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#1
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No W-9 - reclaim withheld tax??I received a check for stock shares in a private company. They withheld 28% because I didn't give them a W-9, but I am not subject to back withholding. How do I get that 28% back when I do my taxes at the end of this year? What for is needed etc.? |
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#2
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| The backup withholding will be shown on a 1099 at the end of the year. You add this into the taxes paid and it increases the refund (or decreases the payment required). If you don't support the W-9, they don't know you are not subject to the withholding. Withholding has nothing to do with tax liability. You get back what ever payments/withholding you have made that is in excess of your liability. |
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