What is an ITIN (Individual Taxpayer Identification Number)?

What is an ITIN?

An Individual Taxpayer Identification Number (ITIN) is a number issued by the IRS for federal tax reporting purposes.

• ITINs begin with the number nine.
• The fourth number is seven or eight.
• For example, 9XX-7X-XXXX.

Who uses an ITIN?

Taxpayers use an ITIN when they require a tax identification number but aren't eligible for:

• A Social Security Number (SSN).
• An Employer Identification Number (EIN).

Important ITIN facts

• ITINs are for tax reporting purposes only.
• Individuals don't use ITINs as personal identification.
• Employers must obtain a Social Security Number from employees for Form W-4 purposes when available.
• An ITIN doesn't authorize employment in the United States.
• An ITIN doesn't establish eligibility for Social Security benefits or other government benefits.

Individuals who can qualify for an ITIN

• A nonresident alien filing a U.S. tax return who isn't eligible for an SSN.
• A U.S. resident alien filing a U.S. tax return who isn't eligible for an SSN.
• A resident alien based on days in the United States.
• A dependent or spouse of a U.S. citizen or resident alien.
• A dependent or spouse of a nonresident alien visa holder.

ITINs in Sage 100

In 1099 Vendor Maintenance, when you select Individual and enter an ITIN:

• Sage 100 formats the number like a Social Security Number.
• Sage 100 identifies the number as an ITIN because it begins with nine.