I-9 Tax Form: Employment Eligibility Verification

I-9 Tax Form: Employment Eligibility Verification

The I-9 Tax Form, also known as Employment Eligibility Verification, is a critical document required by the U.S. government for all employers to verify the identity and employment authorization of individuals hired for employment in the United States. This form ensures that employees are legally eligible to work in the country and helps employers comply with immigration laws.

Understanding how to properly complete and submit the I-9 form is crucial for businesses to avoid penalties and remain compliant with U.S. labor laws. This guide walks you through the details of the I-9 form, the verification process, and how to handle potential issues.

What is the I-9 Form?

The I-9 Form, formally titled Employment Eligibility Verification, is a document required by the U.S. Citizenship and Immigration Services (USCIS) to verify the employment eligibility of individuals hired to work in the U.S. It is a mandatory form for every employee hired after November 6, 1986, regardless of their citizenship status. The primary goal of the form is to prevent unauthorized individuals from obtaining employment in the U.S.

The I-9 form consists of three main parts:

1. Section 1: Employee Information and Attestation
   • This section collects personal details from the employee, including their name, address, date of birth, and citizenship or immigration status.
2. Section 2: Employer Review and Verification
   • In this section, the employer reviews documents provided by the employee to establish their identity and work eligibility and records the document information.
3. Section 3: Reverification and Rehires
   • This section is used to update or reverify the employee’s information when necessary, such as after a work authorization document expires or if the employee is rehired.

Who Must Complete the I-9 Form?

Both employees and employers have specific roles in the I-9 process:

1. Employees:
   Every individual hired for employment in the U.S. (including U.S. citizens, nationals, and foreign nationals) must complete Section 1 of the I-9 form. They are required to provide information about their identity and work eligibility, and attest under penalty of perjury that the information provided is accurate.

2. Employers:
   Employers are responsible for completing Section 2 of the I-9 form. This section involves verifying the employee’s documents that establish their identity and authorization to work. Employers must physically examine the documents in person and record the document details on the form.

Key Steps to Complete the I-9 Form

Completing the I-9 form involves two main steps: one by the employee and one by the employer. Below are the detailed steps for completing the form:

1. Employee Completes Section 1 (No Later Than the First Day of Employment)
   • The employee fills out Section 1 of the form on their first day of employment. They must provide personal information, including:
     • Full name
     • Address
     • Date of birth
     • Citizenship or immigration status
   • The employee must sign and date the form, confirming the information is accurate.
2. Employer Completes Section 2 (No Later Than the 3rd Day of Employment)
   • The employer reviews the employee’s documents to verify their identity and eligibility to work in the U.S. These documents can include:
     • A U.S. passport or passport card
     • Permanent resident card (green card)
     • Driver’s license and Social Security card
   • Employers must physically examine original documents (photocopies are not acceptable). They must record the document details on the I-9 form, including the document title, issuing authority, document number, and expiration date (if applicable).
3. Reverification in Section 3 (When Applicable)
   • Employers must complete Section 3 if the employee’s work authorization expires or if the employee is rehired after a break in service. Section 3 is used to verify updated documents when necessary.

Types of Acceptable Documents

Employees must present documentation that verifies both their identity and their eligibility to work. The documents are divided into three categories:

1. List A (Documents that Establish Both Identity and Employment Authorization)

   • U.S. passport or passport card
   • Permanent resident card or alien registration receipt card
   • Employment authorization document (EAD)

2. List B (Documents that Establish Identity Only)

   • Driver’s license or state-issued ID card
   • Voter’s registration card
   • School identification card

3. List C (Documents that Establish Employment Authorization Only)

   • Social Security card
   • Birth certificate
   • U.S. citizen ID card

Employees can present one document from List A or one document from List B and one document from List C.

When Should the I-9 Form Be Submitted?

The I-9 form should be completed as follows:

1. Section 1 must be completed by the employee on or before their first day of work.
2. Section 2 must be completed by the employer within three business days of the employee’s start date.
   • If the employee is hired for a short-term job lasting less than three days, the employer must complete Section 2 on the first day of employment.

Employers must retain the completed I-9 forms for at least three years after the date of hire or one year after the date employment ends, whichever is later.

Common Mistakes to Avoid

1. Incomplete or Incorrect Information
   One of the most common mistakes is leaving sections of the form blank or entering inaccurate details. Ensure both the employee and employer review the form for completeness and accuracy before submission.

2. Failure to Verify Documents
   Employers must physically inspect the original documents provided by the employee. Relying on photocopies or failing to examine the documents carefully can result in violations.

3. Not Meeting Deadlines
   Employers must ensure that Section 1 is completed by the employee on the first day of employment and Section 2 is completed within three business days. Failure to meet these deadlines can result in penalties.

4. Not Retaining the Form
   Employers must retain the I-9 form for the required period. Failing to maintain proper records can lead to penalties if audited by the U.S. Immigration and Customs Enforcement (ICE).

I-9 Form Penalties and Compliance

Employers who fail to comply with I-9 requirements may face penalties. These penalties can include:

• Civil Penalties: Employers may be fined for each violation, such as failing to complete the form, retaining the form improperly, or employing unauthorized workers. The fines can range from a few hundred dollars to thousands of dollars per violation.

• Criminal Penalties: In cases of repeated violations or intentional disregard for the law, employers may face criminal charges, including potential imprisonment.

Regular I-9 audits, employee training, and document management systems can help reduce the risk of penalties.

Conclusion

The I-9 form plays a vital role in ensuring that businesses are hiring employees who are legally authorized to work in the United States. By properly completing and maintaining this form, employers can avoid costly penalties and ensure compliance with federal immigration laws. Whether you’re hiring your first employee or managing a growing workforce, understanding the I-9 process is essential for every business. Be sure to complete and store I-9 forms accurately, and consult with an immigration attorney or tax professional if you need assistance with compliance.