W-9??? Has A Buyer Ever Asked You To Fill One Out?? Confused

Business By KimmyKatCakes Updated 3 Apr 2014 , 7:37pm by anne023

KimmyKatCakes Posted 8 Dec 2011 , 11:09pm
post #1 of 11

I did an order for a kids dentist office back before I got my business going and had filed as a business. Today I got an email from the office staff there asking me to fill out a W-9. Do you know what this is and why I would need to fill one out? Also if I claim it under my personal SSN, do I have to pay taxes on it?


Thanks Ladies, I am so confused! icon_surprised.gif

10 replies
Tacy09 Posted 8 Dec 2011 , 11:23pm
post #2 of 11

I catered a breakfast for a local community college and they had me sign one. It doesnt really have anything to do with you (If I remember right) its basically so it can be approved for taxes or some such, to show that they paid you. I think I could be wrong about what it is for, but I know there wasnt anything I had to after filling it out.

jason_kraft Posted 8 Dec 2011 , 11:59pm
post #3 of 11

In this case the W-9 form basically says that you are exempt from having taxes withheld from the income paid to you by the dentist's office. If you have a business now I would use your business's EIN instead of your social security number.

You have to declare and pay income tax on all income received, regardless of whether or not you had a business at the time.

BlakesCakes Posted 9 Dec 2011 , 4:42am
post #4 of 11
Quote:
Originally Posted by jason_kraft

In this case the W-9 form basically says that you are exempt from having taxes withheld from the income paid to you by the dentist's office.




I'm troubled by this because they purchased a product from the OP. She wasn't paid "income", as she would be if she were an employee. She sold them a physical object. It's up to her to declare her income and pay any sales tax or income tax on wages/profits.

Do they do this with the companies selling them computer paper, dentrifice, resin, files, etc.????? I really doubt it.

It seems to me that the recipients are acting as though the payments were wages to an independent contractor, and that's not the case.

I don't deal with any of this, but it's my feeling that it's a means for the businesses to somehow do something good for their bottom line---by placing the purchase of cake/food in a category that benefits their own tax status.

I've never been asked, but I wouldn't fill one out.
Rae

jason_kraft Posted 9 Dec 2011 , 4:52am
post #5 of 11

Requiring suppliers to fill out W-9 forms is standard procedure in many companies, so I would not be surprised if the office has W-9 forms on file for all their suppliers.

FromScratchSF Posted 9 Dec 2011 , 5:10am
post #6 of 11

Companies require w9s so they can prove the payment was to an outside legal vendor and NOT an employee or company that is an illegal business.

It is completely on the up and up and you absolutely should fill one out without hesitation. I have one pre-filled out to provide on request to anyone that asks (and I have been asked by all of my corporate monthly accounts).

Fill it out and use your SSN if that's how you report the income from your cake sales.

They keep the form on file and only produce it at audit. They don't send it to the IRS or do anything else with it except keep it to cover their butts.

I worked for a national title insurance company before I did cake. My company didn't care if you were Joe Schmo Notary, Staples, Amazon or Microsoft, everyone had to fill out a W9 to be kept in file on every transaction or no checks would be cut. Period.

Funniest W9 I ever had to get was for San Francisco Police Department. Really.

KoryAK Posted 9 Dec 2011 , 6:24pm
post #7 of 11

I've had to fill them out before and yes, usually before they would issue payment. I think it's mainly for invoices over a certain size ($600?) but maybe that varies company to company. For every company that has requested one, I have received a 1099 form at the end of the year - so make sure you claim that money!

KimmyKatCakes Posted 10 Dec 2011 , 2:38am
post #8 of 11

Thanks everyone. I did email them and ask why they needed it. The order was for 52 dozen cake pops, some were custom made as teeth and a custom holder done in a race car, checkered flag design. It was $960, so it was a larger sum of money for sure. It did come in handy back then as we found a bee hive in our home a week later and that set us back $1200!

Happy Holiday baking!

cakeandpartygirl Posted 10 Dec 2011 , 3:18am
post #9 of 11
Quote:
Originally Posted by KimmyKatCakes

Thanks everyone. I did email them and ask why they needed it. The order was for 52 dozen cake pops, some were custom made as teeth and a custom holder done in a race car, checkered flag design. It was $960, so it was a larger sum of money for sure. It did come in handy back then as we found a bee hive in our home a week later and that set us back $1200!

Happy Holiday baking!





I know it's not the point of the thread but......52 dz cake pops. I'm sure you were swimming in them and dreaming about them by the time you were done!
icon_lol.gificon_lol.gificon_lol.gificon_lol.gif

gingerbreadtogo Posted 10 Dec 2011 , 11:57pm
post #10 of 11

As KoryAK stated, make sure you report 1099 income on your tax return. If they asked for a W-9 and issue you a 1099, the IRS also recieved a copy of the 1099. It just needs to be included in income or you can itemize 1099 income from so and so in "other income" on Sch C of tax return. Ultimately if you're audited they need to know you included it in your income, save the 1099 with your records.

Lisa

anne023 Posted 3 Apr 2014 , 7:37pm
post #11 of 11

Hello! I was also asked to provide a W9 form when I was paid by a certain company that is worth more than $600 for catering to their event. I used a blank fillable W9 form and got it from this link: http://goo.gl/742T63. You might want to check it. I hope it could help you. It works for me and it was great.

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