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Old 12-30-2003   #1
Peaches
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Quote:
Originally posted by Carrie@Dec 30 2003, 04:44 PM
When we hired independent contractors we still had to get the W-9 so that if they made more than $600 in the calendar year we could notify the IRS (which we were obligated to do).
We'd send them a 1099 and it *was* their responsibility to report it, but it was *also* our responsibility to report anything over $600 so the IRS could check up on them.
I could be wrong, from but from what I've read on the IRS site, if you didn't get a W9 from them, there would be no penalty applied to you. You would just have to do as ARS is stating they will be doing - deducting 28% from payments and letting the contractor deal with getting some/all/none of it back at tax time.
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