Vendor Tax Documents: W-9, W-8BEN, 1099 and ACH Forms
A plain-English guide to vendor tax documents: who provides W-9s and W-8BENs, when 1099s are due for 2026 payments, and what ACH forms and COIs do.
Vendor tax documents fall into two groups. Forms you collect from the vendor, such as the W-9 from U.S. vendors or the W-8BEN from foreign individuals, stay in your files and aren't sent to the IRS. Forms you file, mainly the 1099-NEC and 1099-MISC, go to the IRS and the vendor when your payments meet the reporting rules. ACH authorizations and certificates of insurance aren't tax forms at all, but they belong in the same vendor file. Whoever sets up vendors should know which is which before the first payment.
General information, not tax or legal advice.
The short answer
| Document | Who provides it | Who keeps it | Goes to IRS? | Expires? |
|---|---|---|---|---|
| Form W-9 | U.S. vendor (payee) | You, the requester | No | No expiration date in the form or regulation; get a new one when the name or TIN changes |
| Form W-8BEN | Foreign individual | You, the withholding agent or payer | No | Generally at the end of the third calendar year after signing, unless circumstances change |
| Form W-8BEN-E | Foreign entity | — | — | — |
| Form 1099-NEC | You, the payer | Payer keeps a copy; vendor gets one | Yes | No expiry; filed for years with reportable payments |
| Form 1099-MISC | You, the payer | Payer keeps a copy; vendor gets one | Yes | No expiry; filed for years with reportable payments |
| Form 1099-K | Payment settlement entity | — | Filed by the payment settlement entity, not you | No expiry; filed for years with reportable payments |
| ACH authorization | Vendor (our recommendation) | You (our recommendation) | No, it's not a tax form | — |
| Certificate of insurance | Vendor (our recommendation) | You (our recommendation) | No, it's not a tax form | — |
A dash means the point isn't covered in this guide; check the form's own instructions.
Why this matters in a real workflow
Many year-end problems trace back to onboarding: a W-9 sent to a foreign contractor, a missing TIN in January, or bank details taken from an unverified email. Knowing what each document does lets you set up the vendor file once. For the full intake process, see our vendor onboarding checklist. If your firm collects these documents for clients, see accounting firm document collection.
What the rules say, document by document
Form W-9: U.S. vendors
What it is. A vendor uses Form W-9 to give its correct taxpayer identification number (TIN) to a business that has to file an information return with the IRS, for example to report income paid to the vendor (About Form W-9). The TIN can be an SSN, ITIN, ATIN or EIN.
Who uses it. Only U.S. persons, including resident aliens, use Form W-9. Foreign persons use the appropriate Form W-8 or Form 8233 (Form W-9).
What it certifies. By signing, the payee certifies four things: the TIN is correct (or one has been applied for); they are not subject to backup withholding; they are a U.S. person; and any FATCA code is correct.
Where it goes. The form itself says to give it to the requester and not to send it to the IRS.
Does it expire? Neither the W-9 nor the backup withholding certificate regulation sets an expiration date. What triggers a new one is a change, such as a new name, a new TIN or a lost exemption.
If it's missing. The IRS says you must withhold 24% from reportable nonemployee compensation if the payee hasn't provided a TIN as required, or if the IRS notifies you the TIN is incorrect and the payee doesn't certify as the notice requires (IRS: Forms and associated taxes for independent contractors).
Form W-9: current revision vs. the June 2026 draft
As of September 2026, the current final Form W-9 is the March 2024 revision. The IRS posted a draft June 2026 revision on May 4, 2026. It is a draft, and the IRS says not to file draft forms or rely on draft instructions (IRS draft forms). The draft adds an exempt payee category and certification checkbox for U.S. digital asset brokers. The exemption chart on the current March 2024 form still refers to payments over $600; the June 2026 draft updates it to $2,000. Don't quote the $600 line as current law.
Watching for the final W-9
Until the IRS releases a final revision, we recommend continuing to use the March 2024 form. We'll update this guide when the final form is out.
For how to ask, see how to request a W-9 from a vendor.
Forms W-8BEN and W-8BEN-E: foreign vendors
The current Form W-8BEN and W-8BEN-E are the October 2021 revisions (About Form W-8BEN).
- W-8BEN (individuals). A foreign individual gives Form W-8BEN to the withholding agent or payer to establish that they are not a U.S. person, claim beneficial ownership, and, if applicable, claim a reduced rate of or exemption from withholding.
