IRS QUESTION! What is a W-9 used for?
a company is reimbursing me for something i paid in advance for them. now they want to pay me but want me is sign a w-9 why is that. will I have to taxes on that?
2006-10-12 13:37:48 · 8 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
If you're just getting reimbursed for something you used your own, already-taxed money to purchase for them, you shouldn't have to pay taxes on the reimbursement. Watch this closely, and make sure than when you get the check there is a stub or something very clear that says it's reimbursement. Keep a photocopy of it.
2006-10-12 17:06:32 · answer #1 · answered by Judy 7 · 0⤊ 0⤋
I agree with Jeff. With the W-9, they want either your tax ID number or Social Security Number so they can send you a 1099.
If this is just a reimbursement of your actual cost, tell them that you do not want to be taxed on it. If they refuse to pay you, repossess the item that you purchased.
However, if this is part of a service that you performed for them, then fill out the W-9 and write off the item that you purchased as a cost of doing business.
2006-10-13 11:04:39 · answer #2 · answered by Steve 6 · 0⤊ 0⤋
If you are getting a W-9 that means they plan on sending you a 1099 at year end. If you get a 1099, the government will be looking for this amount on your tax return. I would clarify with them that this is not a taxable item to you and that a 1099 isn't necessary. Its better to get it straight with them now than after the 1099 has been sent.
2006-10-13 04:12:33 · answer #3 · answered by Jeff C 2 · 0⤊ 0⤋
A W-9 is a request for your social security number. They have to have it in order to prove that they paid for something. They should put on your payment that it is an expense reimbursement so you will not have to pay any taxes on it.
2006-10-14 05:15:12 · answer #4 · answered by acmeraven 7 · 0⤊ 1⤋
W-9 is filed by those who subject to U.S. taxes. A foreign alien files form W8-BEN. W-8BEN.Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding. These entities should use Form W-8BEN if they are claiming treaty benefits or are providing the form only to claim they are a foreign person exempt from backup withholding. Do not file W-8BEN if (a) you are a U.S. citizen, resident or U.S.person, (b) you are non-resident who worked in the U.S., and (c) you are receiving income that is effectively connected with the conduct of trade or business in United States.
2016-05-21 21:38:58 · answer #5 · answered by ? 4 · 0⤊ 0⤋
a w-9 is a request for a taxpayer ID number. I have no idea why you would have to fill it out.
2006-10-12 13:45:30 · answer #6 · answered by ? 6 · 0⤊ 0⤋
yes, it is a form of income and is taxable by the fed and according to your state, them too. this year you may want to take
your tax obligations to a pro.
2006-10-12 13:48:28 · answer #7 · answered by barrbou214 6 · 0⤊ 0⤋
????
2006-10-12 13:38:53 · answer #8 · answered by Anonymous · 0⤊ 0⤋