w9 forms

 

How long does it take to receive a W-9?

In most cases it can take between 7 and 30 days to receive a W-9 form from us. If you need to place an order we recommend that you either wait until you receive your w-9 or you can place an order and receive your form after.

Where to I fill out a W-9 request?

Request a w9

 

What are W-9s and why do I need them?

Form W-9 gathers the necessary information about a vendor for a business to prepare contractor tax forms at the beginning of each year.

When your business hires an independent contractor or another company to provide a service, it’s best practice to have them fill out a Form W-9. It collects the vendor’s name, address, business type, and taxpayer identification number (TIN), and it certifies an individual’s or entity’s legal eligibility to work.

At the beginning of every year, businesses issue 1099 tax forms to third parties who were paid $600 or more for rendering services in the previous year. In some cases, the threshold is even less. You need the information from a vendor’s W-9 to fill out their 1099.

If you hire a painter to design a mural in your office, you’ll ask them to fill out a Form W-9 before starting the job. The following January, you’ll send the painter, their state tax authority, and the IRS a Form 1099-NEC reflecting the payment. The painter will then use the 1099 when filing their independent contractor taxes.

Form W-9 also reveals a vendor’s run-ins with the IRS that would require you to withhold a portion of the payment for taxes. Unless you’re told otherwise through a W-9 or an IRS letter, non-employee workers are fully responsible for paying their taxes.

At the beginning of every year, businesses issue 1099 tax forms to third parties who were paid $600 or more for rendering services in the previous year. In some cases, the threshold is even less. You need the information from a vendor’s W-9 to fill out their 1099.

If you hire a painter to design a mural in your office, you’ll ask them to fill out a Form W-9 before starting the job. The following January, you’ll send the painter, their state tax authority, and the IRS a Form 1099-NEC reflecting the payment. The painter will then use the 1099 when filing their independent contractor taxes.

Form W-9 also reveals a vendor’s run-ins with the IRS that would require you to withhold a portion of the payment for taxes. Unless you’re told otherwise through a W-9 or an IRS letter, non-employee workers are fully responsible for paying their taxes.

When do I need to ask for a W-9?

Before you start contracting with a person or company to provide services to your business, ask them for a Form W-9. The information on a completed W-9 reveals whether paying them triggers a 1099 filing.

The most common reason to file a 1099 is for payments to independent contractors and businesses that provide services, including freelancers, consultants, attorneys, and accountants. Other fees, like rent paid to non-corporate landlords and royalty payments, also require a 1099. Check out this IRS page for a complete list.

There are several types of 1099 forms, most prominently 1099-NEC and 1099-MISC. 1099-NEC is for non-employee compensation, like payments to contractors. Rental and royalty payments warrant the 1099-MISC.

It’s best practice to start every vendor relationship by asking for a W-9, even if you don’t expect to pay that person or company $600 or more during the year. You don’t want to find yourself in January without all the documentation you need to complete and file your 1099s.

When don’t I need to ask for a W-9?

Your reflex should be to ask for a W-9 from any non-employee whom you’re paying for services. However, you don’t need to collect a W-9 from companies when there’s no chance you’ll need to file a 1099.

For example, you don’t need to file 1099s for payments to businesses taxed as C corporations or S corporations, except for attorney payments and a few other circumstances. Since LLCs may be taxed in one of several ways, you need to pay close attention to how they’re taxed when filing 1099s. Payments to tax-exempt organizations and banks don’t warrant 1099s either.

By this logic, you don’t need to ask for a W-9 from a publicly-traded company since they’re all corporations, with public EINs to boot.

You also don't need a W-9 before buying merchandise in most cases. However, you need a W-9 before spending $5,000 or more for consumer products that you plan to resell outside of a “permanent retail establishment,” like from your home. It’s best to consult with an accountant if you suspect your business activity roughly fits this description.

W-9s aren’t required when paying for:

Reimbursements to employees
Telephone services
Freight
Storage