First, what is an ITIN?

ITIN stands for Individual Taxpayer Identification Number, and the IRS issues it. The IRS issues an ITIN to individuals who must have a USA taxpayer identification number but who don’t have one and aren’t eligible to obtain a social security number. 

What are the typical situations when an ITIN is necessary for real estate tax?

  • Foreign sellers of USA real estate interests need an ITIN to request reduced tax withholdings when selling the property interest and to pay any required withholding. 
  • Foreign buyers of USA real estate interests must provide their ITINs as well. 

How long does it take to get an ITIN?

It can take up to 12 weeks to get your ITIN, so if you’re anticipating buying a property in the U.S., you should probably start the ITIN application process soon.