TL;DR: FundedNext collects tax information from U.S. traders to comply with U.S. IRS information-reporting rules when paying U.S. persons. Only U.S. citizens and U.S. residents requesting withdrawals must submit a W-9 (prompted before the first withdrawal request); without a valid W-9 on file, withdrawals stay blocked until the W-9 is approved. W-9 forms are reviewed automatically by Avalara, and rejections commonly happen if the name does not match the FundedNext profile, the tax classification is not Individual/Sole Proprietor, the SSN format is invalid, the form is unsigned or incomplete, or required fields are missing. If the total withdrawal amount exceeds $600 in a calendar year, FundedNext issues a 1099-NEC covering Performance Rewards received between January 1 and December 31, generated after year-end and delivered by January 31, available via email and in the FundedNext Dashboard under Tax Documents. FundedNext does not provide tax advice, and non-U.S. traders do not submit tax forms or receive tax documents. W-9 and 1099-NEC requirements apply to U.S. traders of both FundedNext Futures and FundedNext CFDs.
General
Why does FundedNext collect tax information from U.S. traders?
FundedNext is required to comply with U.S. IRS information-reporting rules when paying U.S. persons.
If you are a U.S. trader and receive a Performance Reward from FundedNext, we are required to collect a W-9 form and issue a 1099-NEC if your total withdrawal amount exceeds $600 in a calendar year.
Who needs to submit a W-9 form?
Only U.S. citizens and U.S. residents requesting a withdrawal must submit a W-9 form.
Non-U.S. traders do not need to submit any tax forms to FundedNext.
When do I need to submit my W-9?
You will be prompted to submit a W-9 before your first withdrawal request.
If you are an existing U.S. trader and have not submitted a W-9 yet, you will be asked to upload it before requesting a withdrawal.
What happens if I don’t submit a W-9?
If a valid W-9 is not on file:
You will not be able to request withdrawals.
Your withdrawal request will remain blocked until the W-9 is approved.
W-9 Validation
How is my W-9 reviewed?
W-9 forms are reviewed and validated automatically by our compliance partner (Avalara).
FundedNext does not manually approve or edit W-9 forms.
What are common reasons a W-9 gets rejected?
A W-9 may be rejected if:
The name does not match your FundedNext profile.
The tax classification is not Individual / Sole Proprietor.
The SSN format is invalid.
The form is unsigned or incomplete.
Required fields are missing.
If rejected, you’ll see the reason and can re-upload a corrected form.
What happens if my W-9 keeps getting rejected?
If your W-9 is repeatedly rejected, your withdrawal request may remain on hold until a valid form is provided.
For assistance, please contact FundedNext support.
1099-NEC
What is a 1099-NEC?
A 1099-NEC is an IRS information form that reports non-employee compensation paid to U.S. individuals during a calendar year.
When will I receive my 1099-NEC?
If applicable, your 1099-NEC will be:
Generated after the end of the calendar year.
Delivered by January 31.
Available via email and in your FundedNext Dashboard under Tax Documents.
What Performance Reward period does the 1099-NEC cover?
Your 1099-NEC includes all Performance Rewards paid to you between January 1 and December 31 of the applicable year.
Will FundedNext help me file my taxes?
No. FundedNext does not provide tax advice.
We recommend consulting a qualified tax professional for guidance on filing your personal tax return.
Do non-U.S. traders receive any tax forms from FundedNext?
No. FundedNext does not collect tax forms or issue tax documents for non-U.S. traders.
Note: The W-9 and 1099-NEC requirements apply to U.S. traders of both FundedNext Futures and FundedNext CFDs.