How Much Does It Cost to Get an ITIN?
An ITIN is essential for individuals who need to fulfill their US tax obligations but are not eligible for a Social Security number. But how much does it cost to apply for an ITIN, and are there any hidden fees? Here’s what you should know.
What Is an ITIN, and Who Needs One?
An ITIN is a nine-digit tax identification number issued by the Internal Revenue Service (IRS) to individuals who are required to have a US taxpayer identification number but do not have and are not eligible to obtain an SSN. Common reasons for applying for an ITIN include:
- Filing US taxes: Non-resident aliens with US income, resident aliens (based on days present in the US), and others who have a tax filing requirement
- Tax treaty benefits: Individuals who are eligible to claim tax treaty benefits
- Dependents of US taxpayers: Dependents or spouses of US citizens or resident aliens who do not qualify for an SSN
To learn more about obtaining an ITIN, check out this post: Do I Need an ITIN and How Do I Obtain One?
How Much Does It Cost to Get an ITIN?
The cost of obtaining an ITIN can vary depending on the method chosen. The IRS does not charge a fee for processing Form W-7, the application for an ITIN. However, other services may incur fees.
- Tax preparation firms: Many firms, such as H&R Block, offer ITIN application services, often bundled with tax preparation. While some firms offer this as a free service when filing your US federal tax return, others may charge a fee ranging from $50 to $150.
- Certified Acceptance Agents (CAAs): The IRS authorizes CAAs to help individuals complete the ITIN application process. Their fees typically range from $50 to $200 or more, depending on their location, experience, and additional services offered.
- Notarization Costs: If you cannot submit original documents or use a CAA to certify copies, you may need to have your documents notarized, which could add another $10 to $50 (or more) to your total costs.
Steps to Apply for an ITIN
Applying for an ITIN involves a few simple steps.
Step 1: Complete Form W-7
Start by filling out Form W-7, the official application for an ITIN. Ensure all sections are completed accurately to avoid processing delays.
Step 2: Gather Required Documentation
Collect the necessary documents to prove your identity and foreign status. The most common document is your passport, as it serves both purposes. If you don’t have a passport, you’ll need to provide two alternative documents, such as a national identification card or birth certificate. Make sure the documents are original or certified copies.
Step 3: Submit Your Application
You have several options for submitting your Form W-7 and supporting documents:
- Visit an IRS Taxpayer Assistance Center (TAC): You can apply for free at an IRS TAC in the US. These centers will review your application and authenticate your documents. Appointments are required and may take a few weeks to schedule.
- Work with a Certified Acceptance Agent (CAA): CAAs are authorized by the IRS to assist with ITIN applications. They can review your Form W-7, authenticate your documents, and submit the application on your behalf. Note that CAAs may charge a fee for their services.
- Mail your application: You can mail your completed Form W-7, along with your tax return and original or certified documents, to the IRS. This option may require additional time for processing.
Step 4: Wait for Your ITIN
Once you’ve submitted your application, allow approximately seven weeks to receive your ITIN. Processing times may increase during tax season (January to April) or if you apply from outside the US, so plan accordingly.
Get Help with your ITIN from Greenback
At Greenback Expat Tax Services, we specialize in simplifying the tax process for expats. Whether you need help applying for an ITIN or filing your US tax return, our experienced team is here to guide you every step of the way.
Ready to get started? Contact us, and one of our customer champions will gladly help. If you need very specific advice on your specific tax situation, you can also click below to get a consultation with one of our expat tax experts.
