How The W9 Form Works

How The W9 Form Works – It's against the law for them to require you to work like an employee but pay you like a contractor. This form serves as a guideline and gives the employer the information needed to fill out a form 1099 at the end of the year. The form is an agreement that you will handle your own income taxes. Once you have the form, enter your basic personal information, like your name and address.

The form requires an individual to provide their name, address, tax qualification, and withholding requirements. As an independent contractor, vendor, freelancer or other individual receiving nonemployee compensation, you typically do not work for the person or. By correctly submitting the form to a requester, the person filling out the form also declares that they are not subject to backup withholding — a 24% rate deducted from non. When beginning to work as either an independent contractor or an employee, you should expect to fill out some paperwork providing your personal identifiable information.