Moving away - management company asking for W-9 form info

[Mental Clarity]

What is the name of your state? New York City

Hello, our family is moving from a leased apartment next month (10/2018). We have lived and leased at this address for over 30 years. We received a request in the mail today to fill out and return a W-9 form (Taxpayer Identification Number and Certification). The cover letter says providing this info is mandatory by law. Is this in fact the law? Is this a typical request upon vacating an apartment?

Context: we've never been late or missed a single rent payment in all of the time spent leasing the apt. The apartment has been kept in good condition. A concern is that the management company will find something wrong and attempt to charge us for it. Is this a valid concern? Thank you.

 

[Zigner]

Such a requirement makes no sense. They are simply giving you back your own money. Having said that, I will also say that I can see no harm in submitting such a form. They already have all the same information about you anyway, assuming you gave it to them on your application.

 

[HRZ]

It's a requirement IF you are getting interest on your securit deposit. ?

 

[Zigner]

It's a requirement IF you are getting interest on your securit deposit. ?

That's a fair enough point. In any case, as I said, I really don't see any harm in doing it, even if it's not really a requirement.

 

[Zigner]

A concern is that the management company will find something wrong and attempt to charge us for it. Is this a valid concern? Thank you.

Valid or not, it really has no bearing on the request for a W9

 

[Mental Clarity]

Thank you for your responses. Good to know that it's likely in relation to getting back our security deposit. Yes, there would be interest on it after 30 years! Not a fortune, but something.

 

[Zigner]

What was your original deposit amount?

 

[Mental Clarity]

$300 (for two bedroom apt). Now rents in our area for a 2 bedroom go for around $2500-$3500.

 

[Zigner]

Ok, so realistically, even if they keep every penny of that $300...who cares?

 

[Mental Clarity]

Absolutely. Main concern just to leave without any strings.

 

[FarmerJ]

Just out of curiosity had you thought of having your bank help you figure out what that interest adds up to ?

 

[Mental Clarity]

No, not yet at least. Really can't be much, good idea though. We're content to leave either way, with or without the returned deposit. The apt will likely be reworked and adapted to higher-end area rents. A lot of new construction is going up in the area, whereas we're moving to semi-rural CT. A different world.

 

[FarmerJ]

I suspect your going to like it especially if its not too suburbanized yet. We left a larger city almost 18 years ago for a rural township that has almost 300 homes with about 1,200 people and had no regrets , its relatively quiet , Last night the skies were great, just filled with stars.

 

[Mental Clarity]

Thanks FarmerJ, I suspect you're right. So much quieter, it's like being in a bank vault by comparison. The night sky is something we're looking forward to.

 

[Taxing Matters]

What is the name of your state? New York City

Hello, our family is moving from a leased apartment next month (10/2018). We have lived and leased at this address for over 30 years. We received a request in the mail today to fill out and return a W-9 form (Taxpayer Identification Number and Certification). The cover letter says providing this info is mandatory by law. Is this in fact the law? Is this a typical request upon vacating an apartment?

Yes, the management company is required to get the W-9 certifying that you are not subject to backup withholding before returning the security deposit when interest or other taxable income is being paid with that deposit. If you do not provide the certification the management company will have to assume you are subject to backup withholding and withhold 20% of the interest. So there is nothing underhanded or devious going on here. The management company is simply complying with the tax law. Take note of the interest you receive; it will be taxable income that you must report on your tax return.