W9 Form Massachusetts 2022 – An Internal Revenue Service tax form known as a W-9, is used to confirm the address and name of the person. A confirmation request is made for either an U.S. citizen, or an foreign resident. A W-9 form is also known as a Request for Taxpayer Identification Number and Certification form.
What does Form W-9 serve to do?
The information obtained on the form W-9 is often used to create an alternative version of Form 1099. The form 1099 contains details about any income that may have been earned from the TIN holder but wouldn’t normally be recorded on the W-2 form. This could include income earned as part of a contract, certain real property transactions, dividends on investments, and other financial transactions.
Are you an independent contractor or employee?
Employers withhold taxes on income and also withhold Social Security, Medicare, and unemployment taxes on employees. If you’re an independent contractor, it isn’t. This means that you’ll be accountable for the employer’s portion of Social Security and Medicare taxes but you won’t be eligible for unemployment benefits if you are laid off.
Can I refuse to sign Form W-9?
Certain. Yes. The IRS has a strict requirement for businesses to collect the W-9 form completed from each person who pays $600 or more during the year. There could be fines in the event of not complying.
Refusing to complete the form is a good idea if you feel the requester isn’t qualified for doing this. If you’re concerned, talk to an expert tax advisor to tell you what you need to do.
The Bottom Line
W-9 forms are meant for independent contractors, also known as freelancers. It is vital to complete the form correctly, however, only if you have the right form to fill out and the request has been approved. W9 Form Massachusetts 2022