Hey Brokers, question for you. When new agents come over, we make them complete a "New Agent Profile" which requires their SS/EIN for reporting their 1099's.

That being the case, do we still need a W9 completed from them? If so, what do we do with this form, do we have to submit it to the IRS when we issue their 1099 or do we just keep it on record, to have their SS/EIN, even though we already have it from their "New Agent Profile"

Thanks guys!!!

The IRS doesn't know (or care) what you have for a New Agent Profile.

You need the W-9 to prove that the Agent certified to you that he is exempt from all Supplemental or BACK-UP Withholding, and that you can feel free to pay him/her "all" the money that they earn without also sending a percentage to the Feds and State Tax Departments.

Without that "Certification", you could find yourself or your Agency responsible for the taxes which were not collected . . . . Get it.

You should be discussing this with your Accountant

I would think you always have to send in the W9