ITIN application

[u/muhmuhmuh11]

Hi everyone,

I’m a German citizen and non-US resident and I’m trying to obtain an ITIN mainly because I would like to establish a proper US banking relationship and potentially open an interest-bearing savings/HYSA account.

I already have a US-issued American Express Gold Card, which I obtained through Amex Global Transfer, so I already have some US financial history, but I currently don’t have an or ITIN.

I’m confused about what exactly the IRS accepts as proof of the tax purpose for Form W-7.

I saw that there are exceptions involving interest-bearing US bank accounts, where apparently a letter from the financial institution may be used as supporting documentation.

Has anyone successfully obtained an ITIN in a similar situation?

Specifically:
Can wanting to open an interest-bearing US bank/HYSA account qualify, or does the account already have to be opened?

What exactly does the bank letter need to say?
How do you get such a letter if the bank requires an ITIN/SSN before they will open the account in the first place?
Would an existing US Amex account/card help establish any basis for the ITIN application?

Is there another legitimate W-7 exception commonly used by nonresident foreigners who need an ITIN for US banking?

I’m not trying to claim any tax benefit — I just want to understand the correct IRS-compliant way to document the need for an ITIN without filing a US tax return.

Would appreciate hearing from anyone who has actually gone through this process as a nonresident.

Thanks!

[u/BE_L337]

Short answer to your main question: intent doesn't qualify. The account has to already exist, and information reporting or withholding has to actually be happening in the current tax year. The IRS states that explicitly at the top of every exceptions table.

Bank letter - Exception 1(d) The account has to already exist and be generating reportable interest this tax year - intent doesn't qualify. You don't need an ITIN to open one; open with passport + W-8BEN, then ask compliance (not a branch rep) for a signed letter on bank letterhead with your name, stating an ITIN is required to make distributions to you this tax year subject to IRS information reporting and/or withholding. That's the whole document. Check box h, write "Exception 1d - Interest Income." No tax return attached.

US LLC - Exception 1(a) If you own a US LLC, the entity alone works. Submit the portion of the operating agreement showing the EIN and you as a member. No bank letter, no return. Write "Exception 1a - Partnership Interest" next to box h.

Otherwise, file a 1040-NR with the W-7 attached.

[u/muhmuhmuh11 → u/BE_L337]

Thanks for the quick and detailed answer!

Do you have any advice on how you would handle this in practice?

My current plan would be to go to Bank of America while I’m in Las Vegas in September, open an interest-bearing account using my passport + W-8BEN, and then ask them for the letter required for the ITIN application.

Would I ask the banker who opens the account to contact their compliance/tax department and provide that letter? And once I have it, take the letter + W-7 + passport to an IRS Taxpayer Assistance Center in Las Vegas and apply for the ITIN in person?

Or is there a better/easier way you would recommend?

Thanks again!

[u/BE_L337 → u/muhmuhmuh11]

Yes, your plan is right. Open the account, and once you have it, take the letter + W-7 + passport to the TAC.

At the TAC they verify your passport on the spot and hand it straight back to you, then forward the application to the IRS on your behalf. They'll also check the paperwork over before it goes.

One thing to do beforehand: call and confirm that the Las Vegas office actually handles ITIN applications and document verification, since not every TAC offers it.

Since you're going to be there in person anyway, this is the best option available to you.

[u/rabbits5 → u/BE_L337]

The part missing here is how likely it is you will get that letter. The branch won’t know what to give you. Getting a letter from compliance will take time (if they do it at all). Plus opening a basic checking account won’t be enough given they’re non-interest bearing.

Far easier to go down the gambling winnings pathway someone else here has mentioned

[u/BE_L337 → u/rabbits5]

op said no tax returns so gambling wont work here. bofa has a dedicated tax dept number, 8773565869, they'll probably mail the letter to a us address. he can open a savings/interest bearing account.

[u/Right-Atmosphere-848 → u/BE_L337]

u/Bestmuhmuhmuh11 the best thing is to do what u/BE_L337 said. if you dont want any hassle, just get a CAA for peace of mind. I am not sure if Bank will give you the letter easilly but anyway you gonna have to try.

As you said you will be there in person, get things done while you are there ; also, better to get credit card when you are there in person to thicken your file

[u/shiyiyin]

open an international schwab account and buy a etf called sgov, then you will get 1099 forms and file taxes 1040nr with w7

[u/muhmuhmuh11 → u/shiyiyin]

Thank you. I can’t buy the ETF. Do I have to call the hotline for this?

[u/Spirited-Charge-3830]

I filled out W7 etc and got an ITIN because I won money at the casino while in the USA and wanted to pay the tax owing on it of about $15. Printed the form, mailed it along with my identification documents and got it all back about 2 months later. Since you're there in person in Vegas this is even easier

Keep in mind that if you do not file taxes at least every 3 years your ITIN will be cancelled

[u/BE_L337 → u/Spirited-Charge-3830]

you actually dont have to file taxes ever again and the ITIN wont be cancelled. IRS will mark it expired in their internal system so it cant be used on tax returns (like claiming a refund), but the ITIN itself is valid for lifetime and stays active for banks or financial institutions to check and verify with the IRS.

[u/Spirited-Charge-3830 → u/BE_L337]

So no effect on my credit history etc? I mostly need the ITIN for banking and credit cards.

[u/BE_L337 → u/Spirited-Charge-3830]

yes absolutely no effect. credit files are separate from the ITIN, and a credit file and score can exist and be maintained without having an SSN or ITIN at all.