Everyone has ITIN and EIN numbers that appear before or after establishing a company in the United States. These numbers are abbreviations of tax numbers given to companies by the United States Tax Service (IRS). In this article, we will discuss what the ITIN number is, who should get this number and the procedures to be done for the ITIN application.
What is an ITIN?
The ITIN number is the identification number for individuals to fulfill their tax obligations. This number is a nine-digit provided by the IRS for your tax return. It always starts with the number 9. This number is assigned to individuals who are taxpayers in the United States but do not or cannot have a social security number (SSN).
ITIN number is assigned regardless of immigration status. Because both people living in the United States and those living outside the United States may have tax responsibilities in the United States. The condition of ITIN application and obtaining a number is that individuals must have a tax liability in the United States and must file a federal tax return.
What is the ITIN Number Used For?
The ITIN number is used for federal tax reporting purposes only. The IRS assigns the ITIN number to people in the United States who do not have a Social Security Number. This is to help these individuals comply with American tax laws.
So, who needs an ITIN application? The IRS has made it easier for foreign citizens and other citizens who have federal tax filing requirements but do not have a Social Security Number (SSN) to obtain an ITIN. For example, you live or are in America for a reason. For this, you have to pay tax on your earnings in some way. Also, as a taxpayer in the United States, you must obtain an ITIN number to qualify for a tax refund.
Other people who need an ITIN number is as follows:
- Foreigners who have tax liability in the USA but do not live in the USA
- Foreigners living in the United States, whose tax liability is based on the number of days they stay in the United States
- Family members of an American citizen or a foreigner living in the United States
- Family members of a foreigner who is not a USA citizen but holds a USA visa
- Those who need payment systems such as PayPal and Stripe
Process of Obtaining ITIN Number
In order to obtain the ITIN number, you must complete the W-7 form, available through the IRS, completely and in accordance with the specified legislation. Afterwards, for ITIN application, you need to write a petition introducing your company and you to the IRS officer, have a copy of your passport notarized and send it to the IRS with the original, stamped, and other documents.
Within 12 weeks, on average, after your application has been approved, a notification including your ITIN number will be sent by the IRS. Obtaining an ITIN number is somewhat complicated. With our professional team, obtaining your ITIN number is easily completed for you. If you apply after the establishment of the company, we will start ITIN application process immediately and send you your digital ITIN number within 10-14 weeks. You can easily contact us to obtain your ITIN number and to receive services on many other issues.
What can I do with the ITIN Number?
In the USA, the ITIN number is used when buying – selling or renting a house, buying – selling vehicles. You can also use this nine-digit number for credit cards, bank transactions, and payment of company taxes.
You can also benefit from dependent tax deductions in some states. Besides, you can use this number to get a driver’s license. If you want to get the right to work or benefit from social security benefits in the USA, you cannot obtain them through ITIN application.