Individual Taxpayer Identification Number (ITIN)

Published: December 3rd, 1996

Category: Memos

John P. Kruczek, University Controller

On July 1, 1996, the Internal Revenue Service (IRS) implemented new procedures for assigning Individual Taxpayer Identification Numbers (ITIN) to nonresident aliens who are not otherwise eligible to receive a Social Security Number (SSN) but are required to file a US tax return. Due to these IRS requirements only valid SSNs or ITINs will be recognized to pay wages, independent contractors and all payments to nonresident aliens processed through University Payroll Services and Payables and Disbursements Services. To allow sufficient time to implement this new procedure, the effective date will be December 26, 1996.

The only use of an 800 prefixed number for payment purposes will be for payments qualifying under Internal Revenue Code (IRC) Section 861; foreign source income. Compensation payment under IRC Section 861 generally occurs when a University department obtains the services of a nonresident alien employee or independent contractor and those services are performed in a foreign country.

The IRS has estimated that the processing time to receive a new ITIN will be four to six weeks. For this reason we suggest that when initially contacting a non-resident alien to perform services or to travel on behalf of the university you inform them of the requirement to have either a SSN or ITIN before payment can be made. Attached is a matrix of payment and immigration types with the generally appropriate tax identification number for each combination.

The IRS Form W-7, Application for IRS Individual Tax Identification Number (ITIN), is available from any IRS office or distribution center (800-TAX-FORM) or US Embassy or consular office abroad. Individuals may also acquire the form from the IRS or via the Internet at Additional information regarding forms, publications and other current information on this subject is maintained by the Finance & Accounting Division, Payroll Services. You can access this information from the Administrative Affairs Home Page,

If you have any questions, please call Murphy Miller at 392-1231 or e-mail to

Comments are currently closed.