Gokce Tandogdu
ITIN Specialist, itin.net
Your ITIN does not expire. However, the IRS has a policy that an ITIN becomes invalid if you do not report it on a U.S. federal tax return for three consecutive tax years. This means that even though the number itself is permanent, its usability for tax filing purposes is subject to this three-year rule. Therefore, if you have an ITIN and haven't used it to file a tax return for three consecutive years, you will need to apply for a new ITIN before you can use it again for tax purposes.
ITIN Validity and the Three-Year Rule
The IRS issues Individual Taxpayer Identification Numbers (ITINs) to individuals who are required to have a U.S. taxpayer identification number but do not have, and are not eligible to obtain, a Social Security number (SSN). These individuals include certain non-resident aliens, resident aliens, and others who need a U.S. taxpayer ID for tax purposes. The ITIN is a nine-digit number that always begins with the number 9 and has a range of 70-88 or 90-99 as the fourth and fifth digits. For example, 9XX-7X-XXXX or 9XX-9X-XXXX.
Crucially, the ITIN itself is permanent and does not have an expiration date printed on it. You will keep the same ITIN for your lifetime unless it becomes invalid due to non-use or you later obtain an SSN. The IRS implemented the three-year rule to ensure that ITINs are used for their intended purpose: tax administration. By requiring use every three years, the IRS aims to maintain an accurate and up-to-date taxpayer database and reduce the number of dormant ITINs.
If your ITIN has become invalid due to non-use, you must reapply for a new ITIN using Form W-7, Application for IRS Individual Taxpayer Identification Number. You cannot simply reactivate an old ITIN. The application process for a new ITIN is the same as the original application process. You will need to provide original or certified copies of your identification documents and a valid U.S. federal tax return for which the ITIN is needed. This is a critical point when considering how often does the itin number expire: it doesn't, but it can become unusable.
What Constitutes 'Use' of an ITIN?
For an ITIN to be considered 'used' under the IRS policy, it must be reported on a U.S. federal income tax return. This typically means including the ITIN on Form 1040-NR, U.S. Nonresident Alien Income Tax Return, or any other applicable federal tax form that requires a taxpayer identification number. Simply holding an ITIN or using it for non-tax purposes, such as opening a bank account or forming a U.S. LLC, does not satisfy the IRS's requirement for continued use to keep it valid for tax filing.
Even if you did not have a U.S. tax liability in a particular year, you might still need to file a tax return to keep your ITIN active. For example, if you are a non-resident alien who received certain types of U.S. income, you may be required to file a tax return to claim treaty benefits or to obtain a refund of excess tax withheld. In such cases, filing the required return, even if it results in no tax due or a refund, counts as 'use' of your ITIN.
It is important to differentiate between using an ITIN for tax filing and using it for other purposes. While an ITIN can be helpful for opening a U.S. bank account or for business-related activities, these uses alone do not prevent your ITIN from becoming invalid due to non-use for tax filing. The IRS's primary concern is the reporting of income and tax liability on federal tax returns. Therefore, if your primary reason for having an ITIN is for tax compliance, you must ensure it is included on your filed tax returns regularly.
When Does an ITIN Become Invalid?
An ITIN becomes invalid if it has not been used on a federal tax return for three consecutive tax years. For example, if you last used your ITIN to file your 2020 tax return, and you do not use it on your 2021, 2022, or 2023 tax returns, your ITIN will become invalid effective January 1, 2024. The IRS will then update its records to reflect that the ITIN is no longer valid for tax filing purposes.
The IRS typically notifies taxpayers whose ITINs are scheduled to become invalid. This notification is usually sent via mail, often in the form of an IRS notice, such as CP-48, Notice to ITIN Holder: Your ITIN is Scheduled to Expire. This notice informs you that your ITIN will become invalid if it is not used on a tax return during the upcoming filing season and provides instructions on how to reapply if necessary. It is crucial to pay attention to any correspondence received from the IRS regarding your ITIN status.
If you receive such a notice, it means your ITIN is about to become invalid, and you will need to take action if you anticipate needing to file a U.S. tax return in the near future. The best course of action is to file a tax return using your ITIN as soon as possible. If you have already missed the three-year window, you will need to go through the entire ITIN application process again by submitting a new Form W-7 along with supporting documentation and a tax return.
Reapplying for an ITIN After Invalidation
If your ITIN has become invalid due to the three-year rule, you must reapply for a new one. The process is identical to your original application. You will need to complete a new Form W-7 and submit it with the required original identification documents or certified copies from the issuing agency. You must also attach a valid federal income tax return for which the ITIN is needed.
There are several ways to submit your Form W-7 application:
- Mail to the IRS: You can mail your completed Form W-7, supporting documents, and tax return to the IRS address specified in the Form W-7 instructions. Processing times can be lengthy, often taking 7 to 11 weeks, sometimes longer during peak tax seasons.
- Through a Certified Acceptance Agent (CAA): You can apply through a CAA. These individuals or entities are authorized by the IRS to help taxpayers apply for ITINs. A significant benefit of using a CAA is that they can review your application and documentation, and then forward them to the IRS. They can also often certify your original identification documents, meaning you do not have to mail your originals to the IRS, thereby reducing the risk of loss or delay. itin.net works with CAAs to assist applicants.
- Through an IRS Taxpayer Assistance Center (TAC): Some IRS TACs offer ITIN application services by appointment. You must call to schedule an appointment. While they can verify original documents, they do not issue ITINs on the spot; applications are forwarded to the ITIN Operation. Processing times are similar to mailing directly to the IRS.
