What is the Tax ID Number (TIN)?

The TIN stands for Tax ID Number and is an identification number provided by the Internal Revenue Service (IRS).

Its format is that of a 9-digit number and it is mandatory when filing any tax return. In addition, there are several variants, such as the SSN, the ITIN, the EIN or the ATIN, which we talk about below.

You may be interested in: IRS phone number

TINs are issued by the IRS to help people comply with U.S. tax laws and to provide people who do not qualify for a Social Security number with an efficient way to process and account for their tax returns and payments.

What is the Tax ID Number (TIN)?

The TIN is a number issued to individuals and organizations to track tax obligations and payments they make to the Internal Revenue Service (IRS).

It is issued by the federal government. The Social Security Administration may assign a TIN to individuals or the IRS to businesses and other organizations.

Types of Tax Identification Numbers (TIN)

A TIN is a generic term and refers to several different types of identification numbers, including:

• Social Security Number (SSN) issued to an individual by the Social Security Administration (SSA).
• Individual Taxpayer Identification Number (ITIN), issued to non-US citizens currently residing and often working in the US.
• Employer Identification Number (EIN) issued to businesses and nonprofit organizations.
• Adoption Taxpayer Identification Number (ATIN), for children in the process of adoption outside the U.S.
• Preparer Taxpayer Identification Number, to identify accountants and firms involved in the preparation of tax documents.

What the TIN is for

A tax identification number is a unique set of numbers that identifies individuals, corporations, and other entities, such as nonprofit organizations (NPOs). Each person or entity must apply for a TIN. Once approved, the administration assigns the applicant a special number.

You may be interested in: IRS office near me

The Tax ID Number, which is also called a taxpayer identification number, is mandatory for anyone filing annual tax returns with the IRS, which the agency uses to track taxpayers.

Taxpayers must include the number on tax-related documents and when claiming government benefits or services.

TINs are also required for other purposes:

For credit: Banks and other lenders require Social Security numbers on credit applications. This information is then passed on to the credit bureaus to ensure that the person is the one completing the application. Credit reporting agencies also use TINs, especially SSNs, to report and track a person's credit history.

For employment: employers require an SSN from anyone applying for employment; it is the employers' way of ensuring that the person is authorized to work in the United States.

For state agencies: businesses also require state identification numbers for tax purposes to file their returns with state tax agencies. State tax authorities issue the identification number directly to the filer.

Social Security Number (SSN)

The social security number is the most common tax identification number in the United States. The SSN is issued to U.S. citizens, permanent residents and certain temporary residents.

To obtain this Social Security number you will need to complete Form SS-5-SP, Application for a Social Security Card PDF. You must also provide proof of your identity, age, and U.S. citizenship or legal alien status. For more information, please see the Social Security Administration website.

SSNs are tax identification numbers for individuals, and the Social Security Administration issues them in this format: XXX-XX-XX-XXXX.

Employer Identification Number (EIN)

The Employer Identification Number (EIN) is also known as a federal tax identification number and is used to identify a business entity. It is also used by estates and trusts that have income to report on Form 1041, Income Tax Return for U.S. Estates and Trusts.

Applying for an EIN is free and businesses can obtain one immediately.

Individual Taxpayer Identification Number (ITIN)

It is a number used for tax processing, available only to certain resident and nonresident aliens, their spouses and dependents who cannot obtain a Social Security number (SSN). It is a 9-digit number beginning with the number "9", formatted like an SSN (NNNN-NNN-NNNNNNN).

To obtain an ITIN, you must complete a W-7 form and accompany the requested documents.

English: ¿Qué es el Tax ID Number (TIN)?