How Much Does an ITIN Application Cost?

An Individual Taxpayer Identification Number (ITIN) is a nine-digit tax processing number issued by the Internal Revenue Service (IRS) to individuals who are required to have a U.S. taxpayer identification number but do not have and are not eligible for a Social Security number (SSN). This number allows individuals to comply with U.S. tax laws and ensures proper processing of tax returns and payments. While the direct application for an ITIN through the IRS does not incur a fee, applicants may encounter associated costs if they seek professional assistance.

Direct Application Cost

The Internal Revenue Service (IRS) does not charge a fee for processing an ITIN application. Individuals apply for an ITIN by submitting Form W-7, Application for IRS Individual Taxpayer Identification Number, to the IRS. This form, along with supporting documentation, is processed by the government without any direct cost to the applicant.

Costs for Application Assistance

Professional assistance for ITIN applications is typically provided by Certifying Acceptance Agents (CAAs) or other tax preparation professionals. These fees cover preparing the application, verifying documents, and submitting paperwork on behalf of the applicant. CAAs, authorized by the IRS, can examine identity documents, certify their validity, and send the application to the IRS, often eliminating the need for applicants to mail original documents.

Professional assistance offers convenience and expertise, beneficial for those navigating complex tax requirements or preferring not to send original identification documents. Many professionals bundle ITIN application services with tax return preparation, as an ITIN is often needed for filing a U.S. federal income tax return. These services streamline the application process and help ensure accuracy. Fees are generally flat rates or incorporated into broader tax preparation service charges. Commercial Certifying Acceptance Agents may charge $50 to $275 or more, and other firms might charge around $150 to $500.

Factors Influencing Assistance Fees

Several factors influence the cost of professional ITIN application assistance. Complex documentation, such as cases involving treaty benefits or dual-status tax filings, may require higher expertise and increase fees. The number of ITIN applications, like for multiple family members, can also affect the total cost, as some professionals charge per applicant.

Geographic location influences fees, with costs varying based on regional market rates. The reputation and experience of the Certifying Acceptance Agent or tax preparer also contribute to pricing, with experienced professionals often commanding higher fees. If the ITIN application is bundled with other tax services, such as tax return preparation, the overall fee may reflect the combined services. Some firms offer the ITIN application as a free service when they prepare the associated U.S. federal tax return.

Applying Without Professional Assistance

Individuals can apply for an ITIN directly, avoiding professional assistance fees. One method involves mailing the completed Form W-7, along with original or certified copies of supporting identity and foreign status documents, directly to the IRS ITIN Operation. A U.S. federal income tax return (Form 1040 or 1040-NR) must be attached to the Form W-7.

Another option is to apply in person at designated IRS Taxpayer Assistance Centers (TACs) that offer ITIN services. At these centers, IRS staff can review the Form W-7, authenticate most supporting documents, and return original documents immediately, eliminating the need to mail them. Appointments are required for TAC visits. Additionally, some Volunteer Income Tax Assistance (VITA) or Tax Counseling for the Elderly (TCE) sites, IRS-sponsored volunteer tax preparation programs, offer free ITIN application assistance. These sites often have Certifying Acceptance Agents who can help prepare Form W-7, authenticate documents, and mail the application package to the IRS.