W9 Form Printable – A W-9 form can be described as an Internal Revenue Service (IRS) tax form that is used to confirm an individual’s name, address and taxpayer identification code (TIN) in order to prove reasons of employment or for other income-generating activities. The confirmation is available for either an individual defined as a U.S. citizen or a person defined as a resident of another country. A W-9 form can also be known as an Application for Taxpayer Identification Number and Certificate form.
What’s the purpose of Form W-9? for?
Most often, the W-9 information is used to create Form 1099. The form 1099 contains details regarding any earnings that might have been received by the TIN owner that wouldn’t normally be recorded on a W-2 form. This can include, but not limited to, earnings paid to a person as part of a contract as well as certain real estate transactions as well as dividends received from an investment; as well as other financial transactions.
Are you an employee or an independent contractor?
Employers are required to withhold income tax and also withhold Social Security, Medicare, and unemployment taxes to employees. This isn’t the case if you’re an independent contractor. That means your employer pays Social Security and Medicare taxes. If you are laid off, you won’t be eligible to receive unemployment benefits.
Do I have to fill out Form W-9?
Yes. If you do not respond to an legitimate request, your client could withhold taxes from your paycheck at 24%. 24%.10 The department that handles accounting may consider you to be a hassle and notify your contact not to conduct business with you again. Businesses are under a strict obligation to the IRS to collect a completed Form W-9 from every person that they pay over $600 for during the calendar year. You could face fines if you don’t comply.
If you feel that the person who requested the form is not legitimately soliciting it, even refusing is likely to be the best option. If you’re concerned, talk to an expert tax advisor about what you can do.
The Bottom Line
W-9 forms are meant for independent contractors, sometimes referred to as freelancers. It is vital to complete the form in a timely manner, but only if you have the right form to be submitted and the request has been granted. W9 Form Printable