W9 Form Printable California – An Internal Revenue Service tax form known as a W-9 is used to verify a person’s name and address. A confirmation request is made to either the U.S. citizen, or an foreign resident. Also called the Request for Taxpayer ID Number and Certification form, a form called a W-9 is available for request.
What’s the purpose of Form W-9? for?
The majority of the time, the W-9 information is used to make Form 1099. Form 1099 provides information regarding income earned by the TIN holder, that isn’t typically reported on the W-2. This can include, but is not limited to income paid to a person through the terms of a contract and certain real estate transactions; dividends paid against an investment, and other financial transactions.
Independent Contractor or Employee?
If you’re an employee your employer is required to withhold income tax as well as withhold and pay Social Security and Medicare taxes and will also collect unemployment tax on your wages. You won’t have to pay if you’re an independent contractor. This means that your employer will pay Social Security and Medicare taxes. If you’re laid off, then you won’t be eligible for unemployment compensation.
Do I have to fill out Form W-9?
Certain. Yes. Companies are required from the IRS to request a completed form W-9 from everyone they pay $600 or more to during the year. You may be subject to fines if you fail to comply.
Refusing to sign the form is not a best option if the person who requested the form is not legally entitled to doing so. If you’re concerned, ask an expert tax advisor about what you can do.
The Bottom Line
Forms W-9 are used for independent contractors, also called freelancers. It is important to complete the correct form, but only if you have the right form to be submitted and the request has been approved. W9 Form Printable California