We receive a lot of questions about an ITIN for PayPal, Amazon, and eBay. Why do these services require an ITIN and how can you one in a fast way!
What is an ITIN?
An ITIN or Individual Taxpayer Identification Number is a tax processing number given by the IRS (Internal Revenue Service). People who need to have a US taxpayer identification number but do not have or are not allowed to get a Social Security Number (SSN) from the Social Security Administration (SSA), may apply & get ITIN from IRS.
ITINs are given regardless of immigration circumstance because both nonresident & resident aliens may have US tax return & payment authority under the Internal Revenue Code. People must have a filing need & file a reasonable federal income tax return to be eligible for ITIN. Throughout the entire post, we will discuss why we need ITIN.
What is the format of an ITIN?
An ITIN is a nine (9) digit number. It always starts with the number 9. It has a 7 or 8 in the fourth digit; for example 9XX-7X-XXXX.
Why is the ITIN number needed for business on Amazon, eBay, and PayPal?
Applying for a Taxpayer Identification Number (ITIN) has lots of significance especially for immigrants that are not allowed for a social security card. Let’s see the importance of ITIN & why it is needed for business.
- It enables people to pay income tax, which is required by law. Although you are not allowed to work in the US, you need to pay taxes by law. Getting ITIN assists you file your income tax return, in consent with US law.
- Even though you can’t be eligible for Social Security advantages without a Social Security Card, if you ever become eligible for one in the future, the income that you record with your ITIN might count towards income for Social Security plans.
- You can open an interest bank account at some economic activities with an ITIN or Individual Taxpayer Identification Number.
- You can get a driver license using an ITIN in countries that accept undocumented immigrants to obtain licenses. Nowadays, 12 states (with the District of Columbia) allow undocumented people to get a license. In those countries, you can use your ITIN for the license. It is wise to inspect the single state that you are dealing for a license in whether or not ITIN is required to get a license.
- The ITIN helps to show how many years you live in the US. For example, if you do apply for legal US citizenship in future, getting an ITIN can be necessary for the immigration officers to see how many years you have stayed & paid taxes in the US.
How do you apply for an ITIN?
- You need to fill out a W-7 form as an applicant. Then you need to submit it to the IRS along with tax return. When the application is allowed, ITINs are transmitted to you by the mail.
- You need to submit original papers verifying ID & foreign status. The IRS has approved a list of 13 deeds that will be issued for this aim. Those deeds or documents will be returned to you within 60 days of delivery & dealing with the W-7 form.
- You will find IRS Acceptance agencies and Taxpayer help Centers obtainable to help people apply.
- Note: In 2015, Congress approved a law to make clear the 2012 counsel from the IRS declaring that all ITINs allowed after December 31, 2012, will have to be issued every five (5) years. Also, if a person gets an ITIN but does not use it for three (3) years continuously, it will end and will need to be reapproved.
The incorporate businesses charge $200 or more for a non-US citizen, and you don’t need to pay extra fees. EIN-ITIN.com also provides a Delaware Business Formation for $179 (No Hidden Price and additional charges for Non-US Residents).
If you want to apply for an ITIN or Individual Taxpayer Identification Number and have any questions in mind, please feel free to contact us at 1-302-433-6868. If you have any recommendations, please share those with us at firstname.lastname@example.org. Ein-itin.com has an expert team of IRS Certifying Acceptance employers, and tax reporting experts with years of experience, assisting Non-US citizens with their ITIN application.