At Giftogram, we’re always looking for ways to make digital gifting not just engaging and personal, but also as seamless and compliant as possible. That’s why we’re excited to introduce our W-9 Collection feature—designed to help you gather necessary tax information from your recipients when they hit the annual $600 gift threshold. With W-9 Collection, you can spend less time chasing paperwork and more time focusing on what matters: creating memorable gifting experiences.
Key benefits: W-9 collection for streamlined tax compliance
- Streamlined tax readiness: We’ll prompt recipients to fill out a W-9 form once they’ve received $600 in rewards within a calendar year, helping you prepare for potential 1099 issuance.
- Automated tracking: Recipients are automatically monitored at the campaign level—by Recipient ID (if provided) or email address—to make sure no one slips through the cracks.
- Better peace of mind: The moment a recipient crosses the $600 threshold, they’ll be asked to complete a W-9 before redeeming any further gifts. You’ll have one less thing to worry about during tax time.
How Giftogram’s W-9 collection works
- Quick setup: Super Admins can enable W-9 Collection in campaign settings. Once active, recipients who reach $600 in rewards will be prompted to fill out their W-9.
- Easy redemption: When the $600 threshold is reached, recipients will complete the W-9 before redeeming their gift.
- Instant verification: We verify the recipient's name and TIN against the IRS database.
- Simple reports: Download W-9 forms anytime for your records or 1099 preparation.
For more details on how to enable and set up W-9 Collection, check out our knowledge base article.
Who is this good for?
Giftogram's W-9 Collection is ideal for businesses running campaigns that involve high-value gift card rewards. Whether you’re looking to incentivize consumer actions or reward loyal customers, this feature can help keep your tax paperwork in check.
- Consumer promotions: If you're running a sweepstakes, contest, or giveaway where winners receive gift cards above the $600 threshold, W-9 Collection ensures you remain tax-compliant while streamlining the redemption process.
- Loyalty programs: For businesses running customer loyalty programs that reward points with gift cards, W-9 Collection helps ensure that high-reward participants provide the necessary tax information without interrupting the user experience.
- Surveys & research campaigns: If your business offers incentives for survey completions or research participation, W-9 Collection is a great way to make sure you’re ready to issue 1099s when participants hit the $600 threshold.
- Referral programs: When rewarding referrers with gift cards for bringing in new business or customers, W-9 Collection helps you keep track of compliance in case someone exceeds the $600 in rewards.
- High-value gift card rewards: This feature is particularly useful when you are offering significant rewards, such as for top-tier sales performers, affiliate marketers, or brand ambassadors, ensuring smooth compliance with minimal effort.
Important considerations for W-9 compliance
- Compliance is up to you: Enabling W-9 Collection on your campaigns does not guarantee full tax compliance. We recommend consulting a qualified tax professional to ensure all your bases are covered.
- Recipient participation: If a recipient does not complete their W-9, they can’t redeem their gift. However, you may still be obligated to issue a 1099 if required by law.
- U.S. only: This feature is exclusively available for recipients located in the United States.
- Annual reset: Recipients only need to submit the form once per calendar year, regardless of how many campaigns they participate in.
About Giftogram
Giftogram is trusted by over 10,000 businesses and organizations to create meaningful gifting experiences and employee appreciation gestures. Our gift card platform is tailored for businesses—without any monthly fees. From customizing gift cards with your logo and message to giving your recipients access to thousands of top brands, Giftogram makes it easy to give a gift they’ll love.
Ready to see how W-9 Collection and our other features can simplify your next gifting campaign? Sign up for a free account, or schedule a demo with our Customer Success team. Experience firsthand how Giftogram takes the hassle out of employee appreciation and customer engagement—leaving you more time to focus on growing your business.
