How to Issue a 1099 without a SSN
Form 1099 is a tax form used by the Internal Revenue Service to track interest, dividends or compensation paid to independent contractors. Independent contractors are businesses or individual entities who provide services for others and are not classifiable as employees. The IRS requires businesses to submit Form 1099 for each contractor that is paid for services during a year. A copy of Form 1099 is also sent to the contractor at the end of the year.
Free Federal Income Taxes
Instructions
Attempt to collect IRS Form W-9 from the contractor for whom you are issuing Form 1099. Form W-9 establishes the contractor relationship and requires the contractor to provide certain information that may be useful in lieu of a Social Security Number (SSN). Not all contractors are required to have an SSN to work in the United States. Many are issued a Tax Identification Number (TIN) by the IRS. The TIN may be used on Form 1099 instead of the SSN.
Prepare Taxes Free
Issue Form 1099-MISC without a SSN or TIN if you are unable to get this information from the contractor. If the contractor does not have a TIN and refuses to provide you with a SSN, you may still issue Form 1099-MISC. The IRS may assess a $50 penalty against you for submitting an incomplete Form 1099. However, if you can show the omission was due to a reasonable cause and not willful negligence, the IRS may grant an exemption to the penalty. Failure of the payee to return a complete Form W-9 to you may be grounds for an exemption.
Delaware State Tax Extension
Withhold backup taxes from any future compensation given to the contractor until the TIN or SSN is provided. If a payee fails to provide you with a TIN, the IRS requires backup withholding at a rate of 28 percent. If you do not withhold backup taxes from contractors that fail to provide a TIN or SSN, the IRS may hold you liable for any uncollected amount.
Montana State Tax Filing
Form 1099 is a tax form used by the Internal Revenue Service to track interest, dividends or compensation paid to independent contractors. Independent contractors are businesses or individual entities who provide services for others and are not classifiable as employees. The IRS requires businesses to submit Form 1099 for each contractor that is paid for services during a year. A copy of Form 1099 is also sent to the contractor at the end of the year.
Free Federal Income Taxes
Instructions
Attempt to collect IRS Form W-9 from the contractor for whom you are issuing Form 1099. Form W-9 establishes the contractor relationship and requires the contractor to provide certain information that may be useful in lieu of a Social Security Number (SSN). Not all contractors are required to have an SSN to work in the United States. Many are issued a Tax Identification Number (TIN) by the IRS. The TIN may be used on Form 1099 instead of the SSN.
Prepare Taxes Free
Issue Form 1099-MISC without a SSN or TIN if you are unable to get this information from the contractor. If the contractor does not have a TIN and refuses to provide you with a SSN, you may still issue Form 1099-MISC. The IRS may assess a $50 penalty against you for submitting an incomplete Form 1099. However, if you can show the omission was due to a reasonable cause and not willful negligence, the IRS may grant an exemption to the penalty. Failure of the payee to return a complete Form W-9 to you may be grounds for an exemption.
Delaware State Tax Extension
Withhold backup taxes from any future compensation given to the contractor until the TIN or SSN is provided. If a payee fails to provide you with a TIN, the IRS requires backup withholding at a rate of 28 percent. If you do not withhold backup taxes from contractors that fail to provide a TIN or SSN, the IRS may hold you liable for any uncollected amount.
Montana State Tax Filing