Starting a U.S. company as a foreign entrepreneur comes with its fair share of “Wait, do I need this number or that one?” questions. One of the most common is: Can I open an LLC with an ITIN?
And it’s a good question, because your ITIN might help with taxes, but it’s not always the ticket to forming a company.
If you’re living outside the U.S. and want to build a real business presence, say, to run an online store, access U.S. payment gateways, or open a business bank account, this guide breaks it down in easy and simple language. Let’s make sense of where the ITIN number for business fits in and where it doesn’t.
Can I Open an LLC with an ITIN?
Here’s the short version: Yes, you can start a U.S. LLC even if you only have an ITIN.
The IRS and state authorities don’t require you to have a Social Security Number (SSN) to register an LLC. What matters is that your business entity, not you personally, is properly registered with a valid EIN (Employer Identification Number) for tax reporting.
Your ITIN plays a different role. It’s your personal taxpayer ID, allowing you to handle your individual U.S. tax filings. Think of it like this:
- EIN → For your company’s taxes
- ITIN → For your personal tax returns
In simple terms, you can open an LLC without an ITIN, but you’ll need one later if you plan to file taxes as the owner, take profits, or meet IRS compliance requirements.
Why Non-U.S. Residents Often Need an ITIN
While forming an LLC doesn’t require an ITIN, it quickly becomes essential once money starts moving. Think of your ITIN number for business as your personal link to the IRS; it connects you, the owner, to your company’s income.
Here’s when you’ll need it most:
- Filing taxes as a foreign owner.
If your LLC earns income in the U.S., you must file a federal return (Form 1040-NR). That can’t be done without an ITIN.
- Claiming tax treaty benefits.
Countries with U.S. tax treaties let you reduce or avoid double taxation, but only if your ITIN verifies your eligibility.
Many U.S. banks and payment gateways require ITIN verification for nonresident owners.
- Withdrawing profits or paying yourself.
The IRS needs your ITIN to track and tax your personal share of LLC income correctly.
So yes, you can start your LLC without one, but sooner or later, you’ll need to apply. Because without an ITIN, your LLC’s taxes may be filed, but you remain invisible in the system.
ITIN vs. EIN: What’s the Difference?
A lot of business owners from all over the world really get confused between these two numbers, and that confusion can lead to costly mistakes. So, here I tried to clarify the difference between the two most issued identification numbers:
| Purpose | ITIN | EIN |
| Used for | Individual tax identification | Business tax identification |
| Issued by | IRS | IRS |
| Who gets it | Nonresidents without an SSN | Any registered business entity |
| Needed for | Personal tax filing | LLC or corporate tax filing |
| Example use | Reporting your income as the owner | Paying employees, vendors, or filing company returns |
Both work hand-in-hand for nonresident entrepreneurs. Your EIN helps your business to exist in the IRS system, while your ITIN lets you legally receive income and file your portion of the taxes.
Hey, interested to learn more about this topic? Check our blog on EIN Vs. ITIN to be more clear.
How to Open a U.S. Company If You Only Have an ITIN
If you already have an ITIN number for business, you’re halfway there. Setting up your U.S. LLC is simpler than most nonresidents think; you just need to get the order right.
Take a look below to learn how it usually works:
- Choose your state wisely.
Delaware, Wyoming, and New Mexico are still the top choices for non-U.S. owners because of their low costs, privacy, and business-friendly laws.
- Register your LLC.
File your company through the state’s official website or a trusted formation provider who handles nonresident setups daily.
- Get your EIN.
Your LLC will need an Employer Identification Number (EIN) for taxes and banking. You can apply through the IRS or let your formation agency take care of it.
- Open your U.S. business bank account.
Once your EIN is active, you can open an account under your LLC’s name. Many fintechs and banks accept nonresident founders, but having an ITIN makes verification smoother.
- Use your ITIN for PayPal and other verifications.
If you plan to receive payments through platforms like PayPal, your ITIN is essential for account verification. PayPal requires tax identification for compliance — and for non-U.S. founders, that means providing an ITIN.
- Keep your filings and taxes up to date.
To maintain your company’s good standing, you must file annual reports and meet state and federal tax deadlines.
And if you don’t have an ITIN yet, that’s fine, you can still form your company. Just remember to apply for it later when it’s time for tax filing with ITIN or claiming treaty benefits. It’s not a roadblock; it’s just the next step in doing business the right way.
What You Can’t Do with an ITIN
Let’s clear up one of the biggest confusions: an ITIN number for LLC isn’t a golden ticket. It helps you meet tax obligations, but it doesn’t give you the same rights as a Social Security Number (SSN).
Here’s what your ITIN can’t do:
- It can’t replace an SSN.
You can’t use it to apply for personal credit, work authorization, or U.S. residency.
- It can’t get you a business loan or credit card directly.
