W-9
A W-9 (Request for Taxpayer Identification Number and Certification) is an IRS form that businesses use to collect the legal name, address, and taxpayer identification number (TIN or SSN) of independent contractors, freelancers, and vendors they pay. The information on the W-9 is used to prepare 109
W-9 Definition
A W-9 (Request for Taxpayer Identification Number and Certification) is an IRS form that businesses use to collect the legal name, address, and taxpayer identification number (TIN or SSN) of independent contractors, freelancers, and vendors they pay. The information on the W-9 is used to prepare 1099 forms at tax time. The W-9 itself is never sent to the IRS — it stays with the requesting business.
W-9 in Practice — Example
A nonprofit hires a freelance graphic designer to create their annual report. Before making the first payment, the nonprofit's bookkeeper sends the designer a W-9 to complete. The designer fills in her legal name, business name, address, and EIN (or SSN if she's a sole proprietor). At year-end, the nonprofit uses this information to issue her a 1099-NEC for the total amount paid.
Why W-9s Matter for Your Business
Collecting W-9s from every contractor and vendor you pay $600 or more per year is essential for tax compliance. Without it, you can't accurately prepare 1099 forms — and failing to issue 1099s can trigger IRS penalties.
Getting W-9s upfront (before the first payment) is a best practice. Chasing contractors for tax information in January is frustrating and often unsuccessful. Build it into your onboarding process.
W-9s also protect your business from backup withholding. If a payee doesn't provide a valid TIN, the IRS may require you to withhold 24% of their payments — creating accounting complexity you don't need.
How W-9s Work
| Field | What's Collected |
|---|---|
| Line 1 | Legal name (as shown on tax return) |
| Line 2 | Business name (if different) |
| Line 3 | Federal tax classification (individual, LLC, corporation, etc.) |
| Line 5-6 | Address |
| Part I | Taxpayer Identification Number (SSN or EIN) |
| Part II | Certification signature |
The requesting business keeps the W-9 on file. They never send it to the IRS. The information is used to populate 1099 forms, which are filed with the IRS and sent to the payee.
W-9 vs W-2
A W-9 collects information from independent contractors and vendors for 1099 reporting. A W-2 reports wages and tax withholdings for employees. If someone is your employee, they fill out a W-4 (withholding form) — not a W-9. W-9s are strictly for non-employee payments.
FAQ
Q: Who needs to fill out a W-9?
A: Any independent contractor, freelancer, or vendor your business pays $600 or more during the tax year. Also required for interest, dividends, and certain other payments.
Q: Is a W-9 the same as a 1099?
A: No. The W-9 collects the contractor's tax information. The 1099 reports how much you paid them. Think of the W-9 as input and the 1099 as output.
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