# Completing Form W-9 as a Sole Proprietor (Including Single-Member LLCs)

## For the IRS, a sole proprietor or a Single-Member LLC (SMLLC) is the same as the individual owner. Use these steps to ensure your W-9 matches IRS records and avoid backup withholding.

### **Does this apply to me?**

You should follow the instructions per the IRS guide if:

- You are an individual operating a business on your own (Sole Proprietor).
- You are a Single-Member LLC (SMLLC) that **has not** filed Form 8832 or Form 2553 with the IRS to be taxed as a corporation.

If you are a Single-Member LLC but have _not_ filed these specific forms, the IRS considers you a "disregarded entity" for tax purposes. You do not fall into the "Corporation" or "Partnership" categories; you must use the Sole Proprietor instructions above.

**If you do not know what entity type or if any forms have been previously filed, consult the IRS or a qualified tax advisor for guidance and assistance with completing the W-9 process.**

### **Form Checklist**

- **Line 1 (Name):** Enter the **owner’s first and last name** (exactly as it appears on the tax return). Do not use the business or DBA name.

- **Line 2 (Business Name):** Enter the DBA, trade name, or LLC name here, if applicable.

- **Line 3a (Tax Classification):** Check **"Individual/sole proprietor or single-member LLC."**

- **TIN:** Use the business owner’s SSN or an EIN issued to the owner personally—never a TIN tied only to the business name.

### **Why are Single Member LLCs treated this way?**

An LLC is a state-law construct, not an IRS tax category. Unless you have filed for corporate tax treatment (Form 8832 or 2553), the IRS views you as a **"disregarded entity."** This means your business is taxed exactly like a sole proprietorship, using your personal name and TIN.

### **The Risk of Incorrect Filings**

If a business name is entered on Line 1, the name/TIN combination will not match IRS records. This triggers a **"B-Notice" (CP2100) from the IRS**, forcing the payer to potentially withhold **24% of any payment** (backup withholding) until the issue is resolved. Catching this error at intake is essential to avoiding penalties and excessive withholding.

### **Where can I go for more information?**

This FAQ is intended to be an informational overview and not a comprehensive guide for the applicability or use of the W-9 form. Please consult the IRS ( [Official Instructions](https://www.irs.gov/forms-pubs/about-form-w-9)) or your tax advisor for more information and any best practices.