Should I fill the taxpayer form (W-9) ?

Question

Hi, I am a computer technician and I work for myself. I am a full time student also, I went to a company to fix their computers and they gave me a paper which is "Request for taxpayer identification and certification" and it asks me for my Social security number.

should I fill this form ? or just tell them that I wanna get a check ?

is it ok if I give them my social sec # ?

Answer 1

If you work for yourself, then I assume you have set up a legitimate business to do this.  Most, if not all companies require W-9s from anyone they're paying money out to.  If you have set up an actual business for yourself, you may want to consider getting a taxpayer ID number for the business so you don't have to give out your social.  

Good luck.

Answer 2

If you don't give them the form, they shouldn't hire you (after all you haven't given them proof that you can legally work!)--or if they do, they will withhold 28%-30% of your payment for taxes.

Answer 3

The W-9 is used to notify them of your SSN.  If you want to be paid for the job, fill it out and give it to them.  If you do not, they will still pay you but will withhold 28% for tax and pay that to the IRS and give you the balance.  Then, early next year you'll receive a Form 1099-MISC with your name but no SSN on it, showing the total you were paid and the tax withheld.  The problem is that without the SSN on the Form 1099-MISC, the IRS may initially balk at crediting you for the taxes withheld.  They eventually will allow it, after they stick you with a $50 penalty for failure to provide your SSN to the company.

Save yourself a bunch of hassles and expense and give them the W-9.  The law requires you to do so.

Answer 4

Yes, it is fine to give them your SSN.  It is the same as putting in on the paperwork you fill out on the first day of a new job.  They need it because they will report the money they paid to you on a 1099-MISC (like an employee gets a W-2) and they need a SSN for that like an employer needs one for your W-2.  Otherwise they are required to withhold 28% which is way more than they need to, but having no SSN requires them to.

I am glad you are being careful with your SSN.  I too am a computer hack that works on the side.  I have a full time gig as an employee but I do afterhours work for several small companies.  So that I would not have to give my SSN out to each of them, I got myself an Employer Identification Number.  In your case it is optional.  If you had employees it would be required.  But the good thing is that you can give your EIN to them instead of your SSN.  (You probably see that on the W-9 form.)

Getting an EIN is free and can now be done online so you get it very quickly.  If you want to find out more and/or apply for one, check out http://www.irs.gov/businesses/small/arti...

Answer 5

If you read the second page of Form W-9, you will find that failure to furnish your tax payer ID (Your social security # or EIN) you will be subject to a $50.00 penalty for each instance.

http://www.irs.gov/pub/irs-pdf/fw9.pdf?p...