NRA creating a SM LLC in the US: any point in getting ITIN?

[DiscoveredAttack]

GM

I'm new here to what seems to be a very interesting forum!

My situation:

- I've recently created a SM US LLC with anonymity (ok, net of what I'll have to tell the IRS via 5472 etc)
- I need to create its EIN to open an account with a neobank
- The usual timeframes to receive the EIN are awful, but I have seen service providers (usually one-man bands) on certain sites that can do it in about a week and for 50-100 USD, even for NRAs with no ITIN or SSN. Their feedback seems excellent.
- However, I'm wary of sharing my name and that of my LLC to yet another provider (other than my registered agent and, soon, the bank)

So I thought:

- These guys seem to be able to get an ITIN just as quickly.
- I could get the ITIN quickly through them and then apply for the EIN myself, through the faster timeframes that are possible once you have an ITIN

The one question:
Would having and ITIN complicate my status with the US/IRS? Would the LLC not be seen as a disregarded entity anymore? Any other catches?

Many thanks

 

[joffreylol]

I don't think having ITIN would complicated things with the IRS. I think some NRAs file both 5472 (which is definitely required) and 1040-NR (imo not required). It seems that they get ITIN for 1040-NR filling. Getting EIN quickly can be illegal (they use their own SSN as a responsible party), and having ITIN doesn't mean that online application for EIN will work. Some NRAs says that their ITIN didn't work for getting EIN online. That being said I've applied for EIN by fax (without ITIN/SSN) in November and only received it in mid January, so that sucks.

Forum user @startfleetio claims he has a way to obtain EIN in a week legally. I'm not sure how that works. You can check his services, they might be worth it for you.

 

[DiscoveredAttack]

Thanks @joffreylol. Yes, those timeframes (plus the risk of something going wrong/getting lost, which I thinks grows with the time it takes to get something done) are a problem in my situation.

I have checked the Startfleet.io website. They seem to be well organised, albeit a bit expensive. My main concern, though, it would be about the fact that one would have to share the person behind the LLC with yet another entity... Would like to hear from @startfleetio anyway! (also about them creating an ITIN)

 

[EuroKiss]

You cannot get ITIN in a week. Even done internally it takes 3/4 weeks at least.
ITIN is useful to get remotely banking outside Mercury and Brex (the only bank I know that remotely onboard w/o SSN or ITIN).
If you can travel to the USA, depending on your passport you can onboard in “real” banks like Wells Fargo w/o ITIN.
If you get ITIN you HAVE to fill the 5472 even if you don’t have any income from USA, but it is just a formality.
I thought to get ITIN myself but I am not willing to send my own passport abroad (that’s the part of the ITIN process I don’t like at all).

 

[DiscoveredAttack]

Woah you need to send your passport to the US to get ITIN? First time I hear it. That'd be a major point against going that way...
Does that apply to EU nationalities too?

 

[startfleetio]

Woah you need to send your passport to the US to get ITIN? First time I hear it. That'd be a major point against going that way...
Does that apply to EU nationalities too?

No, you don't need to send the passport to the USA. Many providers (including us) can do this without you having to send the passport to IRS.

 

[DiscoveredAttack]

Very good!
And what would be your take on getting the ITIN to then get the EIN, rather than just getting the EIN directly?

 

[joffreylol]

Thanks @joffreylol. Yes, those timeframes (plus the risk of something going wrong/getting lost, which I thinks grows with the time it takes to get something done) are a problem in my situation.

I have checked the Startfleet.io website. They seem to be well organised, albeit a bit expensive. My main concern, though, it would be about the fact that one would have to share the person behind the LLC with yet another entity... Would like to hear from @startfleetio anyway! (also about them creating an ITIN)

You're welcome. You can get ITIN without sending passport, you need Certifying Acceptance Agent. They verify your passport without having to send it to anywhere. I think US embassies can also do the same.

