Tipalti provides automated tools to help the payer meet tax requirements and compliance with “black-lists” to avoid payments to unauthorized entities.
All supplier payees are required to fill out tax forms as part of their self-registration on the Tipalti portal. For US entities, a W-9 (Request for Taxpayer Identification Number and Certification) is required. Non-US entities are required to complete a declaration stating that they are not a “US Person” as per the IRS definitions and are asked to submit the necessary W-8 paper work. For international companies using Tipalti, and in particular Europe, VAT ID support is available.
OFAC, AML, Anti-Terror, Anti-Narcotics compliance
Tipalti automatically scans all supplier payee records before executing every payment cycle. This ensures that every payment is checked for legitimacy and legality. Among the databases scanned are the US Treasury Department’s Office of Foreign Assets Control (OFAC) SDN (Specially Designated Nationals) List. These are known bad actors and sanctioned entities that are involved in terrorism, money laundering, arms dealing, drug traffickers, and cyberterrorists.
In addition, Tipalti maintains an internal risk network that payees are also checked against which include reportedly bad accounts based on the experience of our customers.