The company had to apply backup withholding on the contractor's payments.
Grammatical Info:
Noun (n.)
A tax withholding method used by the IRS to collect taxes from certain payments when the recipient fails to provide a correct taxpayer identification number.
Other Example
Synonyms
Synonyms
backup withholding
/ˈbækʌp wɪðˈhoʊldɪŋ/
Main Example
The accountant will backup withhold if the forms are not submitted.
Grammatical Info:
Verb (v.)
To apply a tax withholding method on payments due to the lack of proper taxpayer identification.
