I recently ran across this situation on behalf of someone else and found it interesting as I was unfamiliar with this practice...
He lives in a retirement community / facility and they will give some sort of discount off regular monthly expense for referring another resident who moves in. It was over $1k. Upon qualifying to receive the referral discount he has to complete a W-9 for the facility. (Coincidentally he was already pretty close to having his SS get bumped to being taxable which is in part why the W-9 caught my attention).
Is this typical to use W-9s for referral programs like this? Perhaps the referrals value or dollar amount triggers a W-9?
Obviously it's a fair bit more (over $1k) than say referring your neighbor to your local weekly trash pick-up company or something.
Thanks!
He lives in a retirement community / facility and they will give some sort of discount off regular monthly expense for referring another resident who moves in. It was over $1k. Upon qualifying to receive the referral discount he has to complete a W-9 for the facility. (Coincidentally he was already pretty close to having his SS get bumped to being taxable which is in part why the W-9 caught my attention).
Is this typical to use W-9s for referral programs like this? Perhaps the referrals value or dollar amount triggers a W-9?
Obviously it's a fair bit more (over $1k) than say referring your neighbor to your local weekly trash pick-up company or something.
Thanks!
Statistics: Posted by PGR — Thu Sep 19, 2024 4:13 pm — Replies 3 — Views 120