W9 Form Connecticut 2022 – An Internal Revenue Service tax form called a W-9 can be used to confirm a person’s name and address. A confirmation request can be made to either an U.S. citizen, or an alien resident. The W-9 form is called an Application for Taxpayer Identification Number and Certificate form.
What is Form W-9 used for?
The data gathered from the form W-9 is commonly used to make the Form 1099. Form 1099 provides information regarding the income earned by the TIN holder that is not typically listed on a W-2. This can include earnings that are part of a contract, real property transactions, dividends from investment, and other financial transactions.
Are you an employee or an independent contractor?
If you’re an employee your employer will withhold tax on income and withhold Social Security and Medicare taxes, and pay unemployment tax on your wages. It won’t if you are an independent contractor. This means that your employer will pay Social Security and Medicare taxes. If you’re dismissed, you won’t be eligible to receive unemployment compensation.
Do I have to sign the Form W-9?
Yes. If you decline to respond to a legitimate request, your client will withhold taxes from your wages at the rate of 24%.10 The department that handles accounting might consider you to be a hassle and tell the person you spoke to to not engage in further business with you. The IRS has a mandatory obligation for companies to obtain W-9 forms that are completed from every person who has paid more than $600 during the year. You may be subject to fines in the event of not complying.
If you believe the person requesting the form doesn’t have a legitimate reason for having it, however, refusal is probably an ideal choice. If you’re worried, ask an expert tax advisor about what you can do.
The Bottom Line
Forms W-9 are used for independent contractors, also known as freelancers. It is essential to fill out the correct form, but only if you’re certain that it’s the correct form to be submitted and that your application is legitimate. W9 Form Connecticut 2022