1099 Service
About LimeExchange 1099 Service
LimeExchange offers 1099 Tax Form service to the Buyers, collects W9 Form from the Service Providers, and issue 1099 to the Service Providers and the IRS on behalf of the Buyers. This service is free of cost.1099 information
1099 is a U.S. Internal Revenue Service tax form, also called the ‘Information Return’.
A U.S. based Buyer who pays at least US $ 600 to a U.S. based Service Provider during a financial year is required to file 1099 with the IRS for each such provider. This is mandatory as per U.S. tax laws. To file 1099, a Buyer is required to collect W9 Form from the Service Provider.
Who is a U.S. person?
Since 1099 and W9 is applicable to U.S. based persons only, it is important to know who is a U.S. person. For U.S. federal tax purposes, you are considered a U.S. Person if you are:
- An individual who is a citizen or resident of the United States
- A partnership, corporation, company, or association created or organized in the United States or under the laws of the United States, or
- Any estate (other than a foreign estate) or trust.
LimeExchange offers 1099 service to the Buyers, collects W9 Form from the Service Providers, and file 1099 with the IRS on behalf of the Buyers.
What is W9 Form?
- W9 Form is a Request for Taxpayer Identification Number and Certification.
- A Buyer who is required to file 1099 Tax Form with the IRS must obtain the correct taxpayer identification number (TIN) of the Service Provider to report any income paid to the Service Provider.
If a Buyer opts for LimeExchange 1099 service for any project, then LimeExchange will request the Service Provider to submit a duly filled W9 Form so that 1099 may be filed on behalf of the Buyer.
Service Provider’s obligation
If you are a U.S. person (as defined above) and you have been awarded a project on which the Buyer has opted for our 1099 service, then you must submit a duly filled W9 Form.
A W9 Form has to be submitted only once unless you want to revise or update the information in your W9 Form. If you have been awarded a project on which the Buyer has opted for 1099 service and you do not submit your W9 Form, the payment will be withheld by LimeExchange until you submit your duly filled W9 Form.
How can I submit W9 Form?
Please visit 'My Account --> Settings' section and fill the W9 Form. Print it, sign it and email us a scanned copy of the same at finance@limeexchange.com
Updating W9 information
You are free to update your W9 information at anytime by sending us a revised copy of the W9 Form. To send us a revised and updated W9 Form, please visit 'My Settings' section and fill the W9 Form. Print it, sign it and email us a scanned copy of the same at finance@limeexchange.com
What is Taxpayer Identification Number (TIN)?
TIN is a nine digit number issued by the IRS.
- If you are an individual or sole proprietor, your TIN is your Social Security Number (SSN).
- For all others, your TIN is your Employer Identification Number (EIN).
We do not store your TIN/SSN. Also, we do not have any means to verify your TIN/SSN. Please ensure that you provide the correct information in your W9 Form.
Please note that if you do not have TIN, you need to apply for it. For more information, you may visit http://www.irs.gov/
