Gokce Tandogdu
ITIN Specialist, itin.net
An Individual Taxpayer Identification Number (ITIN) does not expire and remains valid indefinitely for its holder. However, an ITIN can become invalid if it is not used on a U.S. federal tax return for three consecutive tax years. If your ITIN has become invalid due to non-use, you will need to apply for a new one using Form W-7, Application for IRS Individual Taxpayer Identification Number, along with the required supporting documentation.
ITIN Validity: The Three-Year Rule
The IRS generally considers an ITIN invalid if it has not been used on a federal tax return for three consecutive tax years. This rule is a key factor for anyone asking how long are itin numbers good for in terms of active use. For example, if you obtained an ITIN for tax year 2020 and did not use it on your tax returns for 2021, 2022, and 2023, the IRS would likely deem it invalid for future filings. You would then need to reapply. The IRS sends notices, such as CP-48, to taxpayers whose ITINs are subject to invalidation due to non-use.
Exceptions to the Three-Year Invalidation Rule
There are specific circumstances where an ITIN might not become invalid even if not used for three consecutive years. These exceptions are rare and usually tied to specific tax treaty benefits or other unique situations. If you believe your ITIN falls under an exception, it is advisable to consult with a qualified tax professional or the IRS directly. The IRS may also issue a notice, like CP-565, to inform you of your ITIN status.
When an ITIN is Required
An ITIN is necessary for non-residents and foreign nationals who need to file a U.S. tax return but do not have, and are not eligible for, a Social Security Number (SSN). This includes individuals who:
- Are non-resident aliens filing a U.S. tax return (e.g., Form 1040-NR).
- Are resident aliens (based on days present in the U.S.) who are not eligible for an SSN.
- Are dependents or spouses of U.S. citizens or resident aliens who are not eligible for an SSN.
- Are dependents or spouses of non-resident alien visa holders who are not eligible for an SSN.
- Are claiming tax treaty benefits.
- Are required to file a U.S. tax return or information return (e.g., to report income effectively connected with a U.S. trade or business, or to claim treaty benefits).
An ITIN is also often required for opening a U.S. bank account or forming a U.S. LLC, even if no U.S. tax return is immediately filed. For instance, when forming a U.S. LLC, you might need an ITIN for certain filings or to facilitate business operations, even if you plan to eventually obtain an Employer Identification Number (EIN) via Form SS-4.
How to Reapply for an Invalidated ITIN
If your ITIN has become invalid due to non-use, you must reapply by submitting Form W-7. The application process is the same as for obtaining an ITIN initially. You will need to provide:
- A completed Form W-7.
- The original or certified copies of your federal tax return for the year for which you need the ITIN (if required).
- Original or certified copies of your identification documents. Typically, a passport is the preferred primary identification document. If you cannot provide a passport, you will need to submit two other forms of identification from the IRS's approved list. These documents must be valid (not expired) and show your full name, recent photograph, address, date of birth, and nationality.
You can submit your Form W-7 application directly to the IRS at their Austin, Texas, facility or through a Certified Acceptance Agent (CAA). Using a CAA, like itin.net, can streamline the process as they are authorized by the IRS to help verify your identity documents and ensure your application is complete before submission, reducing the risk of errors and delays.
Processing Times for ITIN Applications
Processing times for ITIN applications can vary. When applying directly to the IRS, it can take anywhere from 7 to 11 weeks, sometimes longer during peak tax seasons. If you apply through a Certified Acceptance Agent (CAA), the verification of your identification documents is immediate, and the application is then forwarded to the IRS for processing. While the IRS's internal processing time remains the same, the CAA can help ensure your application is correctly submitted, potentially avoiding delays caused by errors.
Maintaining Your ITIN's Validity
To ensure your ITIN remains valid, the most straightforward method is to file a U.S. federal tax return annually, or at least once every three consecutive tax years. Even if you owe no tax, filing a return (such as Form 1040-NR for non-residents) will keep your ITIN active. If you are not required to file a tax return but still need your ITIN for other purposes (like opening a U.S. bank account or for your U.S. LLC), you may need to consult with a tax professional about potential informational filing requirements or alternative ways to maintain its validity. For those forming a U.S. LLC, obtaining an EIN via Form SS-4 is often a necessary step for business operations.
How to Check Your ITIN Status
The IRS does not provide a direct online tool to check the status or validity of your ITIN. If you suspect your ITIN has become invalid or you need to confirm its active status, you can:
- Review IRS notices you have received. The IRS sends specific notices regarding ITIN invalidation due to non-use.
- Contact the IRS directly. You can call the IRS ITIN line for assistance.
- If you applied through a Certified Acceptance Agent (CAA), they may be able to assist you in inquiring about your ITIN status.
Getting Help with Your ITIN Application
Navigating the ITIN application process, especially if your number has become invalid, can be complex. The IRS offers resources and guidance, and Certified Acceptance Agents (CAAs) are specifically trained to assist taxpayers. Using a service like itin.net can help ensure your Form W-7 is correctly completed and your documentation is properly verified. This can prevent common errors that lead to application rejections or significant processing delays. For complex tax situations, or if you are unsure about your filing requirements, consulting with a qualified tax professional is always recommended. They can provide personalized advice based on your specific circumstances and ensure compliance with all IRS regulations.
For individuals planning to establish a business presence in the U.S., obtaining an ITIN is often the first step. Subsequently, securing an EIN through Form SS-4 and potentially forming a U.S. LLC are common follow-up actions. If you are considering these steps, exploring resources on EIN applications and U.S. LLC formation can be beneficial. Opening a U.S. bank account is another critical aspect of U.S. business operations.