When you hire independent contractors or freelancers and pay them, then you have to deal also with some documentation to record such expenses and inform the IRS about them. The basic paper primarily necessary in this matter is w-9 tax form. You have to provide individuals with this legal instrument to collect their personal data, identification number and some other details. You have to keep this information and then together with other required forms forward it to the Internal Revenue Service at the end of fiscal year. Continue reading to learn more.
Since the exchange of documents and correspondence mostly takes place on the Internet it would be much reasonable to create w-9 forms online. With the help of digital means you can easily organize all necessary information and share it. Electronic samples may be customized, signed and sent by email, fax or sms so that you could greatly save your time and efforts. You can add your signature by typing, drawing or uploading. Download the newly created file to your device (whatever PC, laptop, or smartphone you use) to have access to it wherever and whenever is needed. Click ‘Start Now’ and fill out empty lines and boxes. When it comes to the current template, it will take about 5 minutes to complete it online.
Both parties - an entrepreneur and an individual contractor are directly involved in preparation. As a superior you have to keep all important data and taxpayer identification number to avoid any claims and suspicious questions from the IRS. Filling the file will help you to track relevant information and use only correct details. A freelancer who wishes to build strong and trusting relationship with the hirer is also interested in the document proper preparation.
It is important for the employer to have each worker fill out and download the file as early as it is possible. You’d better to provide a contractor with the printable blank for filling immediately after you hired them. An employee has to complete it and forward to you. All you need is to keep the records. At the end of the fiscal year you have to submit the current file to the IRS and attach 1099 MISC and W-2 as needed. It is necessary to use new templates each year due to changes in data and requirements. For example, in 2018 form w-9 you will notice some updates in fields and instructions. Follow them to avoid any misunderstanding.
Read all the field labels to enter appropriate and correct details. Read the following instruction to clarify main points and make the filling process even more quick and simple.
Once you’ve completed, check data on errors and correct them before signing. Download the document to your device and then send it to your superior. The blank is printable so you can bring it personally as needed.
All things considered, tax forms w9 will not make any troubles to you thanks to digital means.
Use printable templates to eliminate workflow hassles and save your time as well as nerves.