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ITIN vs EIN: the most common confusion for non-resident LLC owners

Most non-resident Delaware LLC owners need an EIN but never need an ITIN. The two serve different purposes. Avoiding unnecessary ITIN application saves 6-12 weeks.

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By Zawwad, Tax & Compliance Lead (pending hire, reviewed by founder), DelewarellcPublished May 15, 2026 · Last updated May 15, 2026
Reviewed by Zawwad until this role hire is complete.
ITIN vs EIN: the most common confusion for non-resident LLC ownersMost non-resident Delaware LLC owners need an EIN but never need an ITIN. The two serve different purposes. Avoiding unnecessary ITIN application saves 6-12 weeks.VSDelewarellcITIN vs EIN: the most common confusionfor non-resident LLC ownersMost non-resident Delaware LLC owners need an EIN but …

What each is for

EIN (Employer Identification Number): the LLC's federal tax identifier. Used on tax filings, banking, Stripe onboarding, marketplace registrations. Format XX-XXXXXXX.

ITIN (Individual Taxpayer Identification Number): the foreign individual's personal US tax identifier. Used when the individual must file a US tax return. Format mirrors SSN but starts with 9. Issued only when needed.

When you do NOT need an ITIN

Single-member Delaware LLC owned by a non-resident with no US physical presence and no US-source effectively-connected income: no Form 1040-NR filing obligation, therefore no ITIN needed. The LLC files Form 5472 + pro forma Form 1120 (handled by a CPA), and the owner has no personal US filing.

This is the typical case for non-resident Amazon FBA, Shopify, freelance, and SaaS founders running entirely from outside the US. The CPA filings happen at the LLC level using the EIN; the owner does not need an ITIN.

When you DO need an ITIN

You personally have US-source effectively-connected income that you must report on Form 1040-NR. This is more common for founders with US-rental real estate, US-source consulting income above thresholds that create US trade-or-business presence, or US-employee status.

Apply via IRS Form W-7. A Certifying Acceptance Agent (CAA) can certify your passport rather than mailing the original. Application takes 6-12 weeks. CAAs charge $100-$300 for the certification service.

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