Gokce Tandogdu
ITIN Specialist, itin.net
You can find your ITIN, or Individual Taxpayer Identification Number, by applying for one directly with the Internal Revenue Service (IRS) or through an IRS-authorized Certified Acceptance Agent (CAA).
What is an ITIN?
An ITIN is a tax processing number issued by the Internal Revenue Service (IRS) to individuals who are not eligible for a U.S. Social Security number (SSN) but need a U.S. taxpayer identification number. This includes non-resident aliens who must file a U.S. tax return, individuals filing a U.S. tax return as a U.S. resident alien, dependents or spouses of U.S. citizens/resident aliens, and non-resident alien beneficiaries/students/researchers. The ITIN is used solely for tax purposes and does not authorize employment in the U.S., provide eligibility for Social Security benefits, or qualify the holder for the Earned Income Tax Credit. Understanding how to find an ITIN is the first step for many foreign nationals engaging with the U.S. tax system.
Who Needs an ITIN?
An ITIN is necessary for individuals who have U.S. tax obligations but cannot obtain an SSN. This typically includes:
- Non-resident aliens filing a U.S. tax return: If you are not a U.S. citizen or U.S. resident alien, but you have U.S. source income that requires you to file a U.S. federal income tax return (such as Form 1040-NR), you will likely need an ITIN. This can arise from receiving rental income, business income, or other passive income from U.S. sources.
- U.S. resident aliens filing a U.S. tax return: Individuals who meet the Substantial Presence Test or Green Card Test for the tax year, and are therefore considered U.S. resident aliens for tax purposes, but are not eligible for an SSN, will need an ITIN.
- Dependents or qualifying children of U.S. citizens or resident aliens: If you are claiming a dependent or qualifying child on your U.S. tax return who is not eligible for an SSN, that dependent will need an ITIN.
- Dependents or qualifying children of non-resident alien U.S. taxpayers: Similar to the above, if a non-resident alien is filing a U.S. tax return and claiming a dependent who cannot get an SSN, an ITIN is required for that dependent.
- Non-resident alien beneficiaries, students, scholars, or researchers: If you are receiving certain types of U.S. income (e.g., scholarships, fellowships, dependent care assistance) and are required to file a U.S. tax return or claim a tax treaty benefit, you may need an ITIN. Some tax treaty benefits may require an ITIN even if a tax return is not otherwise required.
For example, a foreign national who owns a U.S. property and receives rental income must file a U.S. tax return and therefore needs an ITIN. Similarly, a foreign investor receiving dividends from a U.S. company might need an ITIN to claim a reduced withholding rate under a tax treaty, even if the income is below the threshold for filing a full tax return. Many individuals seeking to establish a U.S. business, such as a U.S. LLC, will also need an ITIN if they are not eligible for an SSN, especially if they need to file informational returns like Form 5472 or open a U.S. bank account.
What Documents Are Required to Apply?
The primary document for applying for an ITIN is Form W-7, Application for IRS Individual Taxpayer Identification Number. Along with the W-7, you must submit original or certified copies of documentation proving your identity and foreign status. The IRS requires one original document that shows both your photograph and your biographical information. Acceptable documents include:
- Passport: This is the most common and preferred document as it proves both identity and foreign status.
- National identity card: Must show a photograph, name, address, date of birth, and expiration date.
- U.S. driver's license: Must show a photograph, name, address, date of birth, and expiration date.
- Foreign driver's license: Must show a photograph, name, address, date of birth, and expiration date.
- Foreign military identification card: Must show a photograph, name, address, date of birth, and expiration date.
- U.S. state identification card: Must show a photograph, name, address, date of birth, and expiration date.
- Foreign voter's registration card: Must show a photograph, name, address, date of birth, and expiration date.
- Civilan I.D. card (for non-military issued by government): Must show a photograph, name, address, date of birth, and expiration date.
- Visa: Must show name, photograph, and expiration date.
- U.S. Citizenship and Immigration Services (USCIS) photo I.D. card: Such as an Employment Authorization Card (EAD).
- Health and vaccination records (original ID only): Only for dependents under age 18.
- School records (original ID only): Only for dependents under age 18.
If your primary identification document does not contain your current U.S. address, you will need a secondary document to prove your U.S. residency. This could include a lease agreement, bank statement, or utility bill. It is crucial to ensure that the documents you submit are valid and meet the IRS requirements. Expired documents are generally not accepted. If you are applying as a dependent, the relationship to the applicant must also be proven with documents like a birth certificate.
How to Apply for an ITIN: Two Main Paths
There are two primary methods to apply for an ITIN. The first is to apply directly to the IRS, and the second is to use the services of a Certified Acceptance Agent (CAA).
1. Applying Directly to the IRS
This method involves completing Form W-7 and mailing it along with your original or certified copies of identification documents and your federal income tax return to the IRS at:
Internal Revenue Service Austin, TX 73301-0009
When applying directly, you have two options:
- Mail-in Application: You mail your completed Form W-7, supporting identification documents, and your tax return to the IRS. The significant drawback here is that the IRS will keep your original identification documents for up to 60 days, and you will be without them during this period. This can be problematic if you need them for other purposes.
- In-Person Application at an IRS Taxpayer Assistance Center (TAC): Certain IRS TACs offer appointments for ITIN application processing. You must schedule an appointment in advance. You can bring your original identification documents to the TAC, where an IRS employee will verify them and return them to you on the same day. However, not all TACs provide this service, and availability can be limited. You still need to submit your tax return with your application.
