July Deadlines & Form W-9 for Subcontractors

July Deadlines

2Q Payroll Tax Returns Forms 941 & NYS-45 due July 31

If your business will pay subcontractors in 2023:

If your business will pay subcontractors for work performed for you in 2023, they should provide you with a completed W-9 before they begin the work. This form can be found at: https://www.irs.gov/pub/irs-pdf/fw9.pdf

If a subcontractor will not give you a W-9 form, then you are required to withhold 24% of the payment due to this subcontractor. This is considered backup withholding and needs to be paid to the IRS in order to ensure the IRS receives the tax due on this income. Typically, many subcontractors will finally provide you with a W-9 form when they see that the payment from you will be reduced by 24%. Please see the following link for more details: https://www.irs.gov/newsroom/how-to-report-nonemployee-compensation-and-backup-withholding