W9 or W8: Which IRS Tax Form Should You Use?

Many people search for “W9 or W8” because they are confused about which tax form they need to fill out. This confusion usually happens when someone starts a new job, works as a freelancer, opens a business relationship with a U.S. company, or earns money from U.S. sources. Employers, clients, and banks often ask for a W-9 or W-8, but they rarely explain the difference clearly.

The problem is simple but important: using the wrong form can cause tax delays, extra withholding, or legal trouble. People often ask:

Am I a U.S. person or a foreign person?
Do I need W-9 or W-8?
What happens if I submit the wrong one?

This article clears up all confusion. You will learn what W-9 and W-8 forms are, who should use each one, the key differences, common mistakes, and how to choose the correct form with confidence.

The language is simple and clear, so anyone can understand it easily.

W9 or W8 ; Quick Answer

The choice depends on your tax status.

W-9 → For U.S. persons
W-8 → For non-U.S. (foreign) persons

Simple rule:

👉 If you are a U.S. citizen or U.S. resident for tax purposes, use W-9
👉 If you are not a U.S. person, use W-8

What Is a W-9 Form?

A W-9 form is an IRS form used by U.S. persons to provide their tax information.

What W-9 stands for

Request for Taxpayer Identification Number (TIN) and Certification

What information it collects

Legal name
Business name (if any)
Tax classification
Social Security Number (SSN) or Employer Identification Number (EIN)
Address
Signature

Why companies ask for W-9

They need it to:

Report payments to the IRS
Issue forms like 1099-NEC or 1099-MISC

Who Should Use a W-9?

You should use W-9 if you are:

A U.S. citizen
A U.S. permanent resident (green card holder)
A U.S. resident alien for tax purposes
A U.S. business or LLC
A U.S. freelancer or independent contractor

Common examples:

Freelancers working with U.S. clients
Consultants paid by U.S. companies
Vendors and service providers in the U.S.

What Is a W-8 Form?

A W-8 form is used by foreign (non U.S.) persons to confirm they are not subject to U.S. tax rules like U.S. residents.

Purpose of W-8

Proves foreign status
Helps reduce or eliminate U.S. tax withholding
Claims tax treaty benefits (if available)

Unlike W-9, W-8 forms are not used to issue 1099 forms.

Types of W-8 Forms

There is more than one W-8 form. Each is used for a different situation.

Common W-8 forms:

W-8BEN → For foreign individuals
W-8BEN-E → For foreign businesses or entities
W-8ECI → Income connected to U.S. business
W-8EXP → Foreign governments or organizations
W-8IMY → Intermediaries or flow-through entities

Most people only need W-8BEN or W-8BEN-E.

Who Should Use a W-8?

You should use W-8 if you are:

A non-U.S. citizen
Living outside the United States
A foreign freelancer working with U.S. companies
A foreign business earning U.S. income
A non-resident alien for U.S. tax purposes

Example:

A freelancer in Pakistan working for a U.S. client → W-8BEN
A UK company providing services to a U.S. firm → W-8BEN-E

Key Differences Between W9 and W8

Comparison Table

Feature	W-9	W-8
Used by	U.S. persons	Non-U.S. persons
Purpose	Report income	Prove foreign status
TIN required	Yes (SSN/EIN)	Sometimes
Leads to 1099	Yes	No
Tax withholding	Usually none	Often 30% (or reduced)
Validity	Until info changes	Expires (usually 3 years)

W9 or W8 for Freelancers

U.S. freelancers

Use W-9
Receive 1099-NEC at year end
Report income on U.S. tax return

Non-U.S. freelancers

Use W-8BEN
Usually no 1099 issued
May face withholding unless treaty applies

W9 or W8 for Businesses

U.S. businesses

Use W-9
Payments reported to IRS

Foreign businesses

Use W-8BEN-E
May claim tax treaty benefits
Often subject to withholding

Tax Withholding Differences

W-9

No automatic withholding
You handle taxes yourself

W-8

Default 30% withholding
Can be reduced by tax treaties

This is why W-8 forms are very important for foreign earners.

Common Mistakes with W9 or W8

❌ Using W-9 as a foreign person

This can cause:

IRS penalties
Incorrect tax reporting

❌ Using W-8 as a U.S. citizen

This can lead to:

Legal issues
Payment delays

❌ Leaving forms unsigned

Unsigned forms are invalid.

❌ Not updating expired W-8 forms

W-8 forms usually expire after 3 years.

Which Form Should You Use? Simple Checklist

Ask yourself:

Are you a U.S. citizen or resident for tax purposes?
- Yes → W-9
- No → W-8
Do you have an SSN or EIN?
- Yes → Likely W-9
- No → Likely W-8
Do you live outside the U.S.?
- Yes → W-8

W9 or W8 for Remote Work

Remote work increases confusion.

U.S. citizen living abroad → W-9
Non-U.S. citizen living abroad → W-8
Location does NOT override tax status

Tax status matters more than physical location.

W9 or W8 for Online Platforms

Platforms often request tax forms.

U.S. creators → W-9
International creators → W-8BEN

This applies to:

Freelance marketplaces
Content platforms
Affiliate programs

FAQs About W9 or W8

1. Can I choose between W-9 and W-8?
No. Your tax status decides.

2. What happens if I submit the wrong form?
Payments may be delayed or taxed incorrectly.

3. Does W-8 mean I don’t pay tax?
No. It depends on tax treaties.

4. Do W-8 forms expire?
Yes, usually after 3 years.

5. Does a W-9 expire?
No, unless information changes.

6. Can a foreign person get a 1099?
Usually no.

7. Is W-8 only for individuals?
No. There are versions for businesses.

Why Companies Ask for W9 or W8

Companies need these forms to:

Follow IRS rules
Avoid penalties
Report income correctly
Know whether to withhold tax

They are legally required to collect the correct form.

Professional Tip

If you are unsure:

Ask a tax professional
Do not guess
Submitting the wrong form can cause long-term problems

Conclusion

The choice between W9 or W8 is not complicated once you understand the key rule: U.S. persons use W-9, foreign persons use W-8. The confusion usually comes from remote work, international clients, and online platforms that do not explain tax forms clearly.

W-9 forms are simple and permanent, while W-8 forms prove foreign status and often expire. Using the correct form helps avoid unnecessary tax withholding, delays, and legal trouble. Whether you are a freelancer, business owner, or international contractor, knowing the difference between W-9 and W-8 is essential for smooth payments and proper tax compliance.

With this guide, you can now choose the correct form confidently and avoid common mistakes.

Henry-p-whitmore

Hello, I am Henry P. Whitmore, an English language scholar and grammar author known for my contributions to English grammar education. I am recognized for presenting complex grammatical rules in a clear, structured, and student-friendly manner, making my work valuable for learners, teachers, and non-native speakers of English.