open a buisness without a ssn

Can You Start A Business Without A Social Security Number

United States is considered to be a land of opportunity. Many people from other countries look forward to start their business for more earning as compared to their home countries and to increase scope of their business internationally. They need to ensure that their proposed business can grow and is capable of meeting the requirements of local population. If it is not up to the demands of modern day customers, then it may flop quite quickly. Certain pre-requisites must also be completed before starting business such as getting a tax ID. A question must arise in your mind; can you start a business without a social security number?

Yes!! You can start a business without a social security number. If you need help starting a business without a social security number, please call us at 407-344-1012, or email us at info@freedomtaxfl.com.

What is a Social Security Number?

Social Security Number is composed of nine digits issued by government organization responsible for collection of taxes and providing social security. It is issued to permanent citizens, temporary working residents, immigrants and native citizens. It is an identification number used for claiming social security benefits offered by the government. It is required by students, workers and business people to benefit from certain services that government offers to its people. It is an important document that must be kept safe to avoid unnecessary problems involved in the procedure of getting duplicate documents.

The process of issuing social security number began in the year 1935 to facilitate residents. New Deal Social Security program became the reason behind this progress. During the 3 months after launch of this program, more than 25 million people of all ages got registered for SSN. This generated the question; can you start a business without a social security number?

Original SSN cards were issued the very next year and almost 45,000 active post offices in the country were assigned the task of typing and printing cards for citizens of the country. The issuance of cards began on 1st January 1936 from New Rochelle city in New York State. 1000 records were released initially and government speeded up the proceedings to provide SSN cards to people at the earliest.

During early years, the card was only issued to people above 14 years of age as it was used just for income tax payment. Since people usually start earning after getting older than 15, thus they preferred not to collect card before that. However, the practice evolved when laws were changed and SSN card was made necessary for tax deduction for parents of children above 5 years of age. This modification made taxation reliable and easier.

A significant decrease in tax deduction was noticed after tax reform act as parents who used to claim tax deduction earlier through fraud or due to mistake could not continue their wrong deeds. Later on, the age limit was lowered down to 1 year old and people having children above 1 year in their custody got relief in taxes. Nowadays, people immediately apply for SSN after birth of child on the basis of birth certificate.

SSN has wide uses and people from different fields are eligible for it. Students, patients, employees, workers and business people get varying benefits. On the other hand, Navy and Marine Corps and US Armed forces utilized this number as identification source for each member. It was recently replaced by DOD Identification number and SSN is no more resent on service cards.

Foreign people coming to US for business purpose do not get SSN. They often think that conducting business in US is not possible for them due to unavailability of SSN identity. They ask others can you start a business without a social security number? The answer is yes. Certain other Tax Identities can help in this regard and let you file tax returns without issues.

Business Taxes:

People expanding their business to US should perform research on tax numbers or IDs that will be required in future and ask can you start a business without a social security number. Many tax lawyers provide services to entrepreneurs and enable them to complete necessary procedures online before relocating to the country. SSN is normally required if you want to get an Employer Identification Number (or EIN) which is added in tax return documents.

It is a common myth that a person who does not hold SSN cannot get an EIN. Due to this misconception, many foreign people willing to carry out business activities in US change their mind. However, with proper research over internet or by contacting government organizations, the answer of can you start a business without a social security number can be found.

EIN is the tax ID generated by Federal government for all business owners within the country. It is also referred to as Taxpayer Identification Number (TIN) or FEIN (Federal EIN). Its only purpose is to identify tax payers and cannot be used for other tasks. It can be used by limited liable Companies, corporations, partnerships, individual sellers, NGOs, trusts, real estate agents and government agencies for filing their income status. It is not considered sensitive due to which its privacy is not ensured.

ITIN (or Individual Taxpayer Identification Number) is another tax identity that is acquired by business entities which are not eligible for getting SSN. IRS is responsible for issuing this as well. It is also used for filing tax returns to federal institutions and cannot be used for other purposes such as applying for job, claiming social benefits or in lotteries. You can apply by submitting passport and personal documents.

Alternative Options for SSN:

Business people need to make arrangements for getting tax information approved before starting with their business. Their major concern is that can you start a business without a social security number? Under such circumstances they look for alternative options and find answer that EIN number should be obtained. It is a common myth that SSN is necessary to mention when applying for an EIN number.

The belief is somewhat right, but it is not 100% true. Those citizens who hold SSN card can enter their information, but those who belong to other countries can apply for ITIN. ITIN is also used for tax information and can be used when applying for EIN. It is a lengthy process and needs multiple days to complete. It is one of the answers to can you start a business without a social security number.

Apart from above mentioned methods, there are certain other ways too through which tax information can be filed. Many tax lawyers actively offer their services for entrepreneurs and help them with tax filing through legal actions. Contacting experienced corporate lawyers helps you in getting an EIN without applying for both SSN and ITIN. This process requires lesser time and efforts and provides answer to can you start a business without a social security number.

Another misconception prohibits people from opting for the process of getting EIN without SSN or ITIN. It is considered to be extremely expensive than other methods as it involves professional lawyers. However, the key to saving your hard earned money is to choose the right quality service provider. The chosen professional should be well-experienced in field and have affordable fee suitable for you.

