The practicality of obtaining a business in the United States at a distance makes it unparalleled to undertake in the American market. In this post you will know the main differences between TAX ID, ITIN, EIN, SSN and what each one is for, see the functions of:
ITIN NUMBER or TAX ID
The Individual Taxpayer Identification Number, also known as ITIN NUMBER or TAX ID, is a nine-digit income tax processing number provided by the US federal agency.
ITINs are issued regardless of immigration status as both resident and non-resident foreigners may have an income tax application in the United States.
TAX ID is for federal tax reporting only, it does not authorize work in the United States, does not provide readability for retirement benefits and does not qualify dependents for income tax credit purposes.
To apply for a TAX ID, you will first need a passport valid for at least 9 months, a visa issued by the US government, and a passport stamp valid for at least 6 months, a w7 form (requires an individual taxpayer identification number from IRS – ITIN) complete and attached to a valid income tax.
You can apply for a TAX ID at any time during the year, however, if the tax return you placed on w7 is filed after the due date, you will be subject to interest and penalty. If you qualify for the ITIN and registration is complete you will receive a letter from the IRS distributing your identification number within 7 weeks.
WHERE TO GET ITIN APPLICATION HELP?
Call SOS 1-800-829-1040 for free information, complete w7 form, your tax return or check your claim status 6 weeks after submitting forms.
EIN
The Employer Identification Number (EIN) is a social security number for your business i.e., the employer’s identification number. The EIN is a number that the IRS issues to differentiate companies from each other.
Most banks require that you have an EIN before they allow you to open a commercial bank account. A separate bank account for your company is something you will want; it makes it easy to track what is and is not a business expense and allows your company to obtain credit and qualify for more loans.
Obtaining an EIN from the start allows you to be prepared for the future, even more so if you are going to have employees, credibility, and the separation of personnel with the business. To request an EIN is easy and free, you can do it on the site in 5 minutes, between 7 am and 10 pm (US standard time).
SSN
The Social Security Number (SSN) works like a CPF, it is necessary to create a bank account, require some credit card and cell phone account.
Nowadays, in the United States, it is exactly part of the birth process and, in the hospital, they provide the forms to fill in the social security number, so it is very important to have a social security number and it is a requirement for all citizens of the U.S.
The necessary documents for the SSN are the passport with a valid visa, I-94 (online document, records how many times you have entered the country) in which you will make a form, on average from 1 week to 1 month to arrive at the document.
To register you must fill out the form on the social security website and then appear at the Social Security Administration (SSA) office with the requested documents, including the authorization for the job, and the SSN card is sent to the address provided.
It does not guarantee that you can work in the USA only with a work permit or green card, that is, the SNN can only be for those who are US citizens, permanent residents, or who obtain a specific visa that they obtain from the Social Security Number.
This article was written by Red Consulting USA.