October 9, 2009, Newsletter Issue #188: Form W-9 - Request for Taxpayer ID

Tip of the Week

Form W-9. Titled ‘Request for Taxpayer Identification Number and Certification’. This IRS form is mostly commonly used by independent contractors, or self employed individuals, to release information to paying customers. It also is requested from payers prior to making payment. Many firms require this tax information form to be on hand as back-up for their accounts payable process.

This information from this IRS form is needed in order to process payment. For instance, every time a self-employed musician has a scheduled gig, the place they are playing at will need a W-9 for their records. The musician will fill it out, sign it, and return it to the administrative office of the gig site. Then, the W-9 will be used as backup for the check processing (or payment) by the organization. Many entities require having signed W-9s on file for all independent contractors they pay. The W-9 contains the independent contractor’s name, address, and taxpayer identification number. It, in turn, will be used at year end to prepare a 1099 (an IRS tax form).

About LifeTips

Now one of the top on-line publishers in the world, LifeTips offers tips to millions of monthly visitors. Our mission mission is to make your life smarter, better, faster and wiser. Expert writers earn dough for what they know. And exclusive sponsors in each niche topic help us make-it-all happen.

Not finding the advice and tips you need on this Taxes Tip Site? Request a Tip Now!

Guru Spotlight
Sheri Ann Richerson