What is the W-9/W-8 verification service in TaxBandits?

The W-9/W-8 verification service in TaxBandits is an automated compliance feature that helps you validate the information submitted by your recipients before filing. Once enabled, these verification services run automatically based on the form type your recipients submit, ensuring the information they provide is accurate and compliant with IRS and federal requirements.

W-9 Verification Bundle
Comprehensive verification for US individuals and entities submitting W-9 forms.

• TIN Verification – Confirms the recipient’s name and Taxpayer Identification Number (TIN) with IRS records to help prevent backup withholding issues.

• Exempt Organization Check – Validates exempt organizations against IRS records to ensure accurate withholding and reporting when an exempt status is claimed.

W-8 Verification Bundle
Comprehensive verification for foreign individuals/entities submitting W-8 forms

• OFAC Sanctions Check – Screens recipient information against the OFAC Specially Designated Nationals and Blocked Persons List to ensure compliance with U.S. economic sanctions.

• GIIN Validation – Confirms Global Intermediary Identification Numbers (GIIN) against IRS records to verify FATCA registration status.

• IRS Tax Treaty Validation – Reviews the recipient’s eligibility for tax treaty benefits based on their country of residence.

By running these verifications automatically, TaxBandits helps reduce errors, prevent compliance issues, and maintain accurate payer–recipient records.