An ITIN (Individual Taxpayer Identification Number) is a tax processing number issued by the Internal Revenue Service (IRS). It’s designed for individuals who need to file or report taxes in the United States but are not eligible for a Social Security Number (SSN).
ITINs are nine-digit numbers formatted like an SSN (XXX-XX-XXXX) and begin with the number “9.” They are issued regardless of immigration status and are used exclusively for federal tax reporting purposes.
Who Needs an ITIN?
You might need an ITIN if you:
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Are a foreign national earning U.S.-sourced income.
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Own a business operating in the U.S. and must comply with IRS tax regulations.
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Need to file a U.S. tax return but don’t qualify for an SSN.
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Are a dependent or spouse of a U.S. citizen or resident alien.
ITINs are commonly used by non-residents, foreign entrepreneurs, and other individuals engaging with the U.S. tax system. Importantly, an ITIN does not authorize work in the U.S. or provide eligibility for Social Security benefits.
What an ITIN Does and Doesn’t Do
What It Does:
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Allows you to file federal tax returns.
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Enables you to open business-related bank accounts.
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Facilitates claiming tax treaty benefits if applicable.
What It Doesn’t Do:
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Authorize any individual to work in the U.S.
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Provide eligibility for Social Security benefits.
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Qualify dependents for Earned Income Tax Credit purposes.
Why is an ITIN Important?
If you’re a foreign entrepreneur, an ITIN can be a critical step in successfully managing your U.S.-based business operations. For example, once you have an ITIN, you can expedite your EIN application and complete it online. That’s why we recommend obtaining your ITIN before applying for an EIN.
Additionally, ITINs help ensure compliance with U.S. tax laws and are essential for reporting income or other tax obligations.
Special Offer for ITIN Applications
We’ve partnered with TheITIN, a trusted provider specializing in ITIN applications, to make the process smoother for you. As a Firstbase user, you can enjoy a $50 discount on their services.
How to Claim the Offer:
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Log in to your Firstbase account.
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Go to the Rewards section.
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Access the exclusive discount for TheITIN and follow the steps to start your application.
Please note that ITINs may expire if left unused. For example, all ITINs that had not been used for federal tax returns in 2020, 2021, or 2022 expired at the end of 2023. You can find more information about ITIN expiration dates on the IRS website.
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