United States of America: Federal Trade Commission issued warning letters to Employer Identification Number service providers for alleged misrepresentation of IRS affiliation

On 1 April 2025, the Federal Trade Commission (FTC) sent civil warning letters to operators of websites providing Employer Identification Number (EIN) services. These warnings addressed potential violations of the FTC Act and the Trade Regulation Rule on Impersonation of Government and Businesses (Impersonation Rule), specifically concerning misrepresented affiliations with the Internal Revenue Service (IRS). The letters cautioned against the use of IRS-like imagery, wording, and symbols that could create a false impression of a legitimate connection with the IRS. Despite the availability of free EIN registration directly through the IRS, some websites charge up to USD 300 for their services. The FTC notified recipients that violations of these provisions might lead to legal action, and infractions could incur civil penalties up to USD 53'088 for each misrepresentation.