Banks and lenders use SSNs for credit scoring. An ITIN may support business verification, but it won’t build personal credit history.
- It can’t sponsor employees or act as a legal ID.
The ITIN is for individual tax purposes only, not immigration or employment eligibility.
In short, your ITIN number is powerful where it matters: tax compliance. But outside that, it’s a supporting tool, not a substitute for full legal status or credit privileges.
Common Mistakes Nonresidents Make
Even experienced founders get tripped up by U.S. tax details, especially when it comes to ITIN number use. Now, most problems start from mixing up what’s personal and what’s business.
Let’s learn the most common mistakes the nonresidents make:
- Confusing the ITIN with the EIN.
The ITIN identifies you as the owner for tax purposes, while the EIN identifies your company only. Now, keep this in mind, because mixing them together during registration or tax filing can result in rejections or IRS delays.
- Using an ITIN to open an LLC.
You don’t need an ITIN to form an LLC, only to file your personal taxes later. Trying to use an ITIN as your company’s identifier will cause confusion with the state or the IRS.
- Skipping the ITIN altogether.
Some nonresidents assume their LLC’s EIN is enough. But when tax season arrives, or when payment platforms like PayPal or Stripe request identity verification, the missing ITIN can block payouts or raise compliance red flags.
The bottom line? Both the EIN and ITIN matter, one represents your business, the other represents you. Keeping them separate but connected is the key to running your U.S. LLC smoothly.
Can I Get an LLC with an ITIN If I’m Outside the U.S.?
Yes, you can form and own a U.S. LLC from abroad. The company setup can be handled online, but the ITIN process is not online.
What you need:
- A valid passport (for ID).
- A U.S. business address (registered agent/virtual office is fine).
- An EIN (your agent or formation service can get this from the IRS).
- An ITIN when you start earning or need to file taxes—apply by mail, at a TAC, or via a CAA (safest for nonresidents).
In short: you can open a U.S. company from abroad, but ITIN for the owner must be filed the proper way (no online issuance). This keeps your compliance clean and avoids delays with banking, payouts, and tax filing.
Business Globalizer: Your Partner for ITIN and U.S. Company Formation
Here’s the truth, forming an LLC is easy. Forming one right as a nonresident is where experience matters.
At Business Globalizer, we help international founders every day to:
- Register U.S. LLCs or UK LTDs with proper documentation.
- Get EIN and ITIN through our IRS-certified acceptance agent (CAA), the first one in Bangladesh.
- Open U.S. business bank accounts and payment gateways like PayPal or Stripe.
- Stay compliant with annual filings and federal tax rules.
Whether you already have an ITIN or need one for your business setup, our team ensures that every form, tax IDs, and filings line up perfectly.
Closing Thoughts
So, if you are asking, “Can I open an LLC with an ITIN?”
Then the answer is: yes, but that’s only part of the story.
Your ITIN connects you to the U.S. tax system, while your EIN keeps your business legitimate. Together, they’re what make your U.S. company legally recognized, tax-compliant, and ready for growth.
In 2025, it’s not about whether you can do it; it’s about doing it right. And with Business Globalizer by your side, you’ll have every box checked before your business even goes live.
FAQs on Opening LLC with ITIN Number
Can a non-U.S. citizen start an LLC?
Answer: Yes, of course they can. Nonresidents can own and operate a U.S. LLC 100%. You don’t need an SSN, just an EIN for your business and an ITIN for tax filing.
Can I use my ITIN instead of an EIN?
Answer: Absolutely not. The ITIN identifies you personally, while the EIN identifies your business. Both serve different tax purposes.
Do I need an ITIN to open an LLC bank account?
Answer: Not always, but many banks and fintechs request an ITIN for personal verification. It’s strongly recommended if you plan to withdraw profits or file taxes.
How can I apply for an ITIN as an LLC owner?
Answer: To apply for an ITIN, just fill out the latest Form W-7 and send it with your tax return and other required documents. Or you can simply work with a Certified Acceptance Agent (CAA) who can verify your documents and handle the filing directly with the IRS for you.
Can I open a U.S. company without visiting the U.S.?
Answer: Yes. You can set up your LLC remotely with a formation agency like Business Globalizer, which handles everything; from registration and EIN setup to ITIN assistance.
Does having an ITIN allow me to work in the U.S.?
Answer: Not actually. An ITIN is strictly for tax identification; it doesn’t grant any legal work or immigration rights.
What’s the best way to get help with my U.S. company and ITIN?
Answer: The safest route is working with an IRS-certified CAA or formation expert like Business Globalizer. They ensure your company and tax setup meet all IRS and state requirements, error-free.
Can I open a U.S. company if I only have an ITIN?
Answer: Yes, you can open a U.S. company with an ITIN. An ITIN is your personal tax ID, while your business will need an EIN for taxes and banking. You can form your company without an ITIN, but you’ll need one later for tax filing and payment verification.