Applying for all types of business tax IDs can be performed directly from your home. You need to download respective form via internet and fill it up. If you are not living in US currently, then the procedure can be performed through Email, fax and telephone call. Phone call is the quickest method and takes shortest time, whereas Email verification usually takes up to a month.

Business Visa:

The answer of can you start a business without a social security number lies in your visa status. US residents having green card can start any type of business in the country. Those who are born here or have green card can easily start a business and open a bank account for financial transactions. However, those business people who want to conduct business must apply for suitable visa type at the earliest.

There are two common visa types including E-1 and E-2 that enable visa holders to engage with activities of entrepreneurial nature. These visa types are usually offered to students who have completed their study from US and wish to conduct business for limited duration. Such students are often found asking, can you start a business without a social security number?

E-1 and E-2 compel visa holders to return to their country after pre-defined time. Thus they have to prove active bank accounts and communication with family members back in their country of origin. Those having relationships back in the country are more likely to return after expiration of visa. However, America is home to a large number of illegal immigrants. People who do not want to return to their country attempt to prolong their stay via illegal means.

Both E-1 and E-2 visa types are reserved for people of certain countries. The US has signed relevant treaties with multiple developed countries. People from those countries can apply for visa who often ask, can you start a business without a social security number? Moreover, it is necessary to provide them with brief description of your business ideas about your venture. Your performance in your native country and your credibility assist in booking a visa for United States.

Opening a Bank Account Without SSN:

Having a bank account is the necessary step before starting your business. Companies sell their products or services and charge amount in return. This amount is either collected in hand or is sent through online services. Irrespective of the payment method, this money is normally deposited in bank account ultimately. For keeping your money secure, it is essential to open an account in a reliable bank. It answers about, can you start a business without a social security number.

Banks ask for certain documents to prove your identity. Passport, Identity Card, Driving License, Social Security Number and documents having your latest address must be submitted. Address proof can be provided with the help of utility bills, documents representing purchase of house or leasing and recent bank statement depending on the requirements of your chosen bank. This saves you from question, can you start a business without a social security number.

Those people who originally belong to another country and are relocating to USA, they need to go through a little more lengthy process. Along with above mentioned documents, they must also present immigration documents to prove their eligibility of staying in US. Once the bank account is activated, transactions can be performed. However, the origin of income may be asked to ensure that account holder is not involved with illegal activities or terrorism.

People moving to US from other countries are allowed to get a bank account without providing SSN. Irrespective of the fact that the card is not issued yet, majority of US banks let you open an account. As replacement, you need to provide other suitable documents proving your identity. It is not necessary to get a US bank account when relocating. You can get an account in Canada or other nearby countries too. Thus there is no need to worry about can you start a business without a social security number.

There are many reliable banks in USA and you can open an account in the one which is easily accessible for you. JP Morgan Chase, HSBC, Citibank, Bank of America, Wells Fargo, Capital One and many other banks are present to facilitate US permanent and temporary residents. Costs for account maintenance, ATM card, international transfer and closure fee must be considered before making final choice.

Tourists or people visiting USA for few weeks usually do not get to open an account. Many major banks refuse their services, but some small banks are willing to provide services. But business people get an exception because of the nature of their business as well the assurance that tax payment will be made until their business is running. Thus relevant documents can be submitted without thinking of can you start a business without a social security number.

Who can start a business in US?

Every US citizen residing in the country is allowed to start a venture of their own choice. Green card holders and permanent citizens can easily do so after getting registered for IDs through which tax return of their business can be paid. Many people prefer to keep business dealings and personal information separate as they do not want them to get mixed. Business dealings are kept separate to ensure that personal transactions are not carried from business accounts which will be immoral.

Work visa offers the capability of working for a particular employer. This visa is sponsored by single party and enables their employees from other countries to stay in US until the completion of contract term. Certain special visa types are available for entrepreneurs that allow them to stay in US for limited time. They can expand their business activities to US by applying for relevant visa and moving to USA.

Illegal immigrants are those people who move to US via with illegal means. They are usually deported after they are caught living without government authorization. More than 13 percent of illegal residents currently own businesses in different states. Government takes action against them as needed, but they are often allowed to live legally for a few years from time to time due to modification in Federal laws.

Illegally staying in USA and performing business can result in extreme harm. People usually leave their country and settle here for better living conditions. However, this is not a good practice. Getting immigration through legal ways lets you benefit from many government services and start a profitable business along with a trusted bank account without any issues. You will need not to worry about, can you start a business without a social security number.

Social Security Number is allocated to those people who were born in USA or got green card after settling through proper means. They can perform any business activity with the help of this number. Since it is issued a little late, thus banks let you open an account without providing SSN. The same practice is followed in businesses and you can use ITIN for tax payment of your business.

Can you start a business without a social security number? This is a complex problem faced by business people looking forward to start a new venture. It is used for getting EIN for tax payment. But government has made it easier with policies for businesses to grow. They can now avail substitute methods to get rid of issues.

Doing business in United States is a dream for most people due to increasing opportunities and growing profits. However, the process of immigration and getting tax ID consumes long time. Thus people worry about, can you start a business without a social security number? There is no need to worry about the issue as government lets you start online business or from USA without applying for Social Security Number.

Yes!! You can start a business without a social security number. If you need help starting a business without a social security number, please call us at 407-344-1012, or email us at info@freedomtaxfl.com.

 

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