Do you need to understand W8 and W9 forms better? Here you’ll find all the essentials to ensure your workers comply with tax regulations and avoid any issues.
📄 What Are W8 and W9 Certificates?
- W8: A form used by non-U.S. residents who pay taxes in their country of residence.
- W9: A form used by U.S. residents who file taxes in the United States.
Which Companies Require W8 or W9 Certificates?
To generate a 1099, the company must have the worker's W-9 or W-8 form. It is necessary to issue the 1099 in order to declare the expense to the IRS.
Companies in the United States:
- Requirement:
Workers must provide the corresponding form (W8 or W9) based on their tax residence. - Important Note:
- It is the worker’s responsibility to generate and submit these forms directly to the contracting company.
- Due to confidentiality policies, Ontop cannot manage or store this information. 🔒
Companies Outside the United States:
No need to submit W8 or W9 forms, as they are not required to issue 1099 reports.
🗓 Deadlines for Submitting Forms
- Forms must be submitted before processing the first payment or at the beginning of the working relationship.
- For workers under CPRO or OS contracts: You can request Ontop’s W9 form from our support team. In this case, we will generate the corresponding 1099 forms for the workers.
Benefits of Complying with the Forms
- Legal Compliance: Avoid tax issues and ensure alignment with local and international regulations.
- Trustworthy Relationships: Ensure transparency with your workers and strengthen your professional relationships.
Understanding and managing W8 and W9 forms is key to maintaining tax compliance and building strong working relationships.
If you have further questions,
feel free to contact our support team via chat OR
your dedicated Account Manager if you have one 😊
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