Client Resources
The Protecting Americans from Tax Hikes (PATH) Act
Date Posted: January 4, 2018
Enacted on December 18, 2015, the Protecting Americans from Tax Hikes (PATH) Act included provisions that affect the Individual Taxpayer Identification Number (ITIN) application process. According to the law, ITIN's are no longer "permanent" and will expire if not used after 10 years or consecutively for 3 years, whichever comes first. The IRS mailed more than 1 million letters to taxpayer households on November 1, 2017 confirming that ITIN holders with the middle digits 70, 71, 72 or 80 will expire 12/31/2017. Affected taxpayers who expect to file a tax return in 2018 should submit a renewal application as soon as possible to avoid tax refund and processing delays. Individuals who must renew their ITINs can choose to also renew the ITNs of the entire family (tax filer, spouse and any dependents claimed on the tax return) together, even if family members have an ITIN with middle digits other than 70, 71, 72, 78, 79 or 80.
Who uses an ITIN?
Individuals who have tax filing requirements under U.S. law but are not eligible for a Social Security number.
Who needs to submit an ITIN renewal application?
- Taxpayers with ITINs set to expire at the end of the year and who need to file a tax return in 2018
- Taxpayers who have ITINs with middle digits 70, 71, 72, or 80 (For example: 9NN-70-NNNN) and who will have a filing requirement in 2018
- Taxpayers with ITINs that expired due to lack of use and who will have a filing requirement in 2018
- Taxpayers with ITINs that have middle digits 78 or 79 that expired 12/31/2016 and who will have a filing requirement in 2018