1099ThresholdDesk / 2026 1099-NEC, 1099-K & W-9 Guides / Form W-9 (Rev. March 2024 / 2026) Line 3b Rule: New LLC & Partnership Flow-Through Certification
Form W-9 (Rev. March 2024 / 2026) Line 3b Rule: New LLC & Partnership Flow-Through Certification
Form W-9 (Rev. March 2024 / 2026) Line 3b Rule?
The updated IRS Form W-9 includes Line 3b requiring partnerships, multi-member LLCs, S-Corporations, and trusts with foreign partners or beneficiaries to notify payers for IRC § 1446(a)/(f) withholding compliance.
The updated IRS Form W-9 includes Line 3b requiring partnerships, multi-member LLCs, S-Corporations, and trusts with foreign partners or beneficiaries to notify payers for IRC § 1446(a)/(f) withholding compliance.
Open 2026 $2,000 vs. $600 1099 & W-9 Reconciler
2026 Compliance Checklist
- Collect Signed Form W-9 Before First Disbursement: Never release a check, ACH, or Zelle payment without a signed W-9 on file, or deduct 24% IRC § 3406 backup withholding.
- Separate IRC § 6050W Card/TPSO Payments: Exclude Stripe, Square, and credit card payments from Form 1099-NEC Box 1.
- Verify State $600 Non-Conformity: Even if a vendor was paid between $600 and $1,999 in 2026 (exempt federally under OBBBA § 70432), verify whether your state still mandates a $600 state 1099 filing.
Frequently Asked Questions
Form W-9 (Rev. March 2024 / 2026) Line 3b Rule?
The updated IRS Form W-9 includes Line 3b requiring partnerships, multi-member LLCs, S-Corporations, and trusts with foreign partners or beneficiaries to notify payers for IRC § 1446(a)/(f) withholding compliance.