ITIN vs EIN: Which Tax ID Do You Need?
An ITIN identifies an individual for federal tax purposes; an EIN identifies a business or other entity. They are separate IRS identification numbers. An ITIN is only for people who have a federal tax purpose and are not eligible for an SSN. A foreign responsible party can still obtain an EIN for an eligible entity without first obtaining an ITIN when the IRS's non-online application rules apply.
What is the difference between an ITIN and an EIN?
An ITIN (Individual Taxpayer Identification Number) is issued to an individual who needs a U.S. taxpayer identification number for federal tax purposes but is not eligible for an SSN. An EIN (Employer Identification Number) identifies a business or other entity for federal tax administration. Neither number substitutes for the other.
ITIN vs EIN: Person vs. Business or Entity
The simplest distinction is useful, but it needs one qualification. An ITIN identifies an individual for federal tax purposes. An EIN generally identifies a business or other entity for federal tax administration. Both are taxpayer identification numbers, but they solve different identification problems and have different eligibility rules.
An ITIN is not a general-purpose ID. The IRS says it is for federal tax purposes only. It does not authorize work in the United States, provide immigration status, or make someone eligible for Social Security benefits.
Who Actually Needs an ITIN?
An ITIN is for a person who needs a taxpayer identification number for a U.S. federal tax purpose and is not eligible to obtain an SSN. Examples can include certain nonresident aliens, certain resident aliens, and qualifying spouses or dependents, depending on the federal tax purpose and current W-7 rules.
Most new Form W-7 applications must be submitted with a U.S. federal income tax return. The IRS provides specific exceptions; if an exception applies, the applicant submits the documentation required for that exception instead.
Owning a U.S. LLC does not automatically mean you qualify for or need an ITIN. The owner's U.S. tax classification, income, filing obligations, treaty position and any W-7 exception determine whether an ITIN has a federal tax purpose.
Who Actually Needs an EIN?
An EIN is a federal tax identification number for businesses and other entities. LLCs commonly need one for federal returns, employment taxes, certain information returns, tax elections and many banking or commercial processes. Whether federal law itself requires an EIN depends on the entity's classification and activities—not simply the fact that an LLC exists.
The IRS tells corporations and LLCs to form/register the legal entity with the state before applying for its EIN. See How to Get an EIN.
Do You Need an ITIN Before Getting an EIN?
Not necessarily—and for many foreign responsible parties, no. Current Form SS-4 instructions say that if the responsible party does not have and is ineligible to obtain an SSN or ITIN, enter “foreign” or “N/A” on Line 7b. An entry is required.
That does not mean every applicant can use the IRS online EIN tool. The online route has separate requirements: the principal place of business must be in the United States or U.S. territories, and the responsible party must have an SSN or ITIN. If the principal place of business is outside the United States, the IRS directs applicants to the international phone, fax or mail process.
Important distinction: “You can obtain an EIN without an ITIN” and “you can use the online EIN tool without an ITIN” are different statements. The first can be true under Form SS-4/international procedures; the second is generally false under the current online-tool eligibility rules.
When Might Someone Need Both?
A person may need both numbers when the entity has an EIN need and the individual separately has an ITIN-qualifying federal tax purpose. For example, a foreign individual may own an entity that needs an EIN and separately need an ITIN for a federal income-tax return or an applicable W-7 exception.
But “foreign LLC owner = both” is too broad. Some foreign owners may need an EIN for the entity without needing a personal ITIN at that time. Others may need an ITIN for reasons unrelated to owning an LLC.
ITIN vs EIN: Side-by-Side Comparison
| Factor | ITIN | EIN |
|---|---|---|
| Full name | Individual Taxpayer Identification Number | Employer Identification Number |
| Primarily identifies | An individual for federal tax purposes | A business or other entity for federal tax administration |
| Who issues it? | IRS | IRS |
| Eligibility gate | Federal tax purpose + not eligible for SSN | Entity/tax-administration need; application rules depend on applicant and route |
| Format | 9XX-XX-XXXX; begins with 9 | XX-XXXXXXX |
| Application | Form W-7 | IRS online tool when eligible, or Form SS-4 / international procedures |
| Tax return attached? | Generally yes for W-7 unless an IRS exception applies | No federal income-tax return is normally attached merely to request an EIN |
| Identity documents? | Yes; current W-7 documentation rules apply | Not the W-7 identity-document process |
| Needed to get the other? | No general rule says ITIN must come first | An EIN does not itself create ITIN eligibility |
| Expiration / permanence | Expires after 3 consecutive tax years of non-use on a U.S. federal tax return; older unrenewed ITINs can also be expired | Assigned as the entity's permanent federal ID; do not reuse an old entity's EIN for a different entity |
| Work authorization? | No | No |
EIN vs ITIN Identification Navigator
This tool uses the actual eligibility gates instead of assuming that every foreign LLC owner needs both IDs.
