Providing W-9 information for tax purposes
All U.S. GigSalad members who receive booking payments to their bank account (via direct deposit or check) must provide us with their W-9 tax information so that we can issue the proper tax forms, if necessary.
The IRS requires third-party processors like GigSalad to collect a Taxpayer Identification Number (TIN) for every account holder. We collect this with a Form W-9. Then, at the end of the year, we will use a Form 1099-K to report to the IRS for every user that reached a certain earnings threshold. As a part of the American Rescue Plan, Congress lowered the earnings threshold from $20,000 to $600 beginning in 2022.
We cannot generate a Form 1099-K to send to the IRS (or to you, the taxpayer) without first collecting your tax info via Form W-9. Because it is imperative that we receive this information before sending you any money, you will be prompted to provide it before being sent a booking payment. Add your tax info now to avoid any payment delays!
How to submit a W-9
To make this process quick and easy (and to save some trees) we have built the W-9 form into the GigSalad control panel so you can fill out everything through your account.
To provide your tax info:
- Log in to your control panel and go to Account.
- Choose Tax Info from the menu.
- Complete all necessary information, read the certification details, and consent to electronic delivery.
- Click Submit Information.
🔒 Note: The information you provide through this form is encrypted upon submission and then stored in a secure data center. If you have any concerns about completing the form, please contact us.
Updating your W-9 info
If any of your tax details change, you can return to the Tax Info page in your Account to update and re-submit your W-9 at any time.
The previous information you provided will already be populated for your convenience, with the exception of your social security or employer identification number (your TIN). Because that information is often sensitive, we keep it hidden for security purposes. You will need to re-enter your TIN each time you update your W-9.
About Form 1099-K
Starting in 2023, we will use the W-9 tax information we've collected to generate a Form 1099-K for each applicable taxpayer from the previous calendar year. These forms will be sent directly to the IRS and an electronic copy will be provided to applicable members through their GigSalad account.
Note: A Form 1099-K will only be issued to U.S. members that receive payments to their bank account via direct deposit or check. We will not be issuing Form 1099-K to members who receive payments via PayPal.
Frequently asked questions:
- What happens if I do not submit a W-9?
If your GigSalad earnings reach $600 and you have not provided us with your W-9, your payments may be delayed while we attempt to collect your tax information. If we still can't get the info or you provide us with incorrect info, your payments will be subject to a 24% backup withholding as required by the IRS.
- Why was I never asked for this information before?
In prior years, the IRS threshold for reporting was much higher. It only mattered for a small number of members who we would reach out to specifically. Since the threshold has been lowered to $600 for the 2022 tax year and beyond, it is now applicable to essentially every member of GigSalad. Given the IRS guidelines, we ask for it from every potential payee as a best practice and an aspect of fraud prevention.
- Why are other platforms I use not asking for this information?
You must provide your TIN to any service that sends you payments. If other platforms are not requiring it, then they likely use a third-party company to process payments. In those cases, that third-party company will collect your TIN instead. For example, PayPal or Stripe.