W9 Form New Mexico 2022

W9 Form New Mexico 2022A W-9 form can be described as an Internal Revenue Service (IRS) tax form which is used to verify an individual’s name, address as well as taxpayer identification number (TIN) to be used for reasons of employment or for other income-generating activities. The confirmation can be requested for an individual who is identified as an U.S. citizen or a resident of another country. Also called the Request for Taxpayer ID Number and Certificate Form, the W-9 can be requested.

Blank W9 Form 2020 Fill And Sign Printable Template

What’s the purpose of Form W-9? For?

The information provided on the W-9 form is frequently used to create an alternative version of Form 1099. The form 1099 contains details regarding the income earned by the TIN holder which is not usually listed on a W-2. This can include, but not limited to income that a person receives through a contract and certain real estate transactions or dividends on an investment, and other financial transactions.

Employee or Independent Contractor?

Employers will withhold income taxes and withhold and pay Social Security, Medicare, and unemployment taxes on employees. If you’re an independent contractor, it won’t. That means your employer is responsible for Social Security and Medicare taxes. If you’re laid off, then you won’t be eligible to receive unemployment benefits.

Can I refuse to sign the Form W-9?

Yes. Yes. The business is required to the IRS to collect a completed Form W-9 from every person they pay more than $600 to during the year. You may be subject to fines if you fail to comply.

Refusing to complete the form is a wise choice if the requester has no business doing so. Contact a tax professional should you have any questions.

The Bottom Line

W-9 forms are designed for independent contractors, also called freelancers. It is vital to complete the form correctly, however, only if you have the correct form for submission and the request has been approved. W9 Form New Mexico 2022