How to Get a Tax Identification Number (TIN): Definition, Types, and Examples

 The Internal Revenue Service uses a Tax Identification Number (TIN) as a tracking number. All tax returns submitted to the IRS must include this information. Except for Social Security numbers (SSNs), which are provided by the Social Security Administration, all U.S. tax identification numbers (TINs) or tax I.D. numbers are issued directly by the IRS (SSA).

In addition, the IRS does not provide international tax identification numbers (foreign TINs); rather, the foreign taxpayer's home country issues them.

How to Get a Tax Identification Number (TIN): Definition, Types, and Examples

The Tax Identification Number: An Overview (TIN)

An individual, a business, and other entities, such as nonprofits, are identified by a specific set of numbers called a tax identification number. Each individual or entity must apply for a TIN. Once authorized, the assigning agency assigns a unique number to the applicant.

Anyone who files yearly tax returns with the IRS is required to provide the TIN, also known as a taxpayer identification number, which the organization utilizes to track taxpayers. Filers must mention the number on tax-related papers and when receiving government benefits or services.

Other uses for TINs include:

• Credit applications demand Social Security numbers from banks and other lenders. This information is subsequently communicated to credit bureaus to check that the application is being filled out by the correct individual. In order to report and track a person's credit history, credit reporting agencies also use TINs, particularly SSNs.
• In order to be considered for employment, candidates must provide their SSNs. This is done to guarantee that the person is legally permitted to work in the United States. Employers check the data with the issuing organization.
• Businesses must also get state identification numbers in order to file tax returns with their respective state tax offices. The I.D. number is issued immediately to the filer by the state taxing authority.

There are numerous types of tax identification numbers or taxpayer-identification numbers. Individuals are given Social Security numbers (SSNs), whereas companies (such as corporations and partnerships) are given employment identification numbers (EINs). 

Individual Taxpayer Identification Number (ITIN), Adoption Taxpayer Identification Number (ATIN), and Preparer Tax Identification Number (PTIN) are examples of TINs (PTIN). More information about these sorts may be found further down.

Particular Considerations

TINs are used for a variety of purposes in almost every country. For example, in Canada, Social Insurance Numbers (SINs) are used for employment, taxation, benefits, and credit purposes.

The SIN is a unique nine-digit number that is formatted as XXX-XXX-XXX, just like the SSN in the United States.

TINs are also used in the European Union. They assist government authorities in identifying taxpayers and allowing entities to invest their funds within the Union.

Different Tax Identification Number Types (TIN)

SS Number (SSN)

The most prevalent tax identification number is the social security number (SSN). The Social Security Administration issues SSNs to persons who are US citizens, permanent residents, or certain temporary residents. XXX-XX-XXXX is how these numbers are formatted.

To get legal work in the United States, to be eligible for social security payments, and to use other government services, you must have an SSN.

A kid must have an SSN before a parent may claim them as a dependant for income tax reasons, which implies parents apply for the number on their children's behalf freely.

A dependency can be claimed for a kid who has an ITIN. The SSA processes applications for free, but there are fee-based services that help new parents complete their applications.

Taxpayer Identification Number (ITIN) (ITIN)

When some nonresident and resident aliens, their spouses, and their dependents are ineligible for SSNs, the IRS provides an Individual Taxpayer Identification Number (ITIN).

The ITIN begins with a 9 and is formatted similarly to an SSN (XXX-XX-XXXX). To get an individual tax identification number, the applicant must complete Form W-7 and provide supporting documentation.

ITIN applications are frequently assisted by specific organizations, such as accounting firms, banks, and colleges.

TIN (Taxpayer Identification Number) (EIN)

The Employee Identification Number (EIN) is used by the IRS to identify companies, trusts, and estates that must pay taxes. Employer tax ID numbers, like SSNs, are nine digits long, but they are read as XX-XXXXXXXXX. Those who are eligible for an EIN must apply for one and utilize it to declare their income for tax purposes. It is free to apply for an EIN, and businesses may get one right away.

Tax Identification Number for Adoption (ATIN)

When domestic adoptive parents are unable to quickly complete their tax returns because they lack the child's SSN, the ATIN only applies to those adoptions. The kid must be a U.S. citizen or permanent resident, and the adoption must be pending in order to qualify.

Taxpayer Identification Number (PTIN)

Since January 1, 2011, the IRS has mandated the inclusion of a PTIN on each return submitted. Prior to this date, the PTIN was optional.

Any preparer who charges to complete all or part of another person's tax return must obtain and utilize the PTIN.

Where Can I Obtain a TIN?

A tax identification number can be obtained by applying directly to the appropriate department. For example, the Social Security Administration can provide you with a Social Security number. You might be able to get a taxpayer identification number directly from the Internal Revenue Service if you need one for yourself or your business.

How can I tell if I require a TIN?

If you want to work in the United States or file taxes with the IRS, you'll need a TIN. You'll also need a TIN if you wish to take advantage of government perks or services. If you own a business or other organization, you'll need a TIN to conduct day-to-day activities and file taxes.

Where Can I Look Up My TIN Online?

Your official identification number is on a document that is issued by the organization that issues your TIN. You cannot obtain it online since it is classified material. If you can't recall or have misplaced your paperwork, you should contact the issuing agency, such as the Social Security Administration, to obtain a new TIN.

Is a TIN the same as a tax identification number?

• Because TIN, also known as a taxpayer identification number, is the same as a tax I.D.

Are TINs and Social Security Numbers the Same Thing?

A TIN is an example of a personal identification number. You can use your SSN to apply for jobs in the United States, obtain credit from banks and other lenders, and file your annual tax returns with the IRS.