We have an account where the client signed a W9 form and indicated they are a US citizen, based upon the W9 we the client signed 12/09/04, we reported the client's income for 2005 on a form 1099B and 1099DIV. Recently the client received notice from the IRS that they are required to pay taxes on this income. The client has requested a corrected 1099 form from us showing no income since they now claim they were not a US citizen during the 2005 Tax Year and they paid income taxes to the United Kingdom for 2005. We are planning not to issue a correction since the client signed a W9 and we are planning to tell the client that they need to work this out with the IRS. Do you agree with our stance, can you offer any guidance as to what the IRS may suggest,either we, or our former client, should do in this type of situation?