Episode 23: US Entity: Validations Required to Set Up A Non-US (Foreign) Vendor

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 podcast episode is for you. The information below 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!
Basic Requirements

• Vendor Legal Name and Tax ID Validated Against Internal Revenue Service (IRS) Records
• Vendor Value Added Tax (VAT) Number against VAT Information Exchange System (VIES)
• Additional Tax Number Validations
• 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 International Bank Account Number (IBAN)
• Vendor International Business Identifier Code (BIC) or Society for Worldwide Interbank Financial Telecommunication Code (SWIFT)
• Vendor Bank Name against Specially Designated Nationals list (SDN) from the Office of Foreign Assets Control (OFAC)

Additional Requirement If You Are a Government Agency/Entity

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

Additional Requirements If You are A Healthcare Organization

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

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More Information:
Read the Blog: https://www.debrarrichardson.com/blog/2019/3/20/us-entity-validations-required-to-setup-a-non-us-foreign-vendor
Music Credit: www.purple-planet.com