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A-Z OF ITIN

A-Z OF ITIN

ITIN (Individual Tax Identification Number) is a tax processing number issued by the Internal Revenue Service (IRS) to ensure that individuals, including unauthorized immigrants, pay taxes even if they do not have some social security. In other words, that immigrants pay for taxes irrespective of their immigration status. Individual Tax Identification Number (ITIN) allows IRS to enter billions of dollars that the federal government should not have collected. This article aims to explain what ITIN is, who it affects and its purpose.

ITIN is used by the IRS to identify and process tax information of a particular person. The Individual Tax Identification Number always starts with the number 9. This number is assigned to those who must pay taxes but do not fulfill the conditions to obtain the social security number assigned by the Social Security Administration.

ITINs are issued to those outside the United States and residents because the Internal Revenue Code requires them to report any income earned in the country. Individuals receiving the ITIN number must have a valid obligation to file tax returns in their state of residence.

Functions of the ITIN

The primary purpose of the ITIN number is to report taxes in the United States. It has no other role. The number is assigned to people who meet the requirements of US immigration. Please note that ITIN is only used for tax identification and nothing more. However, the ITIN has its benefits, and some of them are 

  • It is projected that soon, an immigrant may need to show how long he has spent in the United States and filing a tax return with an ITIN is a way to prove it.
  • It can be used to open a bank account. 
  • It can be used to apply and secure a drivers license. Some states have permitted the use of the ITIN instead of an NSS to obtain a driver's license.

How to apply for ITIN

ITIN can be applied for by individuals using Form W-7. The ITIN application cannot be made electronically. Individuals must manually send the ITIN application to the IRS office. It is expected that you attach a valid federal tax return to the form unless you qualify for an exception. Also, it is necessary to include original proof of identity or a certified copy of the documents of the foreign state and the issuing body.  You can also apply for ITIN through an IRS accepting agent or by going to the IRS TAC to help you send an email to the IRS office. The TAC provides complete information on the ITIN number request. They offer personal information on the application of the tax code, by appointment or without an appointment. Once the form is completed, and all obligations are met, the IRS will send the ITIN for individuals via mail.

Issuing of ITIN 

The tax identification number is assigned to foreign nationals who must file tax records with the IRS and who do not qualify for the Social Security number. In other words, the foreign national receives this tax code for a non-resident who is not entitled to the social security number. These set of people are also eligible to apply for ITIN

  • An engaged or non-resident foreign spouse of a US resident. 
  • An employee or spouse of a non-resident alien who has a US visa. 
  • Dependents of members who do not have an SSN but must file their tax return

Conclusion

You can easily apply for the form if you are currently not in the United States. The IRS has staff available in US embassies. The team abroad operates as those in the United States. So, there is almost nothing to fear or worry about. For clarity, a complete list of contact and addresses listings are available on the IRS website.

Alternatively, you can obtain an ITIN from the Certified Acceptance Agency. These agents are IRS certified and will help you to apply for an ITIN number. First, they will explain the procedure and answer all your questions. The best part is that your documents do not have to be certified by the issuing agency. Therefore, as long as you follow and understand the procedure, it is entirely your responsibility to request an ITIN number.

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