I think what we have here are IRS auditors pulling a couple of dozen cases in a validation audit and finding more than the previously understood number of errors. It's a quality control problem ~ not a full blown statistical sample.
All visa holders authorized to work in the USA must get a ss# NOT a tin#:
As soon as you arrive in the US on a work visa, you must get a Social Security Number (SSN) immediately. The SSN is required for the following purposes:
Working in the U.S.
Getting Social Security benefits, and,
Receiving some other government services
Remember that your SSN is not an identification number. You must protect your SSN like other important papers such as salary slips, passport, I-797, etc. You are not required to show your Social Security card everywhere and you must not carry the card with you. Initially you will need the SSN to work in the U.S., open a bank account, and obtain benefits from U.S. agencies. Since it is a unique number consider as your own ‘tracking number’. The Social Security number is used by the Internal Revenue Service as an identifier in processing your tax returns. You will also need it to apply for a drivers license, phone, internet, or cable connection.
Why should I apply for the SSN?
You must apply for the SSN. Merely getting the H1B visa is not enough. Without a social security number you are not allowed to legally work in the U.S. The SSN is a unique number given by the social security administration (SSA). Every individual is required to be registered with government by law. Your social security number is a 9 digit number made up of 3 parts called the AREA (XXX), GROUP (XX), and SERIAL (XXXX). The first 3 digits represent the state where you applied it. The other parts are unique.
Why is it important to keep the Social Security Number private?
Your Social Security number is frequently used as an identification number to access many computer databases like your bank account, credit report, tax information, etc. As such it is like your complete life sketch. Anyone with your SSN can access all your personal and professional information. Hence there is a risk of fraud and anyone can use your SSN to access your bank account, credit accounts, utilities records, and other important information. Therefore you must protect your SSN.
How to get the SSN?
Getting the SSN is a simple procedure.
Go to the nearest SSA office,
Fill up an Application For A Social Security Card (Form SS-5); and
Show original documents or copies certified by the issuing agency proving your immigration status [including a work permit by Department of Homeland Security (DHS) ], passport, identity card (ID)
Get a receipt
Receive the SSN in 2-3 weeks via mail on your residence address.
On the H1B visa you are an immigrant to the country and not a citizen. You will be asked for the following papers by the Social Security:
Form I-551 (includes machine-readable immigrant visa with your unexpired foreign passport);
I-94 with your unexpired foreign passport; or
Work permit card from the Department of Homeland Security (I-766 or I-688B).
http://www.path2usa.com/apply-for-social-security-number