Tax Identification Number (TIN): Meaning, Types, Uses & How to Apply

abbottsteve952
Nov 29
4 min read

A Tax Identification Number (TIN) is one of the most important identity numbers used in the United States for tax-related purposes. Whether you are an individual, business owner, employee, or non-U.S. resident earning U.S. income, you’ll need the right TIN to report taxes correctly. Understanding how TIN works helps you stay compliant, avoid IRS penalties, and manage your finances smoothly.

What is a Tax Identification Number (TIN)?

A Tax Identification Number (TIN) is a unique number assigned by the Internal Revenue Service (IRS) or the Social Security Administration (SSA) to identify taxpayers for tax reporting and documentation. It is required for:

Filing federal tax returns
Opening bank accounts
Applying for business licenses
Employment verification
Receiving government benefits

Who Issues It?

IRS issues: EIN, ITIN, ATIN, PTIN
Social Security Administration (SSA) issues: SSN

Who Needs It?

U.S. citizens
Non-U.S. residents earning U.S.-based income
Businesses and corporations
Freelancers, self-employed professionals
Tax preparers
Adoptive parents (temporary purpose)

Types of Tax Identification Numbers

The U.S. uses multiple types of TINs depending on identity, residency status, and business purpose.

1. TIN (General Tax Identification Number)

A general term that refers to any number used for tax identification, including SSN, ITIN, EIN, etc.

2. SSN – Social Security Number

Issued by: Social Security Administration
For: U.S. citizens, permanent residents, and authorised workers
Uses: Employment, tax filing, government benefits

3. EIN – Employer Identification Number

Also known as the Federal Employer Identification Number (FEIN).

Issued by: IRS
For: Businesses, corporations, partnerships, non-profits
Uses: Opening a business bank account, hiring employees, filing business taxes

4. ITIN – Individual Taxpayer Identification Number

Issued by: IRS
For: Non-U.S. residents or individuals not eligible for SSN
Uses: Filing U.S. federal taxes

Example users:

International students
Foreign investors
Dependents of U.S. residents

5. ATIN – Adoption Taxpayer Identification Number

Issued by: IRS
Temporary TIN for children being adopted
Used when the child does not yet have an SSN
Helps parents claim tax benefits

6. PTIN – Preparer Tax Identification Number

Issued by: IRS
For: Paid tax preparers
Required for preparing federal tax returns for clients

Why is TIN Important?

A Tax Identification Number plays a critical role in several financial and legal activities.

1. Tax Filing

You must have a TIN to file federal and state taxes.

2. Identity Verification

The IRS uses TINs to track your tax records and prevent fraud.

3. Business Operations

Businesses need EIN to hire employees, file taxes, and open accounts.

4. Banking & Financial Activities

Banks require a TIN to open accounts, invest, or apply for credit.

5. Employment Purposes

Employers use SSN or EIN to report wages and verify identity.

How to Apply for a Tax Identification Number (TIN)

1. Applying for SSN

Visit SSA office
Provide proof of identity, age, and citizenship
Receive SSN card by mail

2. Applying for EIN (Business TIN)

Step-by-step online method:

Visit IRS EIN application page
Choose entity type
Provide business details
Submit application
Get EIN instantly

Documents required:

Business name
Responsible person details
Address Processing time: Immediate (online)

3. Applying for ITIN

If you are not eligible for SSN:

Steps:

Fill Form W-7
Attach identity proof (passport or national ID)
Include federal tax return
Submit via mail or IRS Acceptance Agent

Processing time: 6–8 weeks

4. Applying for ATIN

Apply using Form W-7A
Provide adoption-related documents
Processing time: 4–8 weeks

5. Applying for PTIN

Visit IRS PTIN system
Create account
Submit your personal details
Pay annual fee (if applicable)
PTIN issued instantly

Comparison Table

Feature	TIN (General)	EIN	ITIN
Issued By	IRS/SSA	IRS	IRS
For	Individuals & businesses	Businesses	Non-residents
Eligibility	Everyone	Businesses only	Not eligible for SSN
Use	Tax purposes	Business taxes	Federal tax filing
Format	Varies	9-digit (XX-XXXXXXX)	9-digit (9XX-XX-XXXX)

When to Use Which One?

SSN → U.S. citizens & residents
EIN → Businesses & employers
ITIN → Foreign nationals or individuals without SSN
PTIN → Tax preparers
ATIN → Adoptive parents

Common Uses of TIN

Filing federal and state taxes
Applying for business licenses
Opening bank accounts
Employment verification
Credit monitoring & financial records
Government compliance
Investment and loan applications

How to Find or Retrieve Your TIN

Ways to Locate It

Tax returns
Payroll documents
SSA or IRS-issued letters
Bank records
Employment forms (W-2 or 1099)

IRS Retrieval Methods

Call the IRS helpline
Use online IRS account
Request SSN lookup via SSA

Conclusion

A Tax Identification Number is essential for tax filing, banking, business operations, and identity verification in the United States. Whether you’re a citizen, business owner, or non-resident, having the correct TIN keeps you compliant with IRS rules and ensures smooth financial transactions.

Frequently Asked Questions (FAQs)

1. Is TIN the same as SSN?

SSN is a type of TIN. All SSNs are TINs, but not all TINs are SSNs.

2. Can non-U.S. residents get a TIN?

Yes, they can apply for an ITIN to file U.S. taxes.

3. Is TIN mandatory for filing taxes?

Yes, a valid TIN (SSN, ITIN, or EIN) is required.

4. Can I apply for EIN for free?

Yes, the IRS provides EINs free of charge.

5. How long does it take to get an ITIN?

Usually 6–8 weeks after submitting Form W-7.

6. What if I lose my TIN?

You can retrieve it through tax documents or by contacting the IRS or SSA.

7. Can I use ITIN for employment?

No. ITIN cannot be used for work authorization.