ITIN vs EIN: what's the difference?
A side-by-side comparison so you can quickly tell which tax ID applies to your situation.
Direct answer
An ITIN identifies an individual for US tax purposes when they can't get an SSN. An EIN identifies a business entity. They serve different purposes — many small business owners end up needing both: an ITIN for themselves and an EIN for the business.
Simple explanation
Both are nine-digit IRS-issued numbers, both appear on tax forms, and both are confused for each other constantly. The difference is what they identify: a person versus a business.
Side-by-side comparison
- 1
ITIN — identifies a person
Issued to individuals with US tax obligations who can't get an SSN. Goes in the SSN field on personal tax forms. Application: Form W-7.
- 2
EIN — identifies a business
Issued to businesses, partnerships, corporations, trusts, and similar entities. Used on business tax filings, payroll, and business banking. Application: Form SS-4.
- 3
When you might need both
A non-US individual who forms a US LLC will often need an ITIN (for themselves) and an EIN (for the LLC).
- 4
What they don't do
Neither one provides work authorization, immigration status, or eligibility for benefits.
Summary
- •ITIN = person. EIN = business.
- •Both are nine-digit IRS numbers but serve different roles.
- •Form W-7 for ITIN, Form SS-4 for EIN.
- •Many small business owners eventually need both.