What Is a W-9 Form, and Why Does Your Brentwood Business Need One

IRS Form W-9

If your Brentwood business hires an independent contractor, freelancer, bookkeeper, repair professional, or another service provider, you may need the worker to complete Form W-9. A W-9 gives the paying business the contractor’s legal name, business name, federal tax classification, address, and taxpayer identification number.

The completed W-9 helps the business prepare information returns such as Form 1099-NEC. Businesses should generally request the W-9 before making the first payment instead of waiting until tax season. This gives the business time to correct missing or mismatched information while the contractor is still actively working with the company.

The contractor completes and signs the W-9, but the business normally keeps it in its records rather than sending it directly to the IRS. Because the form contains sensitive information, including a Social Security number or employer identification number, it should be stored securely and should not be sent through an unsecured email account.

A W-9 does not make someone an independent contractor by itself. The actual working relationship determines whether a worker is properly classified as an employee or independent contractor. Misclassifying workers can create payroll-tax, penalty, and reporting problems.

Tax Services of Tennessee helps Brentwood businesses with bookkeeping, contractor reporting, tax preparation, QuickBooks, and year-round tax planning. For help organizing W-9 forms or preparing 1099s, call 615-933-8292 or visit taxservicesoftennessee.com.



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