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Lev
Lev, Tax Advisor
Category: Tax
Satisfied Customers: 29576
Experience:  Taxes, Immigration, Labor Relations
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How do you apply EIN foreign alien who is trying to set up

Customer Question

How do you apply for a EIN for a foreign alien who is trying to set up an LLC? IRS.gov online tool will not work, since he has no soc sec. #. I have the SS-4 that I can fax in, but is that all that is needed? Any additional instructions on top of just
filling out the SS-4? Doing more research it looks like he will need to apply via form W-7 for a TIN before he can apply for an EIN. Do you have to file form W-7, or is there a different way?
Submitted: 1 year ago.
Category: Tax
Expert:  Lev replied 1 year ago.

A simple way to apply for EIN online is to have an agent in the US who do have a valid US tax ID.
Another issue is that EIN would be needed if the LLC will have employees in the US - otherwise - it is not clear why the foreign alien even need EIN?
That is important because that reason must be stated on application and different documents might be required.

Customer: replied 1 year ago.
Long story short is that we have a client who's father in law is a foreign alien and our client is a US citizen. The father in law is looking to set up a single member LLC and needed an EIN number to get a bank account in the US. In order to get the bank account he would need that EIN, hence we looked at applying for the ITIN through the form W-7. I didnt know if that was the best route or not. They will not have any employees either.
Additional information on this is that the son (US citizen) did FL. articles of incorporation on his own for this LLC and put him as the officer. We were thinking that since the LLC isnt startiung until 1/1/2016, that he could get the EIN himself immediately, then in 2016 change the officer to the father in law and remove himself from the LLC completely. I just didnt know if you could do this, if the amendment for the new officer required an ITIN or SS#, if you could even remove the original officer, etc.
Expert:  Lev replied 1 year ago.

You wrote - In order to get the bank account he would need that EIN
That is not correct interpretation...
A nonresident alien may open a bank account and there NO such law which requires to have EIN or any tax ID.
Some banks are asking for tax ID - that is correct.
But a nonresident alien may - for instance visit a local office of the Bank Of America and open a personal bank account without having an LLC or EIN or ITIN
Also - if you apply to the IRS asking to provide EIN because it is needed to open a bank account - the IRS will ask to provide a letter from the bank with such requirement.

I bet that you would not easily find a bank which will provide such letter...

Expert:  Lev replied 1 year ago.

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