Both are nine digits issued by the IRS, which is where the confusion starts. They identify different taxpayers for different purposes, and applying for the wrong one is a costly detour.
The distinction in one line
An EIN identifies your company. An ITIN identifies you.
| EIN | ITIN | |
|---|---|---|
| Identifies | The business entity | An individual person |
| Applied for with | Form SS-4 | Form W-7 |
| Cost | Free | Free, but documents must be certified |
| Typical wait | 2–6 weeks by fax | 7–14 weeks |
| Needs a US tax filing reason | No | Yes |
| Expires | No | Yes, if unused for three years |
You need an EIN — almost certainly
If you have formed a US LLC, you need an EIN. It is what banks and payment processors ask for, and what the company files under. There is no realistic path to operating without one.
It is free, it does not expire, and it is issued to the company rather than to you personally. See getting an EIN with no SSN for the application itself.
You probably do not need an ITIN
This is the part that saves people months. An ITIN exists for individuals who must file or be reported on a US tax return but cannot get a Social Security Number.
Critically, the IRS will not issue one just because you would like to have it. Form W-7 requires a valid reason, and in most cases a completed US tax return attached to the application. "I own a US LLC" is not by itself a qualifying reason.
A typical foreign-owned single-member LLC whose income is not effectively connected to a US trade or business files Form 5472 with a pro-forma 1120 — a company filing, not a personal one. Nobody needs an ITIN for that.
When an ITIN does become necessary
- You have a personal US filing obligation. Income effectively connected to a US trade or business, or US-source income requiring a Form 1040-NR.
- Your LLC elected corporate taxation and distributions to you are reportable in your own name.
- You are claiming a tax-treaty benefit that requires personal identification.
- You receive US-source income personally — certain royalties, rental income from US property, some partnership distributions.
- A withholding agent requires it on a W-8BEN to apply a reduced treaty rate.
Notice the pattern: an ITIN follows a personal US tax obligation. If you do not have one, you do not need it.
Two persistent myths
"You need an ITIN to open a US bank account"
Not for a business account. The fintech providers non-residents actually use onboard on the company's EIN plus your passport. An ITIN is not on their document list. See opening a US business bank account.
"An ITIN gets you a US credit score or work rights"
No. An ITIN is a tax processing number. It does not authorise work, does not confer immigration status, and does not create credit history on its own.
If you genuinely need an ITIN
Form W-7, with proof of identity and foreign status. The difficulty is documentation: the IRS wants original documents or copies certified by the issuing agency — not a notarised photocopy from a local notary.
Three routes:
- Post your original passport to the IRS. Free. You are without your passport for weeks. Most people refuse, sensibly.
- Use a Certifying Acceptance Agent. An IRS-authorised agent verifies your passport and returns it. Costs $100–$400 and is the practical choice for most applicants.
- Apply in person at an IRS Taxpayer Assistance Centre or certain US consulates, where available.
Budget seven to fourteen weeks, longer in filing season.
ITINs expire
An ITIN not used on a US federal return for three consecutive years expires. Renewal is another W-7 with the same documentation burden — which is another reason not to obtain one speculatively.
Deciding in two minutes
- Do you have a US LLC? Get an EIN.
- Does a US form require your personal taxpayer number? Then, and only then, apply for an ITIN.
- Unsure whether you have a personal US filing obligation? That is a CPA question, and worth asking before spending three months on a W-7.
Whether you have a personal US tax obligation at all is the underlying question: do non-resident LLC owners owe US tax works through it.