2. Applying Through a Certified Acceptance Agent (CAA)
This is often the preferred method for many applicants, especially those outside the U.S. A Certified Acceptance Agent (CAA) is an individual or business (like itin.net) that has been authorized by the IRS to assist applicants in obtaining ITINs. CAAs can:
- Help complete Form W-7: They guide you through the application process and ensure accuracy.
- Verify your original identification documents: This is a significant advantage. CAAs can review your original documents (like passports) and send certified copies to the IRS on your behalf. This means you do not have to mail your original documents and risk losing them. You get them back immediately after the CAA verifies them.
- Forward your completed application to the IRS: They submit the package to the IRS for processing.
Using a CAA can streamline the process and provide peace of mind, especially for individuals who are not physically in the U.S. or who are uncomfortable mailing their original passports. The service provided by itin.net is an example of this CAA path.
What is the Processing Time?
Processing times for ITIN applications can vary significantly. The IRS currently estimates that it can take up to 14 weeks for an ITIN to be assigned after the application is received. This timeframe can be longer during peak tax seasons (January through April) or if the application is incomplete or contains errors. If you are applying by mail directly to the IRS, you must also factor in the mailing time for your documents.
When you apply through a CAA, the verification of your documents is immediate, but the subsequent IRS processing time remains the same. The IRS will mail you a notice, CP-565, which contains your assigned ITIN once the application is approved. It's important to apply well in advance of any tax filing deadlines to avoid issues.
Cost and Fees
There is no fee charged by the IRS to apply for an ITIN. Form W-7 is free to download from the IRS website. If you choose to apply directly to the IRS via mail or at a TAC, there are no associated costs. However, if you use the services of a Certified Acceptance Agent (CAA) like itin.net, the CAA may charge a fee for their assistance in verifying your documents and processing your application. These fees vary by CAA and cover the administrative costs and expertise involved in the service. For example, itin.net charges a fee for its CAA services, which includes document verification and application submission.
Common Mistakes to Avoid
Several common mistakes can delay or lead to the rejection of your ITIN application. Being aware of these can significantly improve your chances of a smooth process:
- Incomplete or incorrect Form W-7: Ensure all fields are filled out accurately. Missing information or errors in your name, address, or taxpayer identification number (if applicable) can cause delays.
- Missing or unacceptable identification documents: Double-check that you are submitting the correct documentation. Remember, you need one document proving identity and foreign status with a photo. If your primary document is not from the U.S., ensure it meets all IRS requirements. Certified copies are only accepted if submitted by a CAA; otherwise, original documents are required.
- Not attaching a tax return (when required): Most ITIN applications must be accompanied by a valid federal income tax return for the year you are claiming the ITIN. Exceptions exist for certain situations, such as claiming tax treaty benefits or applying as a dependent whose filer will claim them on their return. Review the W-7 instructions carefully.
- Submitting expired identification: Ensure all your identification documents are current and valid.
- Mailing original documents directly to the IRS without using a CAA: While this is a valid application method, it means you will be without your original passport or other vital documents for an extended period.
- Incorrectly applying for an ITIN when an SSN is available: If you are eligible for an SSN, you must obtain one instead of an ITIN. An ITIN cannot be used if you are eligible for an SSN.
What Happens After You Get Your ITIN?
Once your ITIN application is approved, the IRS will send you a notice (CP-565) with your assigned ITIN. You should keep this notice and your ITIN in a safe place, as you will need it for all future U.S. tax filings. If you lose your ITIN, you will need to apply for a new one using Form W-7 again, or you can request a transcript from the IRS which may show your ITIN. You may also receive other IRS notices, such as CP-575 (Notice of EIN Assignment) if you also applied for an EIN, or CP-48 (Notice of Change in Taxpayer Identification Number) if there are discrepancies.
Your ITIN is generally valid for seven years. If you do not use your ITIN on a federal tax return for three consecutive tax years, the IRS may deactivate it. If your ITIN is deactivated and you need to file a tax return, you will have to reapply. Additionally, the IRS has been undergoing a process to phase out ITINs that have not been used in the last three years, so it is important to file a tax return using your ITIN periodically if you expect to have U.S. tax obligations in the future.
If you are planning to establish a U.S. business, such as a U.S. LLC, you will likely need to file Form 5472 annually to report transactions between the LLC and its foreign owner. This form requires both an ITIN (or SSN for the responsible party) and an EIN for the LLC. You can apply for an EIN by submitting Form SS-4 to the IRS. Opening a U.S. bank account for your business is also a critical step, and many U.S. banks require both an EIN and an ITIN for the account holder or authorized signers.
How to Get Help
For many individuals, especially those living abroad, the most convenient and secure way to apply for an ITIN is through a Certified Acceptance Agent (CAA). These agents are trained and authorized by the IRS to help you with the application process and, crucially, to verify your original identification documents. This means you don't have to mail your passport or other vital documents to the IRS, reducing the risk of loss or theft. Companies like itin.net offer these services, providing expert guidance and handling the submission of your application.
If you have a complex tax situation, are unsure about your U.S. tax obligations, or have specific questions about your eligibility for an ITIN or the required documentation, it is advisable to consult with a qualified tax professional or an attorney specializing in international taxation. They can provide personalized advice tailored to your unique circumstances. The IRS also provides resources on its website and through its Taxpayer Advocate Service for individuals who need assistance.
Understanding how to find an ITIN is a fundamental step for non-residents engaging with the U.S. tax system. Whether you are filing a tax return, claiming treaty benefits, or setting up a U.S. business entity, a correctly obtained ITIN is essential. For further information on related U.S. business setup steps, you can explore resources on obtaining an EIN or forming a U.S. LLC, and opening a U.S. bank account.
For detailed information on ITIN services, you can visit the ITIN application service.