W9s for Vendors & Independent Contractors

To keep NOPI audit-compliant and avoid the administrative burden of retroactive tracking, Program Directors must continue to collect a W-9 for every payee, regardless of the expected contract amount.

Key Reminders for 2026

Collect Upfront: No payments should be issued until a valid W-9 is on file.
Exemption Status: We use the W-9 to determine whether a vendor is exempt. Without the form, we cannot officially verify their status.
Backup Withholding: If a vendor crosses the $2,000 threshold and we do not have their Taxpayer Identification Number (TIN), we are legally required to withhold 24% of their payment for the IRS.

By standardizing this now, we protect our programs from potential penalties and ensure seamless year-end reporting. Please reach out if you have any specific vendor questions, or come by Open Office Hours for support.

Please ensure that any new contractor or vendor your team engages submits a W-9 as part of their initial setup. Thank you for helping us stay audit-ready!

IRS Resources

About Form W-9, Request for Taxpayer Identification Number and Certification
Blank Form W-9
Blank Form W-8BEN (for non-US contractors)

Email Template

Subject: Action Required: Tax Documentation for [Company Name] Onboarding

Hi [Vendor Name],

We are excited to work with you! To set you up in our payment system and ensure timely processing of your invoices, we require a completed and signed Form W-9.

As of January 1, 2026, the federal 1099 reporting threshold has changed to $2,000. To remain compliant with these new regulations and our internal audit requirements, [Company Name] requires a W-9 on file for all payees before the first payment can be issued.

Please submit your form using one of the following methods:

Secure Upload: Submit via Secure Portal
Email: Reply to this email with a PDF attachment.
Blank Form: If you do not have a current form, you can download a blank W-9 from the IRS here.

Why this is needed:

Tax Classification: We use this to determine if your entity is exempt from 1099 reporting.
Accuracy: This ensures your legal name and Taxpayer Identification Number (TIN) match IRS records, preventing payment delays or mandatory backup withholding.

Thank you for your prompt attention to this! Please let us know if you have any questions.

Best regards,

[Your Name]
[Your Title]