This exception what is the average may apply if you’re a party to a disposition of a U.S. real property interest by a foreign person, which is generally subject to withholding by the transferee or buyer (withholdingagent). ITIN holders should use their number in place of an SSN on their tax returns to ensure proper processing and to avoid delays. You will only file a tax return to the address above once, when you file Form W-7 to get an ITIN. In subsequent years, when you have an ITIN, you will file your tax return as directed in the form instructions.

Common Challenges and Solutions in the ITIN Application Process

This exception may apply if you have a home mortgage loan on real property you own in the United States that’s subject to third-party reporting of mortgage interest. This might include IRS Form 1098, Mortgage Interest Statement. The IRS instructions for Form W-7 contain additional information about each of these exceptions. A foreign individual might meet the substantial presence test by living in the United States or being present for a minimum number of days.

1. If the tax return you attach to Form W-7 is filed after the return’s due date, you may owe interest and/or penalties.
2. Representative of a foreign corporation who needs to obtain an ITIN for the purpose of meeting their e-filing requirement under T.D.
3. Taxes are incredibly complex, so we may not have been able to answer your question in the article.
4. This includes foreign nationals and others involved in various financial transactions in the US.
5. This way, the IRS will be able to match the tax return in their system.

They are shared across multiple governmental departments (including Immigration and Customs Enforcement). For citizens (and some eligible residents or foreign nationals), that number is their Social Security Number — often assigned at birth. If an applicant is 18 years of age or older, the applicant or a court-appointed guardian can sign or appoint a parent or another individual to sign. If you checked Box f, you must enter the name of the educational institution and the city and state in which it’s located. You must also enter your length of stay in the United States. This could include documents like your marriage certificate or a court order, such as a divorce decree.

What Is an Individual Tax ID Number (ITIN) and How To Get One

Her work has been featured in Business Insider, Money Under 30, Best Life, GOBankingRates, and Shopify. Sarah has spent nearly a decade in public accounting and has extensive experience offering strategic tax planning at the state and federal level. In her spare time, she is a devoted cat mom and enjoys hiking, painting, and overwatering her houseplants. If submitting other forms of identity, you may be required to provide additional supporting documentation. If you’re submitting multiple documents, only include information for the first document here.

Individuals other than the applicant or court-appointed guardian must also submit a completed Form 2848 that grants them authority to sign Form W-7. If the applicant is a dependent under 18 years of age, his or her parent or court-appointed guardian can sign if the child can’t sign. Enter the complete name of the country where you are citizen. If you selected Box b as the reason for your application, then you must enter a complete address in this field. If you no longer have a permanent foreign residence due to your relocation to the United States, enter only the foreign country where you last resided here.

Keeper is the top-rated all-in-one business expense tracker, tax filing service, and personal accountant. The best option is to file your tax return as early in the tax filing season as possible. If your dependent doesn’t live in Canada or Mexico, their passport doesn’t list a date of entry, they’ll need an extra document to prove they actually have residency in the US. The process could cost as little as $30 or as much as $400. That being said, the price will vary depending on where you live and whether the CAA prepares your tax return as well. Things get lost or damaged in the mail all the time, and replacing something like a passport is no small task.

How to file your federal tax return using an ITIN

Answers do not constitute written advice in response to a specific written request of the taxpayer within the meaning of section 6404(f) of the Internal Revenue Code. Section 203 of the Protecting Americans from Tax Hikes Act, enacted on December 18, 2015, included provisions that affect the Individual Taxpayer Identification Number (ITIN) application process. Taxpayers and their representatives should review these changes, which are further explained in the ITIN Documentation Frequently Asked Questions, before requesting an ITIN. They won’t officially begin accepting tax returns before then, so keep an eye out for this announcement. Processing your ITIN application takes several weeks, so expect longer than normal delays for your tax return to be processed.

If the reason for your ITIN request isn’t described in boxes a through g, check this box. Describe in detail your reason for requesting an ITIN and attach supporting documents. These individuals must check this box, then include a date of entry in Line 6d, below.