This tool does not determine tax residency, SSN eligibility, filing obligations, treaty benefits or whether a specific Form W-7 exception applies. Those questions can change the ITIN result.
How to Apply for an ITIN
Confirm you are not eligible for an SSN
Do not use Form W-7 if you have or are eligible to obtain a Social Security Number.
Confirm the federal tax purpose
Identify the return-filing requirement or the specific IRS exception that supports the ITIN request.
Complete Form W-7
Use the current form and select the correct reason for applying.
Prepare the tax return or exception documents
Generally attach the federal income-tax return unless a listed exception applies.
Provide acceptable identity/foreign-status documentation
The IRS accepts specified original documents or certified copies from the issuing agency. A passport is generally the only document that can establish both identity and foreign status by itself; special dependent rules can apply.
Submit by an approved route
Applicants can use mail, an IRS Taxpayer Assistance Center appointment, or an IRS-authorized Acceptance Agent/Certifying Acceptance Agent, depending on the situation.
How to Apply for an EIN
The correct route depends primarily on the entity's principal place of business and whether the responsible party has the taxpayer ID required for the online application.
| Route | Key current rule | Important note |
|---|---|---|
| IRS online tool | Principal place of business in U.S./territories; responsible party SSN or ITIN required | If approved, IRS issues the EIN immediately online |
| International phone | Available for applicants whose principal place of business is outside the U.S./territories | Current IRS international EIN number: 267-941-1099 |
| Fax Form SS-4 | Available under the SS-4 instructions | Use the current fax destination for the entity's location |
| Mail Form SS-4 | Available under the SS-4 instructions | Use the current mailing destination for the entity's location |
For a foreign responsible party without an SSN/ITIN who is ineligible to obtain either, current SS-4 instructions permit “foreign” or “N/A” on Line 7b. See Apply for an EIN Without an SSN and EIN for a Foreign-Owned LLC.
ITIN Documents: Why This Is Different From an EIN
ITIN applications have identity and foreign-status documentation requirements that an ordinary EIN application does not. Current IRS guidance lists 13 acceptable document types. A passport can generally stand alone to establish both identity and foreign status; otherwise, a combination of documents is normally required, with special rules for dependents.
If you do not want to mail original documents, consider whether a Certifying Acceptance Agent or eligible IRS Taxpayer Assistance Center route fits your circumstances. CAAs can authenticate many documents, subject to IRS limitations.
Does an ITIN or EIN Expire?
ITIN: if it is not included on at least one U.S. federal tax return for three consecutive tax years, it expires on December 31 of the third consecutive year and must be renewed before being used again on a federal tax return. Certain older ITINs assigned before 2013 may also already be expired if never renewed.
EIN: treat the EIN as the entity's permanent federal identification number. Closing or changing a business does not turn an old EIN into a reusable number for a new entity. Whether a changed business needs a new EIN depends on the IRS's entity-specific rules.
Privacy and Identity-Safety Rules
Do not enter an SSN, ITIN, passport number, or other sensitive taxpayer information into an LLC School calculator or ordinary website form. Use official IRS systems or a professional/service you independently choose and trust. LLC School's navigator above intentionally asks only eligibility questions, not taxpayer-ID numbers.
Still Need to Form the LLC?
Northwest Registered Agent
EIN and ITIN applications are federal tax-ID processes; neither one forms an LLC. If you have not formed the underlying LLC yet, Northwest is one paid formation-assistance option. After state formation, handle the EIN and any personal ITIN need under the applicable IRS rules.
See Northwest's current offer →Affiliate disclosure: LLC School may earn a commission if you use this link. Northwest is optional; the IRS does not charge a fee to issue an EIN or ITIN.
Common EIN vs ITIN Mistakes
- Applying for an ITIN just because you own an LLC. ITIN eligibility requires an actual federal tax purpose and SSN ineligibility.
- Waiting for an ITIN before requesting an EIN. A qualifying foreign responsible party can use the non-online EIN process without an ITIN.
- Assuming “no ITIN required” means the online EIN tool will work. The online tool currently requires the responsible party's SSN or ITIN.
- Using an ITIN as work authorization. It does not authorize employment.
- Sending ordinary photocopies with Form W-7. IRS document-certification rules are stricter.
- Assuming every foreign LLC owner needs both IDs. The entity's EIN need and owner's ITIN eligibility are separate analyses.
- Paying a website because it implies the IRS charges for the number. The IRS itself charges no fee to issue either an EIN or ITIN, though third-party assistance may cost money.
Primary IRS Sources
Ahmad Adil
This comparison is maintained as an educational federal tax-ID resource. ITIN eligibility, W-7 return/document requirements, ITIN expiration, EIN online eligibility and Form SS-4 foreign-responsible-party rules were checked against current IRS guidance. Individual tax residency and filing obligations can be fact-specific, so complex international situations should be reviewed with a qualified tax professional.
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