ITIN

How to Get an ITIN Number for Undocumented?

How to Get an ITIN Number for Undocumented?

An Individual Taxpayer Identification Number (ITIN) is a tax processing number issued by the Internal Revenue Service (IRS). It helps individuals comply with U.S. tax laws by facilitating the processing and accounting of tax returns and payments for those who are not eligible for a Social Security Number (SSN).

To obtain an ITIN for undocumented individuals, there are specific steps to follow. Firstly, applicants have to complete IRS Form W-7, and the Application for Individual Taxpayer Identification Number, ensuring accurate and thorough completion. Alongside the form, applicants must provide valid and original documentation to verify both their identity and foreign status. This documentation is crucial for the IRS to process the ITIN application. Once the form and supporting documents are assembled, they can be submitted either by mail or in-person to the IRS.

What is ITIN?

An ITIN, which stands for Individual Taxpayer Identification Number, is a nine-digit number issued by the Internal Revenue Service exclusively for tax purposes. It aids taxpayers in adhering to U.S. tax regulations by streamlining the processing and monitoring of tax returns and payments for individuals ineligible for a Social Security number.

  • Nonresident aliens who must file a U.S. tax return.
  • U.S. resident aliens who must file U.S. tax returns based on days spent in the United States.
  • Dependents or spouses of U.S. citizens or resident aliens.
  • Dependents or spouses of non-resident foreign visa holders.
  • Non-resident aliens claiming tax treaty benefits.
  • Nonresident foreign students, professors, or researchers who file U.S. tax returns or claim exemptions can apply for an ITIN.

How to apply to ITIN Number?

An Individual Taxpayer Identification Number (ITIN) is acquired via the Internal Revenue Service and is imperative within the United States. Specific criteria must be met by all applicants to obtain an ITIN. Initially, applicants are required to fill out IRS Form W-7, the Application for Individual Taxpayer Identification Number, and furnish it alongside the necessary documentation validating their identity and foreign status.

Applicants have two options to obtain Form W-7 and its instructions. Firstly, they can access it from the website (www.irs.gov). Secondly, they may call the IRS toll-free number at 1-800-829-1040 to request the form be sent to them by mail.

The ITIN application necessitates meticulous preparation, with strict adherence to established regulations being crucial. Applications should be submitted either by mail or in person, ensuring timely processing and thorough verification to secure successful receipt of the ITIN. Keeping track of the process is vital. Possessing an ITIN facilitates the smooth fulfillment of US tax responsibilities.

Where Can ı Use my ITIN Number?

An Individual Taxpayer Identification Number (ITIN) serves various purposes related to federal tax reporting and compliance in the United States. Common uses of an ITIN include:

Submitting Tax Returns: ITINs are mainly utilized to file federal tax returns with the Internal Revenue Service when an individual is not eligible for a Social Security Number (SSN) but still needs to meet tax reporting obligations.

Claiming Tax Treaty Benefits: Nonresidents entitled to tax treaty benefits with the United States can use their ITIN to claim these benefits on their tax returns.

Opening Bank Accounts: Numerous financial institutions recognize ITINs as valid identification for opening bank accounts.

Mortgage and Loan Applications: Certain lenders may accept ITINs as a legitimate form of identification.

Applying for Certain Government Benefits: While ITINs are primarily for tax purposes, some state or local government agencies might accept them for specific benefits or services.

It is crucial to note that although ITINs have multiple uses, they do not authorize work in the United States or verify legal immigration status. They are issued solely for tax purposes.

Which documents are Required?

To acquire an Individual Taxpayer Identification Number, applicants must furnish adequate evidence to confirm both their identity and alien status. This verification procedure is crucial for security purposes and acts as a safeguard against identity theft. To ensure a successful completion of the application process, all documents mandated by the IRS must be submitted with precision and completeness.

The IRS has designated 13 specific documents as necessary for obtaining an ITIN.

Required documents for obtaining an ITIN;

  • Passport (stand-alone document)
  • National identity card (must have a photo, name, current address, date of birth, and expiration date)
  • US driver’s license
  • Civil birth certificate (required for dependents under 18)
  • Foreign driver’s license
  • US state ID card
  • Foreign voter registration card
  • US military ID card
  • Foreign military ID card
  • Visa
  • U.S. Citizenship and Immigration Services (USCIS) photo identification
  • Medical records (dependents only – under 6 years old)
  • School records (dependents only – under 14, under 18 if student)

All of the documents must include a name and photograph. Applying for an ITIN must be submitted in person to the Internal Revenue Service Taxpayer Assistance Center, or CAA.

Additional documentation may be required to fulfill the verification process.

Among these documents

E-mail address

Smartphone or computer with camera

Individual Taxpayer Identification Number number

Proof of ITIN: CP565 Statement or bank statement showing full ITIN

Two additional documents: one primary document and one secondary document or two primary documents; One of them needs to prove your address.

Importance of ITIN Application

Obtaining an Individual Taxpayer Identification Number is essential for individuals ineligible to obtain a Social Security Number (SSN) but who have tax responsibilities or engage in financial activities within the United States. It is necessary to adhere to US tax regulations. Some key reasons emphasizing the importance of applying for an ITIN include:

Tax Compliance: ITIN  allows individuals to file tax returns, report income, and meet other tax obligations as required by the Internal Revenue Service.

Access to Tax Benefits: Allows individuals to access all the tax benefits they are entitled to, including credits, deductions, and exemptions outlined in the U.S. tax code.

Legal Documents: The Individual Taxpayer Identification Number provides individuals with an identification number that they can use for a variety of financial transactions.

Avoiding Tax Withholding: Without an ITIN or SSN, individuals may be subject to tax withholding on income earned in the United States, resulting in financial loss.

Compliance with Financial Institutions: Many financial institutions require the provision of a taxpayer identification number when conducting financial transactions. 

Access to Services: Possession of an Individual Taxpayer Identification Number may be required to access certain services or benefits provided by government agencies, educational institutions, or other organizations in the United States.

What is ITIN Number Used for in the USA?

The Individual Taxpayer Identification Number is specifically allocated for federal tax reporting functions. Those eligible to meet U.S. tax responsibilities and file individual tax returns can procure an ITIN from the Internal Revenue Service.

Obtaining or applying for an Individual Taxpayer Identification Number does not authorize individuals to work in the USA. However, holding an ITIN allows individuals to become partners or owners of companies within the United States. It’s crucial to understand that having an ITIN does not grant eligibility for social security benefits or earned income tax credits.

How Can Non-U.S. Citizens Get an ITIN Number?

The Individual Taxpayer Identification Number is issued by the Internal Revenue Service.. Non-U.S. citizens with federal tax reporting obligations but ineligible for a Social Security Number (SSN) may acquire an ITIN.

There are specific procedures for non-U.S. citizens to obtain an Individual Taxpayer Identification number. To obtain an ITIN, non-U.S. citizens must:

Fill out Form W-7

and Collect Required Documents.

Attach Tax Return (if required)

Submit Application to IRS:

Wait for Tracking and Processing

Non-U.S. citizens must meticulously adhere to the instructions and furnish all requisite documentation to prevent delays or complications with their ITIN application.