departments. That's the issue, not
> the reporting or non-reporting of the individual.
> I will reiterate, you need to make sure you know
> what you're getting into both on a federal, state
> and local level as was shown in Flash's annecdote.
> The question remains, do you make enough from a
> company that is threatening to withhold pay for
> jobs performed to jump through these hoops. I
> would bet that for most the answer is no.

This may have been answered sorry if it was. I called IRS and they stick you on hold. Is there an address you can write to get a replacement EIN number.Thanks

do it online, TS site has the link.
sspnelson Wrote:
-------------------------------------------------------
> This may have been answered sorry if it was. I
> called IRS and they stick you on hold. Is there an
> address you can write to get a replacement EIN
> number.Thanks

I would check their website at www.irs.gov.

SoCalShopper Wrote:
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> EIN number ensures your status as an independent
> contractor. Besides, wouldn't you rather have them
> use an EIN number instead of your SSN?
>
> Don't worry about it. If you already do a Schedule
> C, EIN is just a formality.


I was looking through this thread and saw the above post. I want to clarify that I am "SoCal Shopper"...with a space in between "SoCal" and "Shopper" and this person is "SoCalShopper"...no space inbetween. So, please don't ever get us mixed up if something is ever posted negatively by this shopper. *_*

Flash, that is the link TS gives you.....all forms are there.
www.irs.gov.
Flash Wrote:
-------------------------------------------------------
> I would check their website at www.irs.gov.

Forgive me for not searching the other threads on this topic, but I am wondering if there is any chance that their insistence on EIN's is related more to the fact that they do business verifications? I don't have any logic for that; it's just a thought that crossed my mind.

I just signed up for what may be my last business verification, as I will not be getting an EIN. It's a shame, because those are the best opportunities that TrendSource has...

Has nothing to do with business verifications.

BTW, the company that has a Federal (HHS) contract to do the business inspections (verification) concerning possible Medicare fraud, is NOT requiring an EIN, even though HHS has specified, in minute detail, all other qualifications for the ICs that will be retained for those assignments.

An accountant friend of mine told me that there is a report circulating about an independent contractor that filed for unemployment compensation. That simple act (an IC filed for unemployment) triggered an automatic employment audit of the firm that hired the IC.

This could be why TS is requiring their ICs to get EINs. You wouldn't be able to file for unemployment using an EIN. If all of their ICs have EINs, there would be no (or little) chance that someone filing for unemployment would trigger an automatic employment audit of TS.

I realize that this is speculation, but it seems like a strong argument to me. It also further illustrates that TS is in this only for themselves & their push for IC status has nothing to do with benefits for the ICs themselves.

This, coupled with their falsified attempt to post on this board, have my very sour on TS.

What Joytron says does make some sense. Shoppers have been known to make some very stupid moves, and that could be part of the big picture.

Aside from that, I actually took the time to log into TS today. I have not shopped for them in some time and just haven't been on their site in a while. They now have an article under the resources tab about EINs, and their take on the situation.

I realize that much of what has been offered here is speculation, and some of the folks getting riled up are not even shoppers for TS, and may not have access to that, but it did clear up a few things for me to read what was posted.

It seems they are well aware of the fact that an EIN is not required, but feel for whatever reason that it may be a distinguishing factor in helping to avoid confusion with the IRS should their be a question about the IC status of shoppers.

In the end, the reason they feel this way doesn't matter. Just as we are free to turn down assignments, they are free to set any standards they want for their ICs. You can chose to shop for them or not. Waiting for he IRS to make a decision on IC status is like waiting for judgement day. Someday, perhaps one of us will get to laugh at the other side and say, "See....I was right!"

Flash; I do have one question for you. Did you by any chance file a DBA at the same time you applied for an EIN? I got a similar response as you when I filed by DBA, but my EIN didn't generate any paperwork. It could vary by location, but thought I'd ask.

Avitoots; No need to respond. I already know you are confused by my postings and disagree with everything I say.

SteveSoCal Wrote:
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> Flash; I do have one question for you. Did you by
> any chance file a DBA at the same time you applied
> for an EIN? I got a similar response as you when
> I filed by DBA, but my EIN didn't generate any
> paperwork. It could vary by location, but thought
> I'd ask.

No, the EIN was simply in my significant other's name and with his data.