Frequently Asked Questions

The Internal Revenue Service provides a W-9 form. You will simply fill out the W-9 and send it to the particular party and/or corporation; they are required by law to supply this information. If they fail to do so, you have the option of applying to the Internal Revenue Service via a complaint respecting their refusal to supply the information being requested.

Penalties for Non-Compliant Form W-9. The IRS has outlined several penalties for failure to furnish or comply with the reporting requirements of Form W-9. If the taxpayer fails to furnish a correct tax number, the taxpayer is subject to a $50 fine for every instance of non-compliance with tax law and regulation. This penalty can be waived if the taxpayer can prove the non-compliance was not due to willful neglect.

A taxpayer can also be subject to civil penalties for providing incorrect information that leads to incorrect withholding. If the taxpayer makes a false statement that results in no backup withholding, they're subject to a penalty of up to $500. Penalties get worse upon further non-compliance, as the taxpayer can be subject to criminal penalties in certain cases. Willfully falsifying any information or affirmations subjects the taxpayer to fines or imprisonment.

The requester of the taxpayer information is not exempt from penalties either. If the requester discloses or uses the taxpayer's TINs in violation of federal law, the requester may be subject to civil or criminal penalties.

The penalties underscore the importance of compliance with the W-9 process: $50 fine for failure to furnish the correct tax number; civil penalties for incorrect information leading to improper withholding, with a penalty of up to $500 for false statements causing no backup withholding; and potential criminal penalties for willful falsification of information.

Please note that failure to comply with the law gives an individual the right to seek redress through litigation via Small Claims Court — a party can sue primarily for the violation and not the dollar amount associated with the violation to comport to the requirements of Small Claims Court limited jurisdiction. Individuals have been known to file "notices of pending lawsuit" including interrogatories and discovery requests in their communications, asking pertinent questions associated with the law's requirements. It is advised to read up on the rules and procedures for the court if this is an option or path one chooses to venture on — but as always, we cannot assist with such external processes as a matter of policy and the law.

For those finding themselves in a situation where a party refuses to comply with a request for necessary tax information, such as an EIN, documenting attempts to obtain the information and seeking guidance from a tax professional or the IRS directly is advisable.

Investopedia: Purpose of Form W-9 →

The answer to this question is, yes — and here's why.

If you have a tax preparer, in 99 out of 100 cases, they will not document your deductions and/or carryforward credit and/or federal credit and/or net operating losses, and/or utilize the accrual method when preparing your tax documents.

It is asked that you have your tax preparer prepare your document with the exception of the aforementioned, and then you supply those documents to us and we will complete the documents for you, incorporating the aforementioned information and returning the documents to you so that they can be processed according to the provisions, policies and procedures set forth on the forms.

The answer to this question is no. We do not, will not, and cannot give any financial and/or tax advice under any circumstances. If at any time it is construed that something stated via one of our representatives appears to be financial and/or tax advice, we hereby set forth this disclaimer and/or misunderstanding.

Taxes can sometimes seem confusing, but it is not as confusing as many are led to believe. If you have deductions and/or reductions and/or write-offs and/or charge-offs and/or net operating losses and/or credits associated with a specific tax year, you will need to report them in the year in which they occurred. However, as a result of the carryforward and/or carryover policy you may report them in a subsequent year evidencing the carryforward and/or carryover applicability.

There is a rule that the credits must be utilized in the year in which they were received. The exception is that they can be utilized as a result of carryforward and/or carryover application, from the year in which they became an event or were created — this is specified in law. However, as the law requires your records to be current, you want to complete your tax filings as soon as practically possible.

In other words, if you acquired a deduction and/or reduction and/or credit in the year 2023 and you do your taxes for 2024, you will not be able to utilize the credits acquired in 2023 for any offsets. However, if the event creating the credits and/or deductions and/or reductions occurred in 2022, you will be able to reduce tax liabilities in 2024.

Does this mean that you have to wait a year before doing your filing requirements? Absolutely not — it is not advisable that you wait a year, as there are penalties associated with such delays. You are to file as soon as practically possible according to the Internal Revenue Service, please be advised.

The introductory discount for those who find us prior to February 28, 2024 is that we will input their data for up to $100,000,000 in deductions and/or credits and/or write-off's. The limit is now set, and there is an additional cost for exceeding the limit at this time for all other clients who came into the program after February 29, 2024.

Thank you — we appreciate that question. To get a better understanding of taxes, we would first suggest that you start off with viewing this site and clicking on the various links. You will find that there is a wealth of information there, and all of it is designed to give you a better understanding. Then you can use any one of the GPT models — go to the IRS website and put in any publication and/or reference any particular form and ask the GPT model to explain it to you as if you are either an elementary school student or a junior high school student, so as to get a better understanding.