A B-Notice is a notice sent by the Internal Revenue Service (IRS) to notify payers (such as Coinbase) of a discrepancy between the Taxpayer Identification Number (TIN) and the name provided by customers on Form 1099.
The IRS considers a TIN mismatch to occur if the name and number on your Coinbase issued Form 1099 does not match their records or the files of the Social Security Administration (SSA).
If you’re notified that we have received a B-Notice regarding your Coinbase issued Form 1099 by email, follow these steps:
Update your information in your Tax profile under Tax settings.
Verify your official legal name and TIN is accurate in the Tax Settings and W-9.
If you’ve been asked to submit your Social Security card, ensure it shows your correct name/SSN combination that differs from the name and SSN combination appearing on the notice.
Alternatively, it must show a date of issuance that is no earlier than six months prior to the date on the notice.
You have 30 business days from the date of notification to submit an updated Form W-9 before backup withholding begins. If Coinbase does not receive an updated and accurate Form W-9 within this period, Coinbase applies backup withholding at 24% on certain reportable transactions and may apply account restrictions. This is to comply with IRS guidelines requiring accurate taxpayer information on any tax reporting.
Coinbase will not accept your taxpayer information except through completion of Coinbase’s digital Form W-9. If you have questions, contact us.
If Coinbase has received a second B-Notice within three years regarding your account, you must submit a certified copy of your Social Security card obtained through the Social Security Administration (SSA) or the IRS. Self-certification of your Form W-9 is not sufficient to resolve a second B-Notice.
After submission, your details will be reviewed, and you should expect to have trading access restored in three to seven business days.
Amounts withheld before your tax information is updated are sent directly to the IRS, and Coinbase will determine refund eligibility. Learn more about U.S. tax withholding on Coinbase.