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IRS Begins Notifying Taxpayers Whose ITINs Expire at the End of 2017 by Angie Adames, CPA


Posted on August 30, 2017 by Angie Adames

More than 1 million taxpayers can expect to receive from the IRS a letter notifying them that their Individual Taxpayer Identification Numbers (ITINs) will expire at the end of 2017.  Notice CP-48 will provide taxpayers with the steps they should take to immediately renew their ITINs and avoid delays in the processing of any future tax refunds or returns that are filed beginning in 2018.

 

The IRS issues ITINs to people who have U.S. tax filing or income reporting obligations but are not eligible for a Social Security number (SSN). Taxpayers who are eligible for, or who have, an SSN should not renew their ITINs; rather, these individuals should notify the IRS of both their SSN and previous ITIN, so that their accounts can be merged.

 

Taxpayers affected by Notice CP-48 include those whose ITINs have the middle digits 70, 71, 72 or 80 as well as those individuals who have not used their ITINs to file a U.S. federal tax return in at least one of the last three consecutive years. Should a taxpayer receive a renewal letter from the IRS, he or she may choose to also renew the ITINs for his or her spouse and all dependents claimed on the individual’s tax return, even if those family members’ ITINs are not expiring at the end of this year.

 

To renew an ITIN, taxpayers must complete IRS Form W-7 along with required documentation, including original and up-to-date documents that establish the taxpayer’s identity and connection to a foreign country, or copies of identification documents that are certified by the issuing agency. The IRS reminds taxpayers that it no longer accepts passports without a date of entry into the U.S. as a stand-alone form of identification document for dependents from a country other than Canada or Mexico, or dependents of U.S. military personnel overseas. Dependents claimed on a taxpayer’s federal return who do not have a date of entry stamp of their passports must also provide proof of U.S. residency via U.S. medical records when the dependent is younger than six years old, school records for dependents under the age of 18 or utility bills or bank statements for dependent children over 18.

 

Taxpayers have the option to mail Form W-7 and supporting documentation to the IRS, or they may make an appointment to meet face-to-face with a Certified Acceptance Agent (CAAs) at a designated IRS Taxpayer Assistance Center who will confirm their identity and submit all documentation to the IRS for processing.

 

About the Author: Angie Adames, CPA, is an associate director with Berkowitz Pollack Brant’s Tax Services practice, where she provides tax and consulting services to real estate companies, manufacturers and closely held business. She can be reached at the CPA firm’s Miami office at (305) 379-7000 or via email at info@bpbcpa.com.