For box 1, type or write your full name. For box 2, type or write your business’s name (if you have one). If not, leave it blank. For box 3, check the box that describes you or the legal status of your business. If you are filling the form out for yourself and you are not being contracted through a company that you own or work for, check the “Individual” box. For box 4, only complete if you have an exemption code. Leave it blank if you are an individual. For box 5, type or write your street address. For box 6, type or write your city, state, and zip code. Box 7 is optional, only fill in this section if you have an account number that your employer will need.
If you are an individual, type or write your social security number in the appropriate space. If you are a resident alien, sole proprietor, or disregarded entity, type or write your Taxpayer Identification Number. You can get a Taxpayer Identification Number if you don’t have one. For all other entities, you will need to fill in your Employer Identification Number. If you have a TIN/EIN/SSN but cannot remember it, you can call the IRS at (800) 829-1040 or the Social Security Administration at 800-772-1213.
By signing Part II of the W-9, you are stating that: the TIN you provided is correct you are not required to have 28% of your income withheld for tax purposes you are either a US citizen, resident alien, or business entity registered or recognized in the US, or a legal non-business entity recognized in the US you have provided correct information regarding your FATCA (Foreign Accounts Tax Compliance Act) requirements If you sign and one or more of these statements is false, you could face criminal charges, including perjury.
Clients use your W-9 to put the information you provide on the 1099-MISC, which will be sent to the IRS and to you, for your tax purposes, usually in late January.
Real estate transactions Payment of mortgage interest Acquisition or loss of secure property Cancelled debts Individual retirement arrangement (IRA) investments
Backup withholding allows the IRS to claim income tax from investors’ earnings, in the event that an investor attempts to claim this money before tax has been levied on it. The payment owed is called “backup withholding. " Again, in most cases, you’re exempt and it will be your client who owes the 28% income charge, not you. [5] X Research source If your clients choose not to collect information from you with a W-9, or if you include incorrect information on your form, your clients be liable to furnish backup withholding fees to the IRS. If you fill out the form and furnish it to the requesters, you won’t be liable for making these payments under any circumstances. Keep track of your records and you’ll be fine.