I'll share what I did, and what might work for you. I wasn't in a rush to get bank account at Mercury so I didn't mind the wait for EIN. I've said couple hundred bucks this way. Registered LLC using northwestregisteredagent, used digital fax to send SS-4 via Fax following these steps How to Apply for an EIN for your LLC (with Form SS-4) | LLC University®

This way it's really cheap. It seems that you need bank account quickly. Because Mercury doesn't onboard you without EIN, I suggest while waiting to get EIN you open an account with Wise. For your LLC, which is assume is single member NRA you can have Wise without EIN. So maybe using Wise, and when you get EIN open Mercury as well. The trick to getting Wise to work is to type all 1's in EIN field, source Verify your US business | Wise Help Centre

 

[EuroKiss]

No, you don't need to send the passport to the USA. Many providers (including us) can do this without you having to send the passport to IRS.

You don’t need to send to the US if you get an IRS registered agent.
A) ITIN is free if you deal with them, $600/700 with an agent.
B) of course you need to send the passport to the agent unless you live where is one. E.g. we got no agents in Italy and I should send my passport to a agent in UK.
Btw you can check the list of international authorized agents in the same IRS website.
Btw2: ITIN comes with obligations (1020+5472 mandatories even w/o US incomes).

 

[DiscoveredAttack]

Thanks Joffreylol.

My urgency works as follows:
- Creating an organisation dev accout for mobile apps with Google and Apple
- I don't want to create them with an NRA SM LLC that at some point down the line can't get the bank account
- So I want to have a bank account before I use the LLC to enroll with Google and Apple
- So I need an EIN but I don't want to wait that long

What you are saying about Wise seems excellent. I think I'll go that way. I need to apply for a DUNS number too.
Thanks!

 

[joffreylol]

I'm glad that it helped. You can also consider Payoneer because you are receiving money from Google and Apple. I think that they also don't require EIN, I might be wrong. @rowena should know. They are more expensive than Wise. Maybe consider visiting US in the future to open account at a real bank, some people on this forum have troubles with EMIs. I can't speak because I didn't have much problems yet. Good luck!

 

[startfleetio]

You're welcome. You can get ITIN without sending passport, you need Certifying Acceptance Agent. They verify your passport without having to send it to anywhere. I think US embassies can also do the same.

I'll share what I did, and what might work for you. I wasn't in a rush to get bank account at Mercury so I didn't mind the wait for EIN. I've said couple hundred bucks this way. Registered LLC using northwestregisteredagent, used digital fax to send SS-4 via Fax following these steps How to Apply for an EIN for your LLC (with Form SS-4) | LLC University®

This way it's really cheap. It seems that you need bank account quickly. Because Mercury doesn't onboard you without EIN, I suggest while waiting to get EIN you open an account with Wise. For your LLC, which is assume is single member NRA you can have Wise without EIN. So maybe using Wise, and when you get EIN open Mercury as well. The trick to getting Wise to work is to type all 1's in EIN field, source Verify your US business | Wise Help Centre

Entering all 1s is not exactly good practice...

 

[joffreylol]

That's what Wise says you should do if you don't have an EIN. I've suggested he do that while he waits for months to get one from the IRS. Not everyone can wait that long without having any banking. I haven't done it because I wasn't in a rush to get a bank account.

For LLCs registered with Wise, please refer to the list of requirements above. If you are a single-member LLC and don’t have an EIN, please enter 111111111. Verify your US business | Wise Help Centre

 

[startfleetio]

That's what Wise says you should do if you don't have an EIN. I've suggested he do that while he waits for months to get one from the IRS. Not everyone can wait that long without having any banking. I haven't done it because I wasn't in a rush to get a bank account.

For LLCs registered with Wise, please refer to the list of requirements above. If you are a single-member LLC and don’t have an EIN, please enter 111111111. Verify your US business | Wise Help Centre

This is very interesting. Technically, Wise should have to asked for the SSN and ITIN if no EIN are provided for a SMLLC.

Anyways, there's a way to get a EIN quick. Our fastest record is 5 business days.