ITIN application for Canadian daughter confusion

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puzon23
Posts: 61
Joined: Fri Apr 02, 2010 9:04 pm

ITIN application for Canadian daughter confusion

Post by puzon23 »

Hello All,

I scoured the entire forum left and right in searching for the answer to my question and it is still not clear to me what I have to do here so I thought I would ask directly and hope that someone can clearly answer it. Here it goes:

I'm filing 1040NR for last year. My wife, myself and my son all have SSN but my daughter does not. In order to claim her as exception (not child credit, I know that) I have to get her an ITIN.

I have a certified copy of her passport from issuing agency in Canada which was done before we left. So here is the problem: which box do I check on form W-7? Is it box g or box h?

Box g requires a visa and since we are Canadians on L status we do not have a visa as such but simply I-94 with a stamp and L status in it. I read in this forum that people got letters back from IRS asking for visa copies as they might not understand that Canadians do not require a visa as defined by immigration which is a stamp in a passport.

I'm thinking that in my case I should choose box h and explain that I am in US as non resident but do not hold a visa because I am a Canadian.

If I have to choose box g, what do I provide as supporting documents? Like I stated, I have a certified copy of my daughter's passport but not of the I-94. Would I have to go to a notary or CAA to get that certified? Would I have to write a letter to IRS explaining all of this?

I understand that I'm asking many questions but I also hope that if there are others in the same situation and I bet there are or will be, they will also benefit from the answer.

So again, which option do I choose - box g or box h?
One more thing - I no longer have a Canadian address, can I leave the foreign address blank (N/A) or do I have to put something there?

And please do not mention that I can file 1040, I know that and I got the answers about this in this forum and I am filing 1040NR.

Thank you all who can help!
nelsona
Posts: 18314
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

"And please do not mention that I can file 1040, I know that and I got the answers about this in this forum and I am filing 1040NR."

Please don't tell us how to answer.

Besides, anyone who tild you that filing 1040 would solve this issue is an idiot, so why would you listen. You would still need ITIN.

The better question is do you really need to include your daughter on your return. You would simply be reducing your US tax a little, which would be eaten by Canada anyways.

I'm sure you are able to figure out W-7.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
puzon23
Posts: 61
Joined: Fri Apr 02, 2010 9:04 pm

Post by puzon23 »

Thanks for reply.

Well, first of all, no one told me that filing 1040 did not require an ITIN nor did I mention this anywhere in my post. What I meant is that I know I can elect to file 1040 as Canadians always can but instead I chose 1040NR. Also, I believe that filing 1040 would mean that I would have to choose a different box on form W-7 as I would elect to file as resident, at least that's what I understand. So anyway...

Also, where is the assumption that tax savings in US is going to be taken by what Canada takes? I don't understand. If all income is made after I left Canada than Canada has nothing to do with the US income. I'm only declaring world wide income on Canadian return upon the date I left Canada. After that there is no income to report to CRA.

The last sentence states that I will be able to figure out form W-7... This is why I posted in the first place, to find out what option to pick as with Canadians there is no visa but just immigration status and I'm not sure which box applies to this situation as the instructions for W-7 do not take this kind of situation into the consideration. Unless, to IRS visa and status are same thing then it's easy.

So again, if anyone can shed some light on this, I would really appreciate it. Thank you all!
puzon23
Posts: 61
Joined: Fri Apr 02, 2010 9:04 pm

Post by puzon23 »

Hi All,

I see no takers on the subject as it's been a few days... Well, maybe the issue is not that common or maybe people here do not know the answer.

Either way, thanks for looking.

I will send the forms and see how it goes. I will try to update this thread once I know how it went and let you know what steps I took.

Feel free to reply if you know the answer still. Thanks!
puzon23
Posts: 61
Joined: Fri Apr 02, 2010 9:04 pm

Post by puzon23 »

Wanted to update this thread as promised as I received my daughter's ITIN number today. So here are the steps and things I included to make this happen. Please note that this is for a Canadian citizen and is different for all others:

On form W7, I chose box g. However, I do not have a visa in my passport since I'm Canadian and just have a status (I-94 in passport). For question 6 I filled all the answers but in the 6c I put N/A since there is no visa.

I included a certified copy of my daughter's passport which was done in Canada by Canadian passport issuing agency. I also included a letter explaining that I need the ITIN to claim my daughter and attached my 1040NR to it. In the letter I mentioned IRS publication 1915 which very clearly states that Canadian citizens are exempt from sending a copy of visa.

I hope this explanation helps someone who will be in the same shoes as I was this year.

Thanks!
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