The ITIN Number Goes From Permanent to Temporary
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Up until now, getting an ITIN number was a once in a lifetime procedure, your number being associated with you for the rest of your life. Unfortunately, things will soon change. Starting January first 2017, new IRS rules concerning identification of alien taxpayers will apply.
As getting an ITIN number usually represents the most time consuming part of the recuperation process, this comes as very bad news for Canadian winners. To obtain this number, a winner has to send its passport to the IRS and not have it for a few months, or send a true copy to the IRS, after paying 45$ to Passport Canada to have it issued. It is also possible to get it through an accredited Certified Agent like Gamblingtaxes.ca, where the validation can be made with a simple face to face meeting, or by sending us your travel document.
Whatever tool you use, starting on January 1st 2017, many ITIN numbers will expire. It will be the case for:
- All ITIN with 78 or 79 as middle numbers (9xx-78-xxxx)
- All ITIN that were not used for an income tax filing for the years 2013, 2014 or 2015.
If your ITIN expires on January first and you plan to recover taxes on gambling wins in 2016, it is already possible, since October 1st, to request an ITIN renewal. Contrary to the usual rules, it's now possible to request such a renewal without attaching a regular filing at the same time. All that is required is to attach the latest Form W-7 and explain this renewal request. You will however have to also attach the same documents as for a new request, as written above.
According to the IRS, only one ITIN out of every four is used annually. This will therefore allow them to clean up their system.
Take note that it is not necessary, nor recommended to renew your ITIN if you will not file in the next tax season. If you file without having requested a new ITIN, your file will be processed but no refund will be issued before you rectify your situation. The additional delays are expected to be quite lengthy.
Finally, your ITIN will not be destructed; it will simply be set aside. Once you renew it, the number will be reactivated for you. You will not get a different one.
Your ITIN expires and you intend to file for a refund for a gambling win that occurred in the United States in 2016?
If you paid taxes on a casino or lottery win in the United States and want to recover them and you ITIN is about to expire, we invite you to contact us. We will then be able to proceed your file in two different steps. As Certified Agent for the IRS, we can easily validate your identity and facilitate your ITIN renewal. By acting right now, you will have everything in hand to make sure your refund request gets sent in January 2017 and treated in the best possible delays.
If you are not yet a Gamblingtaxes.ca customer, we invite you to fill this contact us form right away. We will contact you quickly and give you a free evaluation of your situation.