Few Questions...

[PlusUltra 8]

Hi VJers,

 

1. My client is requesting me for a W9 - wth is that? How does the taxing system work here?

2. No news on my GC still - should I be worried?

 

TIA

[geowrian 22,337]

1. Wow, that's a loaded question - explaining the tax system in the US. haha Honestly, we can try to explain it to you, but it might be better to just talk to your partner or other USC.
   
   That said, the very, very, very short version is that an employer withholds parts of your wages from your paycheck. The employer then submits those taxes to the government (federal, state, and local) on your behalf. When taxes are due (i.e. 2016 taxes are due in 2017) and you fill out your tax forms, you calculate the exact amount of taxes owed to the government (after deductions, credits, penalties, etc.). Then they subtract what was withheld already by your employer(s). the difference is what you owe or get back via a refund. Since the US income tax code uses a progressive system, and everybody has various circumstances, a W9 is submitted to the employer so they know how much income to withhold on your behalf.
   
   For example, somebody with 3 kids that makes $20k/year will (generally!) have an effective tax far below that of somebody single with no kids making $100k/year. As such, they withhold a higher percentage out of their checks, whereas the mother of 3 should have less taken out per check so that they have more money in their paycheck to meet their needs. In the end, it all evens out once you complete your tax returns, but the W9 guides your employer on how much (percentage-wise) needs to be withheld per paycheck. It's basically (crudely) lets them try to estimate what your taxes will be at the end of the year.
2. Nothing jumps out as unusual in your timeline (assuming it's updated).

Edited January 3, 2017 by geowrian

[Sagot 1,548]

1 hour ago, FianceInTraining said:

Hi VJers,

 

1. My client is requesting me for a W9 - wth is that? How does the taxing system work here?

2. No news on my GC still - should I be worried?

 

TIA

 

Nope don't be worried on the green card.  You did your biometrics, now to be patient.

 

W-9 ?   You are not a business.  Employer should be asking for you SSN and to complete a W-4, but not a W-9.   

 

https://www.irs.gov/pub/irs-pdf/fw4.pdf

 

Income taxes regarding your employer are bases upon the number of dependents you list on the W-4.  Do talk with your husband on this.

Edited January 3, 2017 by Sagot

[Sagot 1,548]

1 hour ago, geowrian said:

1. Wow, that's a loaded question - explaining the tax system in the US. haha Honestly, we can try to explain it to you, but it might be better to just talk to your partner or other USC.
   
   That said, the very, very, very short version is that an employer withholds parts of your wages from your paycheck. The employer then submits those taxes to the government (federal, state, and local) on your behalf. When taxes are due (i.e. 2016 taxes are due in 2017) and you fill out your tax forms, you calculate the exact amount of taxes owed to the government (after deductions, credits, penalties, etc.). Then they subtract what was withheld already by your employer(s). the difference is what you owe or get back via a refund. Since the US income tax code uses a progressive system, and everybody has various circumstances, a W9  W-4 is submitted to the employer so they know how much income to withhold on your behalf.
   
   For example, somebody with 3 kids that makes $20k/year will (generally!) have an effective tax far below that of somebody single with no kids making $100k/year. As such, they withhold a higher percentage out of their checks, whereas the mother of 3 should have less taken out per check so that they have more money in their paycheck to meet their needs. In the end, it all evens out once you complete your tax returns, but the W9 guides your employer on how much (percentage-wise) needs to be withheld per paycheck. It's basically (crudely) lets them try to estimate what your taxes will be at the end of the year.
2. Nothing jumps out as unusual in your timeline (assuming it's updated).

 You mean a W-4.   The W-9 is for businesses

[geowrian 22,337]

4 minutes ago, Sagot said:

 You mean a W-4.   The W-9 is for businesses

lol Yes I do. Wow...late nights...

 

I just assumed the OP meant W-4. But yeah, if he/she is providing services as a business, then having a W-9 requested isn't unusual. Unfortunately, I don't have experience here as I have been an employee (tax-wise) for all of my adult life.

[Pinkrlion 2,722]

If you are saying client, you are providing a service to someone, and they are asking for your W-9 which is your tax ID number.  

[Sagot 1,548]

22 minutes ago, Pinkrlion said:

If you are saying client, you are providing a service to someone, and they are asking for your W-9 which is your tax ID number.  

 

Yes... I missed the client part until too late to edit my post.   then they would want a W-9 ..    on my part there.

[MarkPerry 488]

6 hours ago, FianceInTraining said:

Hi VJers,

 

1. My client is requesting me for a W9 - wth is that? How does the taxing system work here?

2. No news on my GC still - should I be worried?

 

TIA

W9 -  If they have already paid you then they are screwed, you don't have to provide

 

If waiting on a check, then it would be your Social Security Number or your Tax ID # or even maybe an ITIN if you got that instead of a SSN