When I?m doing the 1099?s and I call the vendor and he refuses to give his address or Social Security number, what do I do?
Do I just send the 1099 to the IRS and say that the vendor not willing to give his address and his Social Security number?
Will the IRS fine me for this?
Technically you should not have paid him without first having his number. If he refused to give it at that point, you were supposed to have withheld an amount - I forget the exact amount but I think it's
30%, to send to the IRS.There may be ways to get his number from other vendors who wouldn't pay him without his number. If you can't do that, just send in the
1099 to the IRS with as much information about him as you can.
Just a terminological note: it's a Taxpayer Identification Number or TIN, not a Social Security Number. (The number way or may not be the same as the business owner's Social Security number.) You should get this from the vendor on a form W-9.
Are you sure you actually need to issue this person a 1099? In general, if you've paid less than $600 in a given year you don't have to; and quite a few types of payments don't require a 1099 regardless of amount. See "Specific Instructions for Form 1099-MISC" on pages 1 and 2 of
This is not an official IRS answer, but may be helpful:
The official IRS answer is here:
Not as long as you've asked for the TIN as required, and as long as you start withholding 24% from payments to that vendor and pay it to the IRS on time.
This may in fact be your leverage to get the vendor to provide you a W-9: point out that if you don't get a valid W-9, you'll have to withhold tax from future payments to this vendor and make those payments to the IRS.
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