In a new comment letter, the American Bankers Association said that while it appreciates the IRS incorporating its recommendations into the proposed revisions to W-9 tax forms, the association still has significant concerns about some of the instructions for completing the form.
Last year, the IRS released for review its updated draft W-9 form, which is used to report taxpayer identification numbers. ABA offered possible improvements that the agency adopted. They were allowing sole proprietors to provide either a Social Security number or an Employer Identification Number on a W-9, and introducing flexibility related to the fifth certification on the form, concerning U.S. digital asset brokers.
Still, ABA said it has significant concerns regarding the new “Which revision to use” language in the updated draft instructions for the form. Most notably, the draft instructions appear to require use of the June 2026 version of Form W-9 beginning June 1, 2026, without providing any transition period during which prior versions may continue to be accepted.
The proposed approach departs from longstanding practice and from the transition framework applicable to Form W-8, where withholding agents are permitted to rely on prior versions for a defined period, known as the “six-month rule,” ABA said.
The association recommended that the IRS provide a transition period consistent with the six-month rule on Form W-9. It also recommended that the agency clarify that versions of W-9 continue to be accepted for a reasonable period, or definitively where they contain all the required information.
