Financial Glossary
W-9 vs. 1099
A Form W-9 and a Form 1099 are related but distinct documents in contractor tax reporting. The W-9 is an information request a business sends to a contractor to collect their legal name, address, and taxpayer identification number, while the 1099 is the form the business later files with the IRS to report the total amount paid to that contractor during the year. The W-9 is the input; the 1099 is the output.
Problem & Application
Confusing the two is a common error for STR hosts and small operators who pay independent help. The practical workflow is simple: have every contractor complete a W-9 before you pay them, then use that information to generate accurate 1099s at year-end, avoiding last-minute requests and potential backup withholding.
In Short
A W-9 is never filed with the IRS and a 1099 cannot be issued correctly without one, so the two always work as a pair. Confirm current reporting thresholds and form variants with IRS guidance.