When reapplying, ensure all information on Form W-7 is accurate and matches your supporting documents. Any discrepancies can lead to delays or rejection of your application. Double-check the required documentation list in the Form W-7 instructions to ensure you have everything needed. This includes proof of identity and foreign status, such as a passport.
Can an ITIN Be Renewed?
No, an ITIN cannot be renewed in the traditional sense. As mentioned, the ITIN number itself is permanent. The confusion often arises because individuals may need to reapply if their ITIN becomes invalid due to non-use for three consecutive tax years. This reapplication process is essentially obtaining a new ITIN, even though you will likely be assigned the same number if it was previously valid and has not been reassigned. However, the IRS does not have a formal renewal process for ITINs. You must go through the full application procedure again.
Some taxpayers may believe their ITIN needs renewal if they see an expiration date on a document related to their tax status or if they are confused by IRS notices. It's vital to understand that the ITIN itself is not time-limited. The condition for its continued validity is its use in filing federal tax returns.
If you anticipate needing your ITIN for tax filing in the future, the best strategy is to file a federal tax return at least once every three years. This simple step will ensure your ITIN remains valid and avoids the need for reapplying. If you are unsure whether your ITIN is still valid or if you have missed the three-year window, you can contact the IRS ITIN Operation directly or seek assistance from a qualified tax professional or a CAA.
Special Cases and Considerations
While the three-year rule is the primary reason an ITIN might become unusable for tax filing, there are other situations to consider. If you obtain a Social Security number (SSN), your ITIN is no longer valid and you must use your SSN for all tax purposes. The IRS will automatically deactivate your ITIN once it is informed that you have been issued an SSN.
For individuals who are required to file U.S. tax returns but do not have an SSN, maintaining a valid ITIN is essential. This includes non-resident aliens with U.S. source income, such as rental income from U.S. property, or those engaging in certain business activities that require reporting to the IRS. For instance, foreign individuals who own a U.S. LLC are often required to file Form 5472, Information Return of a 21st Century State Taxpayer With a Reportable Transaction With a Foreign Corporation, if they are considered a disregarded entity for U.S. tax purposes. Failure to file this form can result in significant penalties. To file Form 5472, you need a taxpayer identification number, which for individuals without an SSN, is their ITIN.
Similarly, if you are planning to establish a U.S. business presence, such as forming a U.S. LLC, you might need an ITIN initially. While an LLC may later require an Employer Identification Number (EIN) for business operations, the individual owner might need an ITIN for personal tax reporting related to the business income, especially if they are not a U.S. resident. You can learn more about U.S. LLC formation and requirements /llc. Opening a U.S. bank account may also sometimes require an ITIN, although many banks are increasingly requiring an EIN for business accounts. For information on opening U.S. bank accounts, visit /bank-account.
It's also important to note that the IRS may issue new ITIN assignment procedures or policies. While the core principle of the three-year rule has been consistent, it's always advisable to stay updated on any IRS announcements or changes to ITIN procedures. Following official IRS guidance is paramount.
How to Check Your ITIN Status
Unfortunately, the IRS does not provide a direct online portal or a simple phone number to check the current validity status of your ITIN. The most reliable way to determine if your ITIN is still considered valid for tax filing is to attempt to file a tax return using it. If the IRS accepts the return and processes it without issue, your ITIN is likely still valid. If the return is rejected due to an invalid ITIN, or if you receive a notice from the IRS indicating your ITIN is invalid, then you will need to reapply.
Another method, albeit indirect, is to review any notices you may have received from the IRS. As mentioned earlier, the IRS typically sends a CP-48 notice if your ITIN is scheduled to become invalid. If you haven't received such a notice and have used your ITIN within the last three years, it is probably still valid. However, this is not a definitive confirmation.
For individuals who are uncertain about their ITIN status and need to file a tax return, the safest approach is to proactively apply for a new ITIN using Form W-7. This ensures you have a valid ITIN in hand before the tax filing deadline, preventing potential delays or penalties. The application process, whether by mail or through a Certified Acceptance Agent (CAA), can take several weeks. Therefore, starting the process early is highly recommended, especially if you are working with itin.net / for your ITIN application needs.
Planning for Future Tax Filings
To avoid issues with an invalid ITIN, proactive planning is key. The simplest way to ensure your ITIN remains valid is to file a federal tax return at least once every three years. Even if you have minimal U.S. income or believe you don't owe any tax, filing a return can preserve your ITIN's validity. This is especially important if you anticipate needing your ITIN for future tax obligations, such as reporting income from U.S. investments or U.S. business activities.
If you are an individual who is required to file U.S. tax returns but are unsure about your filing obligations or how to complete the forms correctly, seeking professional assistance is advisable. Tax professionals experienced with non-resident U.S. taxation can help you understand your responsibilities and ensure your returns are filed accurately. This can also help you avoid common mistakes that could lead to penalties or issues with your ITIN.
Remember that while an ITIN is essential for tax purposes, it does not grant you the right to work in the United States or provide any immigration benefits. It is solely for tax administration. If you are planning to establish a U.S. business, you will likely need an EIN for your business operations, which can be obtained separately by applying for an EIN /ein. Understanding these distinctions is crucial for navigating the U.S. tax and business landscape effectively.
For those who have used their ITIN for tax filing in the past but are unsure about its current status or the filing requirements for the upcoming year, consulting with a tax specialist is a good step. They can help assess your situation, confirm your ITIN's validity, and guide you through the filing process. If you need to reapply for an ITIN, working with a reputable service can streamline the process. You can find more information about our services on the /about page.