IRS Form W‑9, officially titled Request for Taxpayer Identification Number and Certification, is provided by businesses to independent contractors, freelancers, vendors, or payees. It collects taxpayer details such as name, address, and Taxpayer Identification Number (TIN)—typically a Social Security Number (SSN) or Employer Identification Number (EIN)—and includes a certification under penalty of perjury.
This form is not filed with the IRS; instead, the requester retains it for internal records and uses the information to issue IRS Form 1099‑NEC or related informational returns.
Form W‑9 is required from:
- Independent contractors and freelancers paid $600 or more in a tax year
- Vendors or consultants working outside employer‑employee relationships
- LLCs, partnerships, trusts, and gig workers acting as nonemployees.
It is not used for traditional employees, who use Form W‑4 and receive a W‑2 for tax reporting.
- Supports IRS reporting: Accurate TIN and payee data helps payers file correct Form 1099 series documents at tax time.
- Avoids penalties: Correct information prevents backup withholding (mandatory 24%) and IRS penalties for incorrect or missing TINs.
- Safeguards parties: Completed W‑9 must be stored securely for at least four years and used only for tax compliance.
What’s New for W‑9 in 2025
- Revision date: Latest official W‑9 form was issued in March 2024 and remains current through 2025.
- Line 3b addition: New checkbox indicates whether a partnership, trust, or estate has foreign owners or beneficiaries.
- Digital submission adoption: Electronic W‑9 collection is widely accepted—plus IRS encourages payors to use its TIN Matching Program to verify payer/payee details before filing 1099s.
Key components to complete on the W‑9:
- Legal name and business entity name
- Federal tax classification (individual, C corporation, etc.)
- Taxpayer identification number (SSN or EIN)
- Certification regarding backup withholding status
- Your signature and date at the bottom of the form.
Incorrect or misaligned information can result in backup withholding or civil and criminal penalties under perjury laws.
Best Practices for Employers & Contractors
- Request W‑9 early, preferably before the first payment to a contractor.
- Verify TIN using IRS TIN Matching where available to avoid errors.
- Maintain compliance: Store W‑9s securely for at least four years and restrict access.
- Update version: Ensure the form used is the March 2024 revision or later.
- Privacy protocols: Handle W‑9 information carefully to protect sensitive data and avoid ID theft.
