Definition:
An ITIN (Individual Taxpayer Identification Number) is a 9-digit tax processing number issued by the IRS to individuals who are not eligible for a Social Security Number (SSN) but need to comply with U.S. tax laws. It always begins with the number “9” and is used exclusively for federal tax reporting purposes.
ITINs are commonly used by non-resident aliens (NRAs) who own U.S. LLCs or C-Corps, receive U.S.-source income, or are required to file tax forms such as Form 1040-NR or Form W-8BEN. An ITIN does not authorize work in the U.S. or provide eligibility for Social Security benefits.
Who is it for?
Foreign entrepreneurs, investors, and freelancers who form U.S. companies and need to report income or claim tax treaty benefits often require an ITIN to stay compliant with the IRS.
