Fillable Irs W 9 Form – An Internal Revenue Service tax form known as a W-9 is used to confirm the identity of a person’s address and name. A confirmation request is made for either an U.S. citizen, or an non-resident alien. A W-9 form can also be known as the Request for Taxpayer Identification Number and Certification form.
What does Form W-9 serve to do?
Most often, the W-9 information is used to make Form 1099. The form 1099 contains details about income received from the TIN owner, that isn’t typically reported on a W-2. This could include income earned as part of a contract, real estate transactions, dividends against investments, and other financial transactions.
Are you an employee or an independent contractor?
Employers withhold taxes on income and also withhold Social Security, Medicare, and unemployment taxes on employees. If you’re an independent contractor it won’t. It means that you’ll have to pay for the employer’s share of Social Security and Medicare taxes however you will not be eligible for unemployment insurance if you are laid off.
Do I have to sign the Form W-9?
Yes. If you refuse in response to a legitimate request your client could withhold taxes from your paycheck at the rate of 24%.10 The department that handles accounting may also find you a pain and tell your contact to refuse to engage in further business with you. The IRS has a strict requirement to companies to request an official form W-9 from any person they pay more than $600 per year. The failure to comply could result in penalties.
If you feel that the person who requested the form doesn’t have a legitimate reason for soliciting it, even refusing is likely to be an excellent idea. Talk to a tax expert if there are any questions.
The Bottom Line
Forms W-9 are used for independent contractors, also called freelancers. It is essential to fill out the correct form, but only if you have the right form to fill out and the request has been approved. Fillable Irs W 9 Form