Form W-9, Request for Taxpayer Identification Number (TIN)
IRS Form W-9 is used to request the Tax Identification Number (TIN) of a U.S. person or resident alien, and to request certain exemption certifications and claims. Signed W-9 forms from U.S. exempt recipients are needed by withholding agents to overcome an assumption of foreign status, or within a partnership from its U.S. partners to prevent withholding a partner’s share of income. A U.S. person implies a U.S. citizen, or U.S. resident alien. Any partnership, corporation, company, or association organized or created in the U.S, or under U.S. laws, as well as any non-foreign estates or domestic trusts are also included.
Who needs to file a form W-9?
Form W-9 is filed by persons who are required to file information returns with the IRS in order to get a payee’s, or another person’s legal name and Tax Identification Number (TIN). The TIN for individuals is usually their social security number (SSN). In rare instances, individuals becoming U.S. resident aliens for tax purposes aren’t eligible to receive an SSN. Those individuals must apply for an Individual Tax Identification Number (ITIN) with Form W-7, unless they already have an SSN application pending. For those who already have an ITIN, it’s a requirement to include it on Form W-9.
There isn’t a specific deadline mandated by the IRS to file Form W-9; however, the information contained within a Form W-9 directly correlates to information that is required to file Form 1099. You may want to file any Form W-9s before you begin filing for any Form 1099s. Follow your due date for providing recipients with 1099s to figure out how soon you should file your W-9s.
Late Filing Penalties
There are no late penalties mandated by the IRS for Form W-9, but not filing Form W-9 within a timely manner may lead to filing a Form 1099 with incorrect information. You may be subject to a penalty if you fail to file a correct Form 1099 by the due date, fail to include all information required to be shown on a return, or if you include incorrect information on a return.