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When should I apply for ITIN?

As for identification of persons, there are two different set of identification numbers in the U.S. The first one is the Social Security Number which can be obtained only if the person is a U.S citizen or a Green Card holder or holder of a visa that provides the person with a temporary residency in the U.S. The other number is the Individual Tax Identification Number; which is abbreviated as ITIN. Instead of explaining who can obtain an ITIN, it is easier to define who cannot. Basically, anyone who cannot get a Social Security number (SSN), requires to obtain an ITIN for tax purposes. Yet still, we would like to present who can indeed obtain ITIN: Foreign individuals who are not eligible for a Social Security Number but have a tax liability in the U.S.Individuals who do not live in the US, who are not likely to obtain SSN; but, need a tax ID number for tax returnsIndividuals who came to the US for residency purpose and need to have a tax ID number for tax returnSpouses and dependents of the US citizens and foreign individuals who went to the US for residency purposes and are not eligible to obtain an SSN and required to pay taxesSpouses and dependents of individuals who are not residents of the US but need to file taxes As for the “right time to apply” for ITIN, it is essential to know why it is so important. ITIN is basically a TAX IDENTIFICATION number issued by the IRS. It is crucial for filing tax returns, therefore it is essential to apply for it as soon as possible, especially if you have tax filing obligations. Failing to comply with tax filings would result in severe penalties.

How do I get taxed as a non-US resident?

For non-U.S. resident business owners who run a business in the U.S., taxation might pose a major question. Since taxation is one of many indicators whether the investment in the U.S. is worthwhile, it is essential to understand how the U.S. taxation system approaches non-resident aliens. In the U.S., citizens are not the only ones that have been paying taxes. In addition to the citizens, “residents” and “non-residents” might be obliged to pay taxes as well, provided they fulfill the required criteria. Therefore, if you are a non-U.S. citizen and have a business operating in the U.S., you might be still liable to pay taxes and to file tax returns. Basically, whether you have tax responsibilities depends on your residence status and/or how much time you have spend in the U.S. As a result, if you are a; green card holder, ora holder of nonimmigrant visas who satisfy the substantial presence test, then you are considered as a resident alien for tax purposes. This classification as resident alien, meeans that you must report all your income from all sources on their U.S. tax return and pay income tax on it at the same rates as U.S. citizens. Who? Green Card Holders A green card holder is a person who is a lawful permanent resident of the United States. If you have a green card, you must pay U.S. taxes even if you spend most of your time outside of the country. Non-immigrant Visa Holders Non-immigrant visa holders are those entered into the U.S. with the purpose of temporarily visit or stay. Different than green card holders, if a non-immimgrant visa holder satisfies the substantial presence test, that person might be liable for their taxes as well. Please note that there are many exceptions to this test and it would be better to consult with an expert if you have any doubts. In principle, the reason behind this substantial presence test is to determine whether the non-immigrant visa holder has been physically present in the U.S. substantially. In this connectin, the non-immigrant visa holder must be in the U.S. at least for: 31 days during the current year, and183 days during the 3-year period that includes the current year and the two years immediately before that. Please note that only 1/3 of the days you were present in the first year before the current year, and 1/6 of the days you were present in the second year before the current year will be counted. There are many exemptions to this list. One of the most peculiar one is problably the closer connection exemption. This means that if you: are present in the United States for less than 183 days during the current yearhave not applied for a green cardhave a closer connection with a foreign country than with the U.S., andmaintain a tax home in this foreign country during the year, you will be exempted from the aforementioned obligations even if you satisfy the general criteria. Tax Obligations In addition to paying taxes, if a non-U.S. resident meets the above-mentioned criteria, the person might be liable for certain taxation obligations, including filing tax returns such Form 1040NR.

Q&A: Is there a scenario where I do not need EIN?

Generally, all types of businesses without looking at their size and the number of employees must get an EIN. Therefore, you are required to have an EIN if you have a company in the US, but in some cases, you may not need to have one at all. EIN is used by the IRS – Internal Revenue Service to keep track of businesses and their tax responsibilities. In this context, some types of businesses that are not legally separated from their owners do not need an EIN. For instance, if you have a sole proprietorship or single-member LLCs without any employees, you may, of course, use your social security number instead of an EIN or tax ID. These two types of businesses do not need to have an EIN. However, it is safe to say that having one confers some has advantages even if it is not required. EIN is beneficial and may required when you hire employees, establish a payroll, get special licenses and local permits, open a bank account and etc.

Annual Report in Wyoming

The Annual Report is due on or before the anniversary date of filing (the first day of the formation month.). The Annual Report needs to be file every year. Below are the steps to pay Annual Report in Wyoming companies. Steps: Go to https://wyobiz.wyo.gov/Business/AnnualReport.aspx 2. Click on "File or Print Your Annual Report Now” 3. Write your Filing ID, then click the "Next" button. If you don't have your filling ID, you can search with your company name with this link. https://wyobiz.wyo.gov/Business/FilingSearch.aspx 4. Review your mailing and Principal Address. 5. Calculate fees. (If you don't have any assets write 0; otherwise, you have to list the total value of your assets, then proceed. 6. Review information for confirmation. 7. Sign and make your payment. (After the payment, you will get your confirmation in seconds.) Keep your report on your records.   Failure to file the Annual Report may result dissolve your company.