Individual Taxpayer Identificaton Number

Rose · Post by **Rose** » Thu Jan 31, 2008 3:29 pm

I am an independent consultant, living in Canada, working for a company in the US. Do I need to obain an Individual Taxpayer Identification Number (ITIN) from the IRS?

nelsona · Post by **nelsona** » Thu Jan 31, 2008 4:09 pm

Only if you need to file a return in US.

Rose · Post by **Rose** » Thu Jan 31, 2008 4:12 pm

What determines whether I have to file a return or not?

nelsona · Post by **nelsona** » Thu Jan 31, 2008 4:28 pm

Don't really understand your question.

You are a contractor, not an employee. and have no base in US. thus you do not have any US taxable income, and are neither a citizen nor a resident of US. Also, no US tax has been incorrectly withheld from you, which you would need to recoup.

So, unless your spouse is a US citizen and wished to file jointly with you, you don't need an ITIN.

You will only get an ITIN once you file a return.

Rose · Post by **Rose** » Thu Jan 31, 2008 4:36 pm

Yes I am a contractor and not an employee. My question stems from some of the research that I have done. I have come across a lot of literature that suggests I should be completing Form 8233 on an annual basis and submitting it to the US company. Do I not need to do this?

Second question, the US company wants to submit form 1042S to the IRS - this form requires an ITIN. They have asked me for one. Should they not be submitting this form?

nelsona · Post by **nelsona** » Thu Jan 31, 2008 5:13 pm

1042S does not require an ITIN. it states "If any". When you give your first 8233 to the firm (if they want it), you will get an ITIN by sending a copy along a W-7 to IRS. I already told you in another post that you "could" file an 8233.

The purpose of 8233 is to prevent withholding. But you aren't being withheld.

Rose · Post by **Rose** » Thu Jan 31, 2008 5:53 pm

Okay - thanks for your help. I did some more research on the web and just got myself all confused.