ITIN vs EIN: which one does an LLC owner need?

ITIN vs EIN comes down to who the number belongs to. The EIN is your LLC's tax ID. The ITIN is a tax ID for you, the person. For a non-resident who wants a U.S. company, the EIN is the one that matters: the bank asks for it, and you don't need an ITIN to get it.

What is an EIN?

The EIN (Employer Identification Number) is your LLC's tax ID with the IRS, the U.S. federal tax agency. The IRS issues it to the company, not to you. You need it to open a bank account, receive payments, pay taxes and hire.

What is an ITIN?

The ITIN (Individual Taxpayer Identification Number) is a 9-digit number the IRS gives to people who need a U.S. taxpayer number for a federal tax purpose and can't get an SSN. It's available regardless of immigration status.

It has clear limits. An ITIN is for federal tax only: it doesn't change your immigration status, doesn't authorize work in the U.S., doesn't qualify you for Social Security benefits or the EITC, and isn't ID outside the tax system (IRS, ITIN).

ITIN vs EIN side by side

ITIN vs EIN: which one does an LLC owner need?

The EIN, once you want a bank account. The IRS ties every EIN to a responsible party, a real person who owns or controls the LLC. If that person has an SSN or ITIN, the application can go through the IRS online flow. If not, it goes on Form SS-4 and takes a little longer. Same EIN either way. The full path is in EIN without an SSN.

The ITIN is about your personal tax situation, not the company.

Do you need an ITIN before forming the LLC?

No. Forming the LLC takes a company name, two backups, the number of members and an email. No ID documents are needed, and no SSN or ITIN. Here is how a non-resident forms a U.S. LLC, start to finish.

Once the LLC exists in New Mexico (NM), a U.S. state, you decide on the EIN. EXNNA can apply for it for you, and your Articles of Organization and Operating Agreement never wait for the IRS.

Where do you use the EIN?

Anywhere the company has to identify itself: the bank when you open the account, payment providers when they verify the business, and the IRS in the company's filings. If your LLC has a single owner living abroad, those filings can include Form 5472. Next step after the EIN: a U.S. bank account for your LLC.

How much does EIN assistance cost?

$50 with your formation, $250 in total, or $79 later on its own. See every option on our pricing, or form your LLC online now.

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