In the wake of ICE’s increased enforcement and the IRS’ agreement to cooperate and supply information to ICE, many would be ITIN (Individual Taxpayer Identification Number) applicants have been reluctant to apply in 2025. This is because the aggressive actions of ICE have intimidated many current Green Card holders, LPRs (Lawful Permanent Residents) and non U. S. citizens and removals have occurred. Typically, these enforcement activities have been based on violations of law, whether minor or major.
However, and especially true for those seeking eventual U. S. citizenship, filing taxes is a requirement for most holders of Green Cards and LPRs, unless their income does not necessitate filing, as it is below the threshold for that tax year (or other select exceptions not to file, but do require the need to submit the Form W-7 for the ITIN. Further, when it is time to apply for U. S. citizenship, the morality test will look at an individual’s moral character, part of which is paying taxes and being current with taxes. USCIS regards a failure to pay taxes as irresponsible and somewhat disrespectful to the laws of the U. S. Good character and moral conduct are an integral part of obtaining U. S. citizenship. Let’s look at a few scenarios where a Visa or Green Card Holder may need or not need to file taxes and apply for an ITIN.
> For an individual who is here on an F-1 Visa, a Student Visa, an ITIN may be required when they receive scholarship monies. Their university will inform the student that they need to submit Form W-7.
> For a married couple where say, the husband works, the wife is a stay at home mom and needs to renew her ITIN in order for the couple to file their tax return, with a MFJ status.
> A B-1/B-2 Visa holder came to the country and made money by engaging in business, such as selling cars, clothing, electronics, etc. This Visa holder is required to declare the income and file Form W-7.
> An L-1 Visa holder has no SSN for his spouse or children, all of whom are required to apply for an ITIN for tax purposes in order for the Visa holder to claim these dependents.
> A U. S. citizen works here and their spouse is overseas. Their spouse may or may not have income. Certain countries, unfortunately, will get a deeper dive into the question of whether the spouse overseas has foreign income