Not only independent contractors are obliged to complete W-9. Certain types of the businesspeople have to deal with this document too. If you own a small business, in which you are the only or at least primary operator, and you also render your services to other, bigger companies, you have to provide the employers with your taxpayer id number. Received data will be used by the employer to report about your income for tax purposes.
Important: W-9 is not required for all business transactions unexceptionally. So you have to accept blanks only from the employers that paid more than $600 in total during the year.
You can ask your employer to provide you with the blank in doc or pdf format or download w 9 form irs 2018 from internet.
Remember: as a small entity owner, you are obliged to keep electronic copy of each blank you fill.
W-9 form for self-employed businesspeople
If your entity is registered in Arizona, you have to complete special State of Arizona Substitute W-9 document.
If you work with Citibank or just have to report about dividends, interests, etc,, they will ask you to complete W-9 in a specific way – you’ll have to write your Business name into Name box. It is a legitimate claim about name for freelancers and that will not be considered as incorrectly completed docs.
In some cases, if you change your information, you also have to change these details in your W-9 blank. So that’s how to update it: make out-of-order request to the IRS, even if you’ve completed previous form recently. It is absolutely free, as well, as standard document. Fill out the paper you receive with your new details and send it to your employer. Make sure you do that before fiscal 2018 year ends. There are no particular federal laws on how quickly you have to update the document; however, it is recommended to update taxpayer’s details as soon as possible.