W-9 Form: What It Is, Who Fills It Out and How Employers Use It
Short answer: Form W-9, Request for Taxpayer Identification Number and Certification, is the IRS form a business asks an independent contractor, freelancer or vendor to fill out. It gives the business the payee’s legal name, tax classification and taxpayer identification number (SSN or EIN), which the business needs to file Form 1099. The W-9 is kept on file by the business and is not sent to the IRS. Employees fill out a W-4 instead.
Contractors fill out a W-9; employees fill out a W-4.
Who fills out a W-9?
Independent contractors and freelancers you pay for services.
Vendors and LLCs that may receive a Form 1099.
Only US persons. Foreign individuals and entities use a Form W-8 instead.
W-9 vs W-4
W-9
W-4
Who fills it out
Contractors and vendors
Employees
Purpose
Collect the TIN for 1099 reporting
Set federal income tax withholding
Tax withholding
None, unless backup withholding applies
Employer withholds from each paycheck
Year-end form
1099
W-2
Read more about the W-4 form. Calling someone a contractor does not make them one; classification depends on the actual working relationship.
What to do with a W-9
Request it before the first payment.
Check that the name and TIN are filled in and the form is signed.
Store it securely with your vendor records. Do not send it to the IRS.
Use it to prepare Form 1099 after year-end.
Backup withholding
If a payee does not give you a correct TIN, you may have to withhold federal income tax from payments at the backup withholding rate, currently 24%, and report it on Form 945. See Form 940 for the separate federal unemployment return.
Tracking contractor hours
If you pay contractors by the hour, EZTime records their hours by project, so invoices match the time worked. See field service time tracking.
Frequently asked questions
What is a W-9 form used for?
To give a business your name, tax classification and taxpayer identification number so it can file Form 1099.
Do employees fill out a W-9?
No. Employees fill out a W-4.
Do I send the W-9 to the IRS?
No. The business keeps it on file.
What happens if a contractor does not provide a W-9?
The business may need to apply backup withholding, currently 24%, to payments.
