Why do you need to use Form W-9
If you are a freelancer or work as an independent contractor, a client may request that you provide a W-9 so they can keep it in a file and accurately report the payments they make to you. The company that hires you as a freelancer or independent contractor usually provides you a blank W-9 form which you will need to complete and return to them.
When do you need to use Form W-9
You need to create this form when you are required to report certain types of income as a freelancer or independent contractor. The information recorded on W-9 Form is used by companies to prepare 1099-MISC forms at the end of the year. Companies used the W-9 Form for verification purposes but rarely send to the IRS.
What are the main things that go on this form?
Filling out the form is pretty straightforward as it requires a few pieces of basic information.
Provide your full name and Social Security Number in box 1.
In box 2, provide your business name if you have any, otherwise leave it blank. For businesses, enter the business name at the top of the form and check the relevant box to identify the type of entity. The TIN is added on part one of the form, and it must be the correct TIN. Part two requires you to certify to the IRS that the information you provided is correct.
Then submit the completed W-9 to the person who requested it from you.
What are the most common mistakes to avoid?
The W-9 Form is relatively straightforward and easy to fill. However, you should make sure to avoid these common mistakes when issuing the Form 1099:
- Issuing the 1099 to employees, as they should be receiving a W-2 Form instead.
- Issuing 1099s to a corporation. Only independent contractors need the Form 1099. You can’t issue it to corporations. If you have hired a corporate business for a job, then 1099 is not necessary.
Do I need to use a lawyer, accountant or notary to help me?
It is not necessary to hire a lawyer or accountant to help you create the W-9 Form. You can do it online. Creating the form online can save you money than hiring a lawyer. There are different websites that assist you with questions, and intuitive software to guide you through each step of the process.
Why use our W-9 Form generator?
Our tool has a subscription plan so you can create unlimited W9 forms at a low cost. We also use advanced encryption standards and therefore ensures the confidentiality of your data. Your personal data is 100% secure & private when creating documents with Form Pros.