How to Apply for an Individual Tax Number (ITN) as a Non-Resident: A Guide from GTA Accounting

If you’re a non-resident earning income from Canadian sources, the Individual Tax Number (ITN) is a crucial tool that you'll need to fulfill your tax obligations. This unique identifier, used by the Canada Revenue Agency (CRA), is for non-residents who are not eligible for a Social Insurance Number (SIN) but still need to file Canadian tax returns or receive income from Canadian sources. At GTA Accounting, we understand the importance of this process and are here to help you navigate it.

Here’s a complete guide to applying for an ITN, outlining what you must do and the required documents.

What is an Individual Tax Number (ITN)?

An ITN is a nine-digit identifier issued by the CRA to non-residents who are not eligible for a SIN but must file a Canadian tax return or report Canadian-sourced income. You may need an ITN if you:

• Earn rental income from Canadian property.
• Receive scholarships, fellowships, or research grants from Canadian institutions.
• Receive pension or retirement income from Canadian sources.
• Need to file a tax return to claim a refund of Canadian tax withheld.

For more information, you can visit the CRA’s ITN page.

How to Apply for an ITN

Applying for an ITN involves a comprehensive process, including completing Form T1261 (Application for a Canada Revenue Agency Individual Tax Number for Non-Residents). At GTA Accounting, we take the time to prepare the application, ensuring it’s complete and accurate. You just need to complete the form and return it to us with the required documents.

GTA Accounting’s ITN Application Checklist

To complete your ITN application, please provide the following information and documents:

1. Completed Form T1261

Fill out Form T1261 (Application for a Canada Revenue Agency Individual Tax Number for Non-Residents), which includes:

• Your full legal name
• Date of birth
• Country of residence
• Contact information
• Type of income earned from Canadian sources (e.g., rental income, pensions)

Ensure that all fields are completed accurately, as errors can delay the processing of your application.

2. Supporting Identification Documents

The CRA requires certified or notarized copies of specific identification documents to process the ITN application. These documents include:

• Passport: A certified copy of your passport’s identification page.
• National ID Card: A certified copy of your national identification card (if applicable).
• Birth Certificate: A certified copy of your birth certificate (if applicable).

The certification of documents must be done by a notary public, lawyer, or other authorized official.

3. Proof of Canadian Income

To validate your need for an ITN, provide evidence of Canadian income. This may include:

• Rental agreements or income statements for Canadian properties.
• Pension statements or other income documents for Canadian-sourced income.
• Scholarship, fellowship, or grant award letters from Canadian institutions.

This documentation helps substantiate your ITN application and ensures the CRA processes your request correctly.

4. Proof of Address

Provide a document that confirms your current address in your home country. Acceptable documents include:

• A utility bill showing your address
• A bank statement with your current address
• A government-issued ID with your address

This ensures the CRA has accurate contact information for correspondence related to your ITN application.

5. Authorization to Represent (Optional)

If you wish GTA Accounting to represent you with the CRA for the ITN application process, you can complete Form T1013, authorizing us to handle all communications with the CRA on your behalf.

How GTA Accounting Helps with ITN Applications

Filling out an ITN application accurately is critical to avoid delays or rejections. At GTA Accounting, we:

• Review your application for accuracy and completeness.
• Ensure that all supporting documents are certified correctly.
• Communicate with the CRA on your behalf if authorized.

Why Do You Need an ITN?

If you’re a non-resident earning income in Canada, an ITN is essential to meet your tax obligations. Without an ITN, you won’t be able to file tax returns, claim potential refunds, or report Canadian-sourced income correctly. Obtaining an ITN ensures you comply with Canadian tax laws and avoid penalties or enforcement actions.

Common Mistakes to Avoid When Applying for an ITN

• Incomplete Form T1261: Ensure that all fields are completed accurately.
• Uncertified Documents: Ensure all documents are certified or notarized, as the CRA will not accept copies without certification.
• Lack of Income Proof: Providing proof of Canadian-sourced income is crucial to establishing your ITN eligibility.

Conclusion

Applying for an Individual Tax Number (ITN) is straightforward when you have the proper guidance. By gathering the necessary documents and completing the application with GTA Accounting’s help, you can ensure a smooth ITN application process and compliance with Canadian tax requirements.

If you need assistance with your ITN application or have questions about the process, contact GTA Accounting today and let our experienced team guide you.