Ever approached anyone who just returned from the US about their experience? Well, they will discuss their understanding of the place, how it had a profound impact on their life and other norms like TAX ID Application, Visa, etc. International travelling is fun but it comes with great responsibility. You need to stay updated with the rules of the country where you are travelling.
Read on to know the important parts of International travellers, especially the TAX ID application. The travellers who have good blog posts running or selling online at Amazon require a US Company and TAX ID numbers.
What is an ITIN?
ITIN is Individual Taxpayer Identification. It is made up of nine digits that begin with “9”. It is basically a tax processing number that is issued by the IRS (Internal Revenue Service). These are taken by people who require a U.S. taxpayer identification number but for some reason are not able to get a Social Security Number (SSN) from the Social Security Administration. They need it for tax purposes.
Who Needs a TAX ID Application?
Are you a citizen of the US (with valid citizenship)? Do you have a green card? Do you have a Social Security number, or likely to have one? If you are unable to have the above-stated documents, it is time for you to apply for an ITIN number so that you can file your taxes in the US.
The non-resident in the US who doesn’t have an SSN should apply for an ITIN number. The dependents of United States citizens and Spouses, and green card holders can also apply for it.
When is TAX ID Essential?
Having a TAX ID in place is essential for many purposes. Here are a few important ones:
While registering your account to Stripe, PayPal, and Amazon. You can then use it in the section where you are asked for your SSN.
When you are a non-resident, you should have an ITIN so that you get to file your Federal Income Tax return.
U.S banks will require a TAX ID for every process such as managing your personal finances or a company. In such a case, use your ITIN rather than your SSN to have a U.S. bank business account remotely.
Final Words
Travelling or living in a foreign country is a completely different experience. It opens windows to a plethora of opportunities. However, it can only be helpful if you are well aware of the prerequisites and do the needful on time.
