The W-9 form is a document used by the Internal Revenue Service (IRS) in the United States to collect information about individuals or entities for tax purposes. Here are some relevant points about who should complete the W-9 form:
1. Independent Contractors: Independent contractors, or self-employed individuals who provide services for a business, should complete a W-9 form. This is because businesses use the information provided to report payments made to these contractors to the IRS.
2. Freelancers: Similar to independent contractors, freelancers who work on a project basis for various clients should also complete a W-9 form. It helps their clients track and report payment details to the IRS.
3. Sole Proprietors: If you're operating a business as a sole proprietorship, you are also required to complete a W-9 form when significant transactions occur. This helps the IRS monitor business income and track tax obligations.
4. Limited Liability Companies (LLCs): Depending on how your LLC is treated for tax purposes, the LLC itself may need to complete a W-9 form. Alternatively, if you've elected to have your LLC taxed as a corporation, it is the corporation's responsibility to submit the form.
5. Non-US Citizens: Non-US citizens who conduct business in the United States, such as foreign artists performing at events, may also be required to complete a W-9 form. This helps ensure accurate reporting and compliance for tax purposes.
6. Executors and Administrators: If you're responsible for administering an estate or acting as an executor for someone who has passed away, you may need to fill out a W-9 form. This helps the IRS track any income earned during the estate settlement process.
Remember, the information provided on the W-9 form is crucial for tax reporting purposes and should be accurate. If you fall under any of these categories, consult with a tax professional to determine your specific requirements and ensure compliance with IRS regulations.