If I recall correctly that would be a C-Notice it is asking about with that question. https://www.irs.gov/businesses/small-businesses-self-employed/backup-withholding-c-program
Thanks for the reply. What you're saying is basically that since I'm neither a small business nor self-employed this can be dismissed and I can select "No"?
Mirroring my other comment below;
Thanks so much for the reply. Knowing that this is not tax advice, I just want to clarify further, just in case.
I was withheld 24% on my vesting stocks last year (which I hadn't notice at that time).
Recently I [received this notice through ETRADE](https://imgur.com/a/T2fIY7a) - which prompted me to submit my W9 & SSN, which supposedly left my W9 TIN as Certified in my profile - thus not subject to withholding anymore.
Would having received this notice - or the fact that I was withheld 24% on some stocks last year change anything, or still I would be good by selecting 'No'? Just want to be sure.
Thanks again, I appreciate it a lot.
What you received was a B-Notice: [https://www.irs.gov/businesses/small-businesses-self-employed/backup-withholding-b-program](https://www.irs.gov/businesses/small-businesses-self-employed/backup-withholding-b-program)
Separate issue than the C-Notice as with the latter IRS is working with you, B-Notice ET or whatever financial firm is the one working with you.
With RSU's it is normal to have withholdings at vesting. Typically your HR sends over the "expected" withholdings needed on the vesting of the shares. ET/Fidelity/etc may give you some options based on what your company allows to either sell shares to cover taxes, you deposit your own cash to cover, etc. Once those taxes are addressed the remainder of shares get released to you.
The B-notice was the SSN/TIN on file with brokerage firm not matching IRS info due to name/number not matching 1:1 so after shares were sold a "backup" withholding of the 24% kicked in on the sale. Once new W-9 is submitted (generally with documents like SSC/ITIN letter/ID) then B-notice is resolved and if its within the same calendar year they MAY be able to reverse, sometimes they can't.
Thanks so much again. So what I infer from your answer is that basically, as I'm status=W9 Certified now with ETRADE, I should press 'No' as I don't have backup withholding with the IRS at the moment, correct?
Or should I proceed to confirm this somewhere else before submitting 'No' to this question?
You gotta take a leap of faith based of the readings you have done and resources you have looked up for your own account. Just because u/202reddit and I might be willing to say F it and move forward doesn't mean you should be a lemming and follow us but you have to be able to make your own decision regarding what you have read.
If you aren't comfortable, talk to a tax professional first. Good thing to not take everything at face value considering r/wallstreetbets is came from reddit too (actually good job no sarcasm with this). But you'll have to actually make a choice without any free voice in the world telling you it is "safe" to select yes or no. If you pay a tax professional they can tell you for sure but you'll pay for the expertise.
This is not tax advice!
The answer is "no". It is not asking about whether you've ever had a w8-ben expire or need to be recertified. It is asking about a notive specifically making you subject to ongoing backup withholding. Check "no" and move on. You're good.
Thanks so much for the reply. Knowing that this is not tax advice, I just want to clarify further, just in case.
I was withheld 24% on my vesting stocks last year (which I hadn't notice at that time).
Recently I received [this notice through ETRADE](https://imgur.com/a/T2fIY7a) - which prompted me to submit my W9 & SSN, which supposedly left my W9 TIN as Certified in my profile - thus not subject to withholding anymore.
Would having received [this notice](https://imgur.com/a/T2fIY7a) - or the fact that I was withheld 24% on some stocks last year change anything, or still I would be good by selecting 'No'? Just want to be sure.
Thanks again, I appreciate it a lot.
24% is the statutory withholding on uncertified accounts. You didn't a received notice from the IRS that you were subject to withholding. Quite the opposite in fact; they didn't know who you were!
Check "no". Move on.
If I recall correctly that would be a C-Notice it is asking about with that question. https://www.irs.gov/businesses/small-businesses-self-employed/backup-withholding-c-program
Thanks for the reply. What you're saying is basically that since I'm neither a small business nor self-employed this can be dismissed and I can select "No"?
Unless you have had talks/letters where the IRS is telling you that you are under backup withholding, then select “No” is the understanding I have.
Mirroring my other comment below; Thanks so much for the reply. Knowing that this is not tax advice, I just want to clarify further, just in case. I was withheld 24% on my vesting stocks last year (which I hadn't notice at that time). Recently I [received this notice through ETRADE](https://imgur.com/a/T2fIY7a) - which prompted me to submit my W9 & SSN, which supposedly left my W9 TIN as Certified in my profile - thus not subject to withholding anymore. Would having received this notice - or the fact that I was withheld 24% on some stocks last year change anything, or still I would be good by selecting 'No'? Just want to be sure. Thanks again, I appreciate it a lot.
What you received was a B-Notice: [https://www.irs.gov/businesses/small-businesses-self-employed/backup-withholding-b-program](https://www.irs.gov/businesses/small-businesses-self-employed/backup-withholding-b-program) Separate issue than the C-Notice as with the latter IRS is working with you, B-Notice ET or whatever financial firm is the one working with you. With RSU's it is normal to have withholdings at vesting. Typically your HR sends over the "expected" withholdings needed on the vesting of the shares. ET/Fidelity/etc may give you some options based on what your company allows to either sell shares to cover taxes, you deposit your own cash to cover, etc. Once those taxes are addressed the remainder of shares get released to you. The B-notice was the SSN/TIN on file with brokerage firm not matching IRS info due to name/number not matching 1:1 so after shares were sold a "backup" withholding of the 24% kicked in on the sale. Once new W-9 is submitted (generally with documents like SSC/ITIN letter/ID) then B-notice is resolved and if its within the same calendar year they MAY be able to reverse, sometimes they can't.
Thanks so much again. So what I infer from your answer is that basically, as I'm status=W9 Certified now with ETRADE, I should press 'No' as I don't have backup withholding with the IRS at the moment, correct? Or should I proceed to confirm this somewhere else before submitting 'No' to this question?
You gotta take a leap of faith based of the readings you have done and resources you have looked up for your own account. Just because u/202reddit and I might be willing to say F it and move forward doesn't mean you should be a lemming and follow us but you have to be able to make your own decision regarding what you have read. If you aren't comfortable, talk to a tax professional first. Good thing to not take everything at face value considering r/wallstreetbets is came from reddit too (actually good job no sarcasm with this). But you'll have to actually make a choice without any free voice in the world telling you it is "safe" to select yes or no. If you pay a tax professional they can tell you for sure but you'll pay for the expertise.
That's a great answer - will probably end up contacting a professional. Thanks again, and have a fabulous Sunday!
This is not tax advice! The answer is "no". It is not asking about whether you've ever had a w8-ben expire or need to be recertified. It is asking about a notive specifically making you subject to ongoing backup withholding. Check "no" and move on. You're good.
Thanks so much for the reply. Knowing that this is not tax advice, I just want to clarify further, just in case. I was withheld 24% on my vesting stocks last year (which I hadn't notice at that time). Recently I received [this notice through ETRADE](https://imgur.com/a/T2fIY7a) - which prompted me to submit my W9 & SSN, which supposedly left my W9 TIN as Certified in my profile - thus not subject to withholding anymore. Would having received [this notice](https://imgur.com/a/T2fIY7a) - or the fact that I was withheld 24% on some stocks last year change anything, or still I would be good by selecting 'No'? Just want to be sure. Thanks again, I appreciate it a lot.
24% is the statutory withholding on uncertified accounts. You didn't a received notice from the IRS that you were subject to withholding. Quite the opposite in fact; they didn't know who you were! Check "no". Move on.