For foreign residents or international citizens involved in US business and earning income from US sources, being compliant with IRS tax laws usually begins with acquiring an ITIN (Individual Taxpayer Identification Number).
Certainly, ITIN application can be time-consuming and overly complex if undertaken independently. This is where having a Certified Acceptance Agent (CAA) on your side can make a world of a difference.
In this post, we’ll cover all essential points surrounding Certified Acceptance Agent for ITIN number: what it is, who qualifies for one, explaining the CAA’s responsibilities, and most importantly, how trusting them with your application can accelerate getting approved for an ITIN, thus saving you peace of mind.
What Is An ITIN?
An ITIN Number is a 9-digit or multicategorial number required only for tax reasons. IRS assigns it to those individuals who need to possess a taxpayer identification number in the United States but lack a Social Security Number (SSN).
An ITIN is essential for different financial and legal undertakings in America, and for reporting taxes to the federal government.
- Submitting a tax return in the United States.
- Setting up a bank account in the United States.
- Claiming a tax refund.
- Following the tax regulations of the United States.
- Receiving benefits from a tax treaty.
- Reporting income from rentals or investments.
ITIN is more commonly needed by the following people:
- Non-residents with income sourced from the United States.
- Foreign nationals who own a business in America.
- Child or partner of American citizens or residents.
- Holders of student or other types of international visas.
- Non-resident shareholders or partners in US LLCs or corporations.
Not possessing an ITIN means you risk not claiming tax refunds you are entitled to, halting business operations, or claiming deductions you are eligible for.
What Is a Certified Acceptance Agent (CAA)?
A Certified Acceptance Agent (CAA) is a person licensed by the IRS to help applicants with the process of applying for an ITIN.
These agents go through a stringent training and certification process under the IRS, which makes them eligible to certify original documents as true copies and apply for ITIN applications on the applicant’s behalf.
This certification means more than just the honor; it also grants some privileges that ease the process. CAAs can:
- Assess and confirm the validity of identity documents
- Certify duplicates of original documents, so originals don’t have to be sent
- Directly submit Form W-7 and required documents to the IRS
- Follow up on pending applications or reply to IRS inquiries
Unlike plain tax preparers, CAAs work with the IRS through a formal contract, the Acceptance Agent Program, which gives them special procedures and access to assist applicants more easily with the complicated ITIN processes.
How a Certified Acceptance Agent Helps Speed Up the ITIN Process
Whether the applicant is overseas or not well-versed with U.S. tax procedures, the process of applying for an ITIN is often lengthy and cumbersome. CAAs offer assistance at every step, helping reduce the chance of delays. Here’s how:
1. Eliminating the Need to Mail Original Documents
The faxing of original identifying documents like passports poses a significant risk for overseas applicants. Submission of these documents along with the Form W-7 is a requirement by the IRS.
- You are applying from outside the U.S.
- You can’t afford to be without your passport for several weeks
- There’s a risk of the documents being lost or damaged in the mail
A Certified Acceptance Agent can certify the copies of documents after verifying them in person, or via a video call in some cases. So,
- You don’t have to send your passport or a birth certificate
- You keep control over your important documents.
- The faster processing time, due to the reliability of certified documents, increases the speed at which an application gives its results.
This alone is a major reason many people opt for a CAA.
2. Expert Review Minimizes Rejections and Errors
Due to simple yet critical errors, like missing information, incorrect forms, or improperly translated documents, many ITIN applications are rejected.
The IRS sets guidelines for accepting applications. If the application is incomplete or incorrect, they do not process it. And each rejection forces an applicant to start from scratch, which can add months to your timeline.
Acceptance Agents hold a special certification, and they are trained to:
- Review your application thoroughly.
- Ensure all documentation is complete and correctly filled.
- Provide translations of documents if applicable.
- Aid in understanding what forms and attachments are to be included (e.g., tax return, exemption form, etc.).
Because of these thorough steps, the chances of your application being accepted in the first submission become drastically higher. Avoiding the redundant frustration of re-applying and re-submitting documents.
3. Direct Communication with the IRS
Acceptance Agents certified by the Acceptance Agent Program possess direct means of communicating with the IRS via agent-specific channels for ITIN processing. This gives them the ability to:
- Enact proxy submission.
- Offer more feedback and updates regarding your application.
- Resolving any questions the IRS may have if they require more documents.
- Giving real-time application status updates.
This is a significant advantage over self-submission, where the only update you get is a mailed letter of acceptance or rejection, with little explanation or multiservice delay updates.
4. Faster Turnaround Times
It’s important to note that if an ITIN is submitted by mail from overseas, it takes an average of 8-12 weeks, which may be extended even more around holidays or due to backlogs. 16 weeks are not uncommon if the IRS has issued additional verification procedures.
Filling out your forms with a CAA makes sure your application:
- Doesn’t make the biggest blunders that cause the most unnecessary delays
- Doesn’t have to wait while sending documents overseas
- Goes through special distribution channels set aside for CAA processing
A Certified Acceptance Agent can expedite the process, and in the case where all supporting documents are provided, the ITIN may be issued in 4-6 weeks as opposed to the usual 3 months. That’s half the time, with far fewer headaches.
5. Support For Family And Multiple Applications
If you’re applying for an ITIN for yourself and your family members, like a spouse or children, the procedure gets more challenging. Each of your dependents will require the following:
- A separate Form W-7
- Subject to the same set of identity and residency documents.
- More supporting documents based on their relationship and where they live.
Certified Acceptance Agents are specialized in handling multi-person applications, which ensures that:
- Every individual’s form is filled out correctly.
- All documents are submitted together appropriately.
- The IRS has no reason to separate or delay the group application.
This is particularly helpful for foreign families filing their U.S. tax returns or claiming exemptions for dependents.
Who Should Use a Certified Acceptance Agent?
A CAA has an important role in the acceptance, verification, and filing of identification forms. Even though anyone applying for an ITIN can take the do-it-yourself route, certain cases require specialized help, such as:
- You are outside the United States and have limited or no access to the IRS services and secure transmission of documents.
- You are not able to lose your original documents, including but not limited to your passport and birth certificate.
- You need to submit documents before a cut-off date, like payment deadlines, expiration dates for refunds, or mandatory dates for investments.
- You want to submit applications for more than one ITIN, for instance, your spouse and children.
- You are a foreign businessman with business revenue based in the United States. You are required to obtain an ITIN for taxation purposes and/or to open a bank account in the United States.
In any other case, a Certified Acceptance Agent simplifies the process by making it faster, safer, and less daunting.
Wrapping It Up
Requesting ITIN assistance at the IRS does require some effort. Luckily, a Certified Acceptance Agent will make certain that you do not fall into the most common traps in the process of acquiring an ITIN, guiding you to a smoother and quicker process.
By using a qualified ITIN service provider to verify the necessary documents and submit them to the IRS, you can rest easy knowing that the certified professional will navigate the tedious United States IRS system on your behalf without incurring any delays, document misplacement, rejection, or denial of service.
EasyFiling provides an ITIN CAA service to clients all over the world, which guarantees ITIN application accuracy and greater results in time efficiency. ITIN CAA service is accessible to everyone, including foreign entrepreneur investors, dependents of American citizens, and all U.S. residents any US citizen.
If you have any questions regarding your US ITIN, feel free to ask me.
To learn more about our CAA services, reach out to EasyFiling.
Swostika Silwal
