This is the form in which every individual earning in the US $ 600 or more is obliged to provide his employer, so that the organization’s management knows how much he should pay taxes from you.
This form is necessary to be filled providing the most truthful information so that the resident’s funds are not withheld by the tax authorities of the country. The time when is a W 9 required can be obtained from specialists on this issue, or from your contractor. He must notify the resident in advance. Based on the data given in this form, a contract is developed.
Typically, the form should be with the company with which the resident is already working by the month of November, but sometimes a deadline of December is allowed. By January, the form should have already been processed by the company’s reporting bodies, and tax data should be submitted to the IRS, for reporting purposes.
What will happen if this form is not submitted on time
This form is necessary for the company with which the resident works in order to collect and submit taxes to the tax authorities, as well as information on tax collections from the organization. In cases where information from the resident has not been received, the company cannot draw up form 1099 on it, which is transferred to the IRS, as a result of which both the resident’s money box and the company as a whole may suffer. Therefore, it is very important to submit the completed form on time.