What is an ITIN (Individual Taxpayer Identification Number)?

Summary

An Individual Taxpayer Identification Number (ITIN) is a tax processing number issued by the Internal Revenue Service. It’s a nine-digit number beginning with the number nine, with seven or eight in the fourth digit. Example: 9XX-7X-XXXX.

• An Individual Taxpayer Identification Number (ITIN) is a nine-digit number issued by the IRS to individuals.
• Taxpayers use an ITIN for:
  • Those requiring an identifying number and are ineligible for a Social Security Number
  • Those ineligible for an Employer ID Number
• ITINs are for tax reporting purposes only.
• Individuals don’t use an ITIN for identification purposes.
• Obtain a Social Security number from new employees for use on Form W-4.
• An ITIN doesn’t provide authorization to work in the United States.
• An ITIN doesn’t establish eligibility for Social Security or other benefits.

Individual requirements for an ITIN:

• A non-resident alien filing a U.S. tax return and not eligible for an SSN
• A U.S.-resident alien filing a U.S. tax return and not eligible for an SSN
  • Based on days present in the United States
• A dependent or spouse of a U.S. citizen/resident alien
• A dependent or spouse of a non-resident alien visa holder

 NOTE: In 1099 Vendor Maintenance, when selecting Individual and entering an ITIN, it will format the same as a Social Security number.  However, it will identify as an ITIN because it starts with a nine.