What is Backup Withholding?
The IRS may impose “backup withholding” for merchants that have not filed their 1099-K form and / or when the Tax ID number (either your Employer Identification Number or Social Security Number) and / or Business Legal Name information on the 1099-K form does not match what the IRS has on file. Backup withholding results in merchant settlements being held by the IRS. If you have been subjected to backup withholding send a completed W-9 form via e-mail to 1099IRSTax@nuvei.com with the correct Tax ID number (Either EIN or SSN) and Business Legal Name combination for correction. After correction, the withheld funds will be released by the IRS upon your next tax filing. Please note that Nuvei is not able to release withheld funds from backup withholding as the funds are with the IRS.
What is a “B” Notice?
A “B” Notice is a backup withholding notice. It indicates that information we have on file for your account does not match what the IRS has on file.
If you have received a “B” Notice, you are at risk of backup withholding being implemented on your account. The notice will include a deadline by which your information needs to be corrected or backup withholding will occur. Instructions on how to correct your information will be included with the notice. You will need to follow the instructions for your individual account; the process can vary for certain merchants. You should also send a completed W-9 form via e-mail to 1099IRSTax@nuvei.com with the correct Tax ID and Business Legal Name combination so we can make sure all records are up to date.
If your information is corrected before the deadline listed on the notice, you will not be subject to backup withholding.
Please note that Nuvei is not able to release withheld funds from backup withholding as the funds are with the IRS.