- W-8BEN-E (entities). Foreign entities use Form W-8BEN-E to document their status for chapter 3 and chapter 4 purposes (About Form W-8BEN-E).
- Not for U.S. citizens abroad. U.S. citizens, even those living abroad, use the W-9 (Instructions for Form W-8BEN).
Like the W-9, a W-8BEN goes to the person requesting it, not to the IRS. Unlike the W-9, it has a shelf life: it generally stays valid from the signing date through the last day of the third following calendar year, unless circumstances change. The IRS's own example is a form signed September 30, 2015, valid through December 31, 2018.
Watch for altered forms. The IRS has warned that scammers use altered versions of Form W-8BEN to collect details the real form never asks for, such as passport numbers, PINs and passcodes (IRS: Fake Form W-8BEN). Take withholding questions on foreign payments to your tax adviser.
Forms 1099-NEC, 1099-MISC and 1099-K: what you file
Thresholds for 2026 payments. For payments made in 2026 and later, the general 1099-NEC and 1099-MISC reporting threshold is $2,000, up from $600. It is indexed for inflation starting in 2027, and the 2027 amount has not been published yet (Instructions for Forms 1099-MISC and 1099-NEC). Details are in our 2026 1099 threshold guide.
1099-NEC. File it for each person you paid at least $2,000 for services by a non-employee, including parts and materials, or for payments to an attorney. If you backup withhold from a vendor, you must file a 1099 for them regardless of the amount paid.
1099-MISC. For 2026, most boxes, including rents, prizes and awards, other income and medical payments, use the $2,000 threshold. Some don't: royalties stay at $10, attorney gross proceeds at $600, and any fishing boat proceeds are reportable.
1099-K. Payments you make by credit card or through third-party payment networks are reported by the payment settlement entity on 1099-K. You don't report them on 1099-NEC or MISC. Payment apps and marketplaces report only when a payee has over $20,000 in payments and over 200 transactions in a year (IR-2025-107).
Corporations. Payments to corporations, including LLCs taxed as C or S corporations, generally don't need a 1099, with important exceptions: the exemption doesn't apply to legal services, and medical and health care payments of $2,000 or more are reportable even when the provider is a corporation.
Due dates. Form 1099-NEC is due to both the recipient and the IRS by January 31, whether you file on paper or electronically. Form 1099-MISC goes to recipients by January 31 and to the IRS by February 28 on paper, or March 31 if e-filed. If a due date falls on a Saturday, Sunday or legal holiday, it moves to the next business day. By our calculation, January 31, 2027 and February 28, 2027 are both Sundays, so the practical dates are Monday, February 1, 2027 (1099-NEC, and 1099-MISC recipient copies) and Monday, March 1, 2027 (paper 1099-MISC), the next business day in each case. Confirm on IRS.gov/TaxCalendar, as IRS Publication 1099 advises. See our 1099-NEC deadline guide.
ACH authorization: how you'll pay
An ACH authorization isn't an IRS form, but it's often collected alongside the W-9. Nacha notes that ACH credit entries, such as vendor payments, should also be properly authorized, and that written authorization is often industry best practice (Nacha: ACH authorizations).
Phase 2 of Nacha's fraud-monitoring rules took effect June 19, 2026, with a practical date of Monday, June 22, and extends the requirement to all remaining non-consumer originators, third-party service providers and third-party senders (Nacha: Fraud Monitoring Phase 2). Nacha defines "False Pretenses" as inducing a payment by misrepresenting identity, authority or account ownership, and says this covers business email compromise and vendor impersonation (Nacha: Fraud Monitoring Phase 1).
The FBI's IC3 advises using secondary channels or two-factor authentication to verify requests to change account information (IC3 PSA). Our recommendation: confirm any new or changed bank details by calling a number you already had, not one in the email, and ask your bank what its fraud-monitoring expectations are for your account.
Certificate of insurance: proof of coverage, with limits
A certificate of insurance (COI) isn't a tax document either, but many contracts require one before work starts. The standard ACORD 25 certificate of liability insurance says it is issued for information only, confers no rights on the certificate holder, and doesn't amend, extend or alter the policies' coverage (ACORD 25, as filed with NY DFS). If you need to be an additional insured, the policy itself must provide for it or be endorsed; a statement on the certificate alone doesn't give you those rights. We recommend asking for the endorsement itself when your contract requires additional insured status, and checking with your insurance adviser.
Recommended workflow
This is our recommended practice, not an IRS procedure.
- Classify the vendor (bookkeeper or controller): U.S. or foreign, individual or entity, contractor or employee.
- Request the right tax form (AP): W-9 for U.S. vendors, W-8BEN for foreign individuals, W-8BEN-E for foreign entities.
- Request payment and contract documents (AP): ACH authorization and, if required, a certificate of insurance.
- Review (a second person): name and TIN on the W-9, the signing date on any W-8BEN, and bank details confirmed by call-back.
- Record (AP): 1099 flag, W-8BEN expiry year, and any COI renewal date you track.
- File securely (records owner), with a retention date.
Exception path. If you can't tell whether a vendor is U.S. or foreign, pause payment and ask your tax adviser. Don't guess the form.
Example scenario
Example scenario: Harbor Point Design, a made-up 12-person studio, onboards three vendors in March 2026: a U.S. freelance photographer, a translator, a foreign national who lives and works abroad, and a cleaning company that works on site.
AP requests a W-9 from the photographer, a W-8BEN from the translator, and a W-9, ACH authorization and certificate of insurance from the cleaners. The translator's W-8BEN is signed in March 2026, so AP records that it generally stays valid through December 31, 2029, unless circumstances change (our calculation from the IRS rule). In January, AP prepares 1099-NECs for vendors paid at least $2,000 for services, using the W-9 details already on file.
Common mistakes
- Sending a W-9 to a foreign vendor. Foreign persons use the appropriate W-8 or Form 8233.
- Mailing W-9s or W-8BENs to the IRS. Both stay with the requester.
- Filing a 1099-NEC for card or payment-app payments. Those go on 1099-K from the payment settlement entity.
- Quoting $600 as the current threshold for 2026 contractor payments.
- Treating a COI as proof of additional insured status.
- Accepting new bank details by email without a call-back.
Checklist
- Vendor classified as U.S. or foreign, individual or entity
- W-9 (U.S.) or W-8BEN / W-8BEN-E (foreign) received
- W-8BEN signing date and expiry year recorded
- ACH authorization on file, bank details confirmed by call-back
- Certificate of insurance and any additional insured endorsement collected, if required
- 1099 flag set for vendors likely to be paid $2,000 or more for services
- Documents filed securely with a retention date
How W9Vault supports this workflow
W9Vault handles the request-and-upload step for these documents. You send the vendor a secure upload link that expires after 7 days, and one request can ask for several documents at once, chosen from W-9, W-8BEN, ACH form, Invoice, Contract and Government ID. For a document outside that list, such as a W-8BEN-E or a certificate of insurance, send a single-document request using the "Other" type. Files are encrypted in the vendor's browser before upload, so the server never receives the plaintext file, and files can be PDF, JPG or PNG up to 20 MB. Your dashboard shows whether each request is sent or completed.
Uploaded files are automatically deleted 30 days after upload for completed requests, so file what you receive in your own records system.
W9Vault is designed to support a secure collection workflow; the customer remains responsible for their own tax, recordkeeping and security obligations. See how it works.
Collect vendor documents without email attachments
Ask for a W-9 or W-8BEN plus an ACH form in one secure, expiring upload request, and see when it is completed.
Frequently Asked Questions
No. The W-9 says to give it to the requester and not send it to the IRS, and the W-8BEN instructions say the same. You keep them in your files, and use the W-9 information to prepare any required 1099s.
Generally from the date it is signed through the last day of the third following calendar year, unless a change in circumstances makes the information incorrect. A W-9 has no expiration date in the form or the regulation.
For payments made in 2026, the general 1099-NEC and 1099-MISC threshold is $2,000, up from $600. Some items differ, such as royalties at $10 and attorney gross proceeds at $600. The threshold is indexed for inflation starting in 2027, and the 2027 amount has not been published yet.
Nacha says ACH credit entries, such as vendor payments, should also be properly authorized, and that written authorization is often industry best practice. Ask your bank what it expects for your account.
Official resources
- About Form W-9, Form W-9 and IRS draft forms
- IRS: Forms and associated taxes for independent contractors
- About Form W-8BEN, Instructions for Form W-8BEN and About Form W-8BEN-E
- IRS: Fake Form W-8BEN used in tax scams
- Instructions for Forms 1099-MISC and 1099-NEC and IRS Publication 1099
- IR-2025-107: Form 1099-K threshold
- Nacha: ACH authorizations, Fraud Monitoring Phase 1 and Phase 2
- FBI IC3 BEC PSA
