Foreign owners of US LLCs hear about three numbers: SSN, ITIN, and EIN. They are often discussed in the same breath, which makes people think they need all of them, or that one is a prerequisite for another. They are not. Here is what each one is for and which one your LLC actually needs.
The three numbers in one table
| SSN | ITIN | EIN | |
|---|---|---|---|
| Identifies | A person | A person | A business entity |
| Who gets it | US citizens and authorized residents | Individuals with a US tax filing need who cannot get an SSN | Any business entity, US or foreign owned |
| Issued by | Social Security Administration | IRS (Form W-7) | IRS (Form SS-4) |
| Time to obtain | n/a for non-residents | 7 to 11 weeks, often longer | Minutes online with an SSN; 4 to 12 weeks by fax without; 72 hours or less with SwiftEIN (99% of orders) |
| Needed for a US business bank account | No | No | Yes |
| Needed for Form 5472 | No | No | Yes |
What the EIN does
The EIN is your company's tax ID. Banks, payment processors, marketplaces, and the IRS use it to identify the LLC. Every foreign-owned LLC that wants a bank account or has a filing requirement needs one. Read the full EIN guide for foreign-owned LLCs.
What the ITIN does
An Individual Taxpayer Identification Number is a personal number the IRS issues to people who have a US tax reporting obligation but are not eligible for an SSN. Typical cases: a non-resident who receives US-source income and has to file Form 1040-NR, a foreign partner in a US partnership, or someone claiming a tax treaty benefit. You apply with Form W-7, usually attached to a tax return, with certified copies of your passport, and wait 7 to 11 weeks.
Do you need an ITIN to get an EIN?
No. This is the most important point. The IRS online EIN tool requires an SSN or ITIN, but the fax, mail, phone, and third party designee routes do not. On Form SS-4 the responsible party writes "Foreign" where the SSN or ITIN would go. See how to get an EIN without an SSN.
Waiting for an ITIN before applying for the EIN adds two to three months for no benefit.
Do you need an ITIN at all?
Many foreign LLC owners never do. A single-member LLC owned by a non-resident that has no US-source effectively connected income, no US employees, and no US office typically files only Form 5472 with a pro forma 1120, and that filing uses the LLC's EIN, not a personal number. Whether you personally need to file a US return, and therefore need an ITIN, depends on your facts: where the work is done, where your customers are, whether the LLC has a US presence, and your country's treaty with the US. That question is for a tax advisor, not for us.
Situations that commonly do require an ITIN: a multi-member LLC (partnership) with foreign partners, US rental property, or claiming treaty withholding rates on certain income.
Typical order of operations
- Form the LLC.
- Get the EIN. This is the number the bank and every platform wants.
- Open the bank account and start operating.
- Talk to a tax advisor about your personal filing position. If you need an ITIN, apply with your first return.