Episode 22: US Entities: Validations Required for US Vendors

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If you work in a Finance, Accounting, Purchasing or Accounts Payable Department of a US Agency or Entity and are responsible for setting up vendors in your Accounting System or ERP – this blog post is for you.  The information in this episode will keep you compliant with regulatory agencies and will also ensure that you are validating that the vendor is real, and the data is not fraudulent prior to adding the vendor to the vendor master file.  And that’s what we want folks – real vendors!

Summary:

Basic Requirements

  • Vendor Legal Name and Tax ID Validated Against Internal Revenue Service (IRS) Records

  • Vendor Legal Name against Specially Designated Nationals List (SDN) from the Office of Foreign Assets Control (OFAC)

  • Vendor Address Validated against US Postal Service (US) and Google Earth 

Additional Requirements If the Payment Method is ACH/Wire

  • Vendor Bank Name against Specially Designated Nationals list (SDN) from the Office of Foreign Assets Control (OFAC)

Additional Requirement if the Vendor is a Non-Profit Vendor

  • Vendor Legal Name and Tax ID validated against Internal Revenue Service (IRS) Records for Exempt Organizations (EO)

Additional Requirement If You Are a Government Agency or Entity

  • Vendor Legal Name Against System for Award Management (SAM)

Additional Requirements If Your Company is a Healthcare Organization

  • Vendor Legal Name Against Exclusion List of Office of Inspector General (OIG)

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Vendor Setup & Maintenance Additional Resources:   

 

#stayhappy #puttingtheapinhappy #vendorsetup #realvendors #podcast

 

 Music Credit:  www.purple-planet.com