Immigrants and Foreign Workers Need ITIN for Compliance

The current focus on immigrants and immigration reform extends to your taxes as well. Almost anyone working in the United States is liable to pay Federal and State income taxes. Failure to file, or failure to use the right ITIN – or Individual Taxpayer Identification Number – will get you into hot water for both taxation AND immigration – and may impact your legal status to work or remain in the United States.

How to Get or Renew Your ITIN

Getting an ITIN is straightforward. You file an Form W-7, Application for IRS Individual Taxpayer Identification Number and the IRS will issue you an ITIN to be used for tax reporting and tax filing.

ITIN Fast Facts

  • The PATH Act required that certain ITINs expire.
  • ITINs not used on a Federal tax return at least once in the last three tax years
    will expire on December 31, 2019.
  • ITINs with middle digits of 83, 84, 85, 86 or 87 will expire at the end of thisyear (2019).
  • You only need to renew an expiring ITIN if it will be included on a U.S. tax return or claim for refund that you plan to file in 2020.

What if My ITIN Expires?

If you need to file a tax return in 2020 and your ITIN has expired or will expire before you file in 2020, IRS recommends you submit your renewal application now to prevent potential delays in the processing of your return.  If you use an expired ITIN on a U.S. tax return, it will be processed and treated as timely filed, but without any exemptions and/or credits claimed and no refund will be paid at that time.  You will receive a notice explaining the delay in any refund and that the ITIN has expired.

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