Company Registration in USA

A Complete Guide To ITIN Application Services

A Complete Guide To ITIN Application Services 

Introduction

Navigating the U.S. tax system as a foreign national can feel confusing, especially when you need a tax ID but do not qualify for a Social Security Number. This is where ITIN application services become essential for non-residents, foreign investors, and business owners.

 

An ITIN allows individuals to file U.S. tax returns and meet federal tax obligations legally. At Ebizfiling, we simplify the ITIN application process so you can remain compliant without unnecessary IRS delays.

 

Summary

  • An ITIN is a tax identification number issued by the IRS for individuals without an SSN.
  • Non-resident aliens, foreign business owners, and dependents commonly require an ITIN.
  • Form W-7 is the primary document used for an ITIN application.
  • ITINs may expire if not used for three consecutive tax years.
  • Using a Certified Acceptance Agent (CAA) helps avoid sending original documents to the IRS.

What Is An ITIN?

An Individual Taxpayer Identification Number (ITIN) is a nine-digit number issued by the Internal Revenue Service for federal tax reporting purposes. It follows a format similar to a Social Security Number (XXX-XX-XXXX) but serves a different purpose.

 

An ITIN does not authorize employment and does not provide immigration status. Its sole function is to help individuals comply with U.S. tax laws when an SSN is not available.

SSN vs. ITIN: Key Differences

Feature

Social Security Number (SSN)

ITIN

Eligibility

U.S. citizens and authorized workers

Foreign nationals and dependents

Purpose

Employment, benefits, and taxes

Federal tax reporting only

Work Rights

Allows legal employment

Does not permit employment

 

Who Needs An ITIN And Why?

If you have a U.S. tax filing obligation and do not qualify for an SSN, completing an ITIN number application becomes mandatory.

 

Common scenarios include:

  • Non-resident aliens earning U.S.-source income such as rent, dividends, or professional fees
  • Foreign LLC owners who must report business income or claim tax treaty benefits
  • Spouses and dependents listed on U.S. tax returns but ineligible for an SSN
  • Banking and credit access, as several U.S. banks accept an ITIN instead of an SSN

How To Apply for An ITIN?

The ITIN application process requires accuracy. Even small errors on the W-7 form can result in rejection and long processing delays.

Step-by-Step ITIN Application Process

  • Complete Form W-7
    You must clearly select the reason for applying, such as filing a U.S. tax return or claiming treaty benefits.
  • Submit Identity Documents
    A valid passport is the preferred stand-alone document. If unavailable, at least two supporting documents are required as per IRS guidelines.
  • Attach a Federal Tax Return
    In most cases, the W-7 must be filed along with a completed tax return, unless you qualify for a specific IRS exception.
  • Submit to the IRS or Through a CAA
    Applications can be mailed to the IRS ITIN Operations office in Austin, Texas, or processed through a Certified Acceptance Agent.

Pro-Tip: According to recent IRS updates, “Never send your original passport through the mail if you can avoid it.” Using a CAA allows you to keep your passport while they certify a copy for the IRS.

ITIN Renewal: Do Not Let Your Number Expire

 

An ITIN is not permanent. According to IRS rules, your ITIN becomes inactive if:

  • It is not used on a federal tax return for three consecutive tax years, or
  • The IRS announces the expiration of specific middle digits

Using an expired ITIN can delay refunds and disqualify certain tax credits. Starting the renewal process at least 60 days before tax season helps avoid disruptions.

Why Use a Certified Acceptance Agent (CAA)?

A Certified Acceptance Agent is authorized by the IRS to verify identity documents for ITIN applications.

 

Using a CAA offers clear advantages:

  • You avoid mailing original passports to the IRS
  • Your W-7 form is reviewed for accuracy before submission
  • The risk of rejection due to documentation errors is significantly reduced

How Ebizfiling Works?

  1. Expert Consultation: We identify which “Exception” category you fall into so you don’t file unnecessary paperwork.
  2. Documentation Review: Our team checks your ID proof against IRS standards to ensure it’s current and valid.
  3. Form Preparation: We accurately complete the w7 form and any necessary tax returns (1040-NR).
  4. Liaison with IRS: We track your itin number application status and handle any queries from the IRS on your behalf.
  5. End-to-End Support: From the first consultation to receiving your ITIN letter, we manage the entire workflow.

In short ,

An accurate ITIN application is essential for foreign individuals and businesses with U.S. tax obligations. From completing the W-7 form to managing renewals, every step requires attention to IRS rules.

 

With expert guidance from Ebizfiling, you can complete your ITIN number application smoothly and stay fully compliant with U.S. tax regulations.

Frequently Asked Questions

1. How long does the ITIN application process take?

The IRS usually processes ITIN applications within 7 to 11 weeks. Processing time may increase during peak tax season.

2. Can I apply for an ITIN from outside the U.S.?

Yes. You can apply from abroad by mail or through a Certified Acceptance Agent who supports international applicants.

3. Does an ITIN allow me to work in the U.S.?

No. An ITIN is strictly for tax reporting and does not grant employment authorization.

4. What happens if my ITIN application is rejected?

The IRS sends a notice explaining the issue, such as missing information or invalid documents. Corrections can be submitted afterward.

5. Can I apply for an ITIN online?

The IRS does not offer direct online filing, but professional services like EbizFiling help prepare and submit applications correctly.

6. Do ITINs require annual renewal?

No. Renewal is required only if the ITIN expires due to non-use or IRS digit expiration rules.

7. Can I open a U.S. bank account with an ITIN?

Yes. Many U.S. banks accept ITINs for account opening, subject to their internal policies.

8. Is a passport mandatory for the W-7 form?

A passport is preferred because it proves both identity and foreign status, but other document combinations are also allowed.

9. Can children receive an ITIN?

Yes. Children listed as dependents on U.S. tax returns can apply if they are not eligible for an SSN.

10. Does the IRS charge a fee for ITIN applications?

No. The IRS does not charge any fee, but professional assistance and Certified Acceptance Agent services may involve costs.

Steffy A

Steffy Alvin is a Content Writer at Ebizfiling who turned her passion for writing into a full-time career. She holds a Bachelor's degree in English Literature from MS University, Baroda, and later pursued her post-graduation in Journalism and Mass Communication from the same university. With a strong command of both content writing and copywriting, Steffy enjoys creating simple, clear, and engaging content that helps readers understand complex topics with ease. Outside of work, Steffy spends her time journaling, writing poetry, capturing photos, and shooting videos. She is also an active digital creator.

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