IRS Changes ITIN Rules for Non-Resident LLC Partners — What You Need Before June 1
The IRS quietly updated its ITIN application requirements last month. Starting June 1, 2026, non-residents applying for an ITIN under Exception 1a — the route used by foreign partners in US LLCs and partnerships — must submit additional documentation that wasn't required before.
If you're a non-resident owner of a US LLC structured as a partnership (multi-member LLC), this change probably affects you.
What's Actually Changing
Before June 1, when a non-resident LLC partner applied for an ITIN through a Certifying Acceptance Agent (CAA) using Exception 1a, the partner's name and EIN could simply be written on the Form W-7-COA. That was enough.
Starting June 1, that's no longer sufficient. The IRS now requires a copy of the actual LLC or partnership agreement — specifically the section showing the LLC's name, the EIN, and the applicant's name and signature as a partner.
The document must also demonstrate that the applicant is actively participating as a partner in a business conducting operations in the United States.
One more wrinkle: the August 2025 version of Form W-7-COA removed the fields where you used to write the partnership name and EIN directly. The IRS moved that information requirement to attached documentation. If you submit the old form with those fields filled in, it'll be rejected after June 1.
Who This Affects
This change is specific to Exception 1a — the exception for foreign partners in US partnerships or LLCs filing tax returns.
It does NOT affect:
- Non-residents applying for an EIN (different form, different process)
- Single-member LLC owners (who don't need an ITIN for the LLC itself)
- Non-residents with an existing ITIN (this is about new applications only)
It DOES affect:
- Foreign nationals who are partners in a US multi-member LLC
- Non-residents trying to obtain an ITIN to file a US tax return related to partnership income
- CAA agents processing ITIN applications on behalf of foreign LLC partners
If you're the sole owner of a Wyoming or Delaware LLC, this change probably doesn't apply to your LLC documentation. But if your LLC has multiple foreign partners, at least one of you may need an ITIN for tax reporting — and that's where this new requirement kicks in.
The Documentation You Now Need
Starting June 1, your ITIN application package must include a copy of the partnership or LLC agreement showing:
- The LLC's full legal name
- The EIN (from the CP 575 confirmation notice or Letter 147C will also work)
- The applicant's name as it appears as a partner
- The applicant's signature on the agreement
The IRS is explicit: the signature must appear on the agreement. A draft operating agreement that hasn't been signed doesn't qualify.
What to Do If You're Applying Before June 1
You have until May 31 to submit under the old rules. Applications using the prior Form W-7-COA format will still be processed if submitted by then. After June 1, the IRS will reject any application that doesn't include the full partnership agreement documentation.
If your application is in progress with a CAA, ask them which version of the W-7-COA they're submitting and confirm the documentation matches the June 1 requirements.
The Broader Context
This change is part of the IRS's broader effort to tighten documentation standards for ITIN applications. ITIN fraud has been a persistent issue — individuals claiming to be partners in US businesses when they aren't — and the IRS has been progressively raising the bar for what counts as acceptable proof.
From a practical standpoint, this isn't a massive shift for legitimate LLC owners. If you have a properly signed operating agreement (which you should), you already have what the IRS wants. It's the marginal cases — informal agreements, unsigned drafts, LLCs where paperwork was never properly finalized — that will run into problems. If your LLC's operating agreement is not signed, fix that before June 1.
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