Overview:
An individual taxpayer identification number or ITIN is a tax-paying process. This number is issued by the IRS (Internal Revenue Service). It is used to ensure that people including undocumented immigrants pay taxes. Moreover, they have to pay tax even if they don’t have an SSN (Social Security Number).
Myths about ITIN Number. ITIN number allows the IRS (Internal Revenue Service) to bring a lot of amount to the government. Otherwise collecting such a huge amount would be difficult. There is a sheet that is known as a fact sheet. This sheet has all the required data about who has them.
ITIN:
An ITIN number was created for tax purposes. This ITIN (ITIN California) was created back in July 1996. This allows foreign nationals and other individuals who are not eligible for an SSN to comply with the United States tax laws.
It is a nine-length digit number. This number always starts with the number 9. Moreover, it has a range of numbers 50 to 65, 70, to 88, 90 to 92, and 94 to 99 for the fourth and fifth digits.
Furthermore, ITIN has a format like SSN: 9XX-7X-XXXX.
Myths about ITIN Number. Tax Preparation Services in California. This number can be obtained by those people who do not have lawful status in the United States. However, other people who are lawfully present in the country need to pay taxes. Moreover, anyone who is not eligible for an SSN may also be a candidate to apply for an ITIN.
Following are the criteria for anyone who wants to apply for the ITIN number:
- A dependent individual of a foreign national on a temporary visa.
- A dependent individual of the United States that is a lawful permanent resident.
- A non-resident foreign student, professor, or researcher filing a tax.
- Any individual who is a non-resident, who is engaged in trade or business in the United States of America.
It does not provide Work Authorization:
- This number does not provide any legal immigration status.
- It cannot be used as proof of legal presence in the United States.
- While, an ITIN does not provide work authorization
- Not supportive to prove work authorization on an I-9 form.
ITIN Number Holder pay Taxes:
- Any individual who is holding ITIN number is not eligible for all the tax benefits. On the Contrary, some public benefits that United States citizens and other taxpayers can receive.
- Here is an example: anyone who is holding ITIN is not eligible for Social Security benefits. However, if that individual becomes eligible for Social Security in the future, the earnings reported with an ITIN can be counted as the amount one is eligible to receive.
Other Purposes of ITIN Number:
- Any individual who does not have an SSN but has an ITIN may be able to open interest-bearing accounts.
- In the United States of America, some states allowed the ITIN number to be used instead of SSN.
- Moreover, this number can be used to receive a driver’s license, driver’s permit, or state identification card.
- It may provide proof of residency. However, an immigrant needs to prove how an individual has been in the United States can tax return filed using an ITIN.