Backup withholding is a way of ensuring that tax is paid on certain types of income. If you are required to pay backup withholding, the IRS will automatically withhold money from your payments to ensure that you pay the correct amount of tax.
Backup withholding applies to certain types of payments, including interest, dividends, and payments for services. You may be required to pay backup withholding if you do not provide your social security number to the payer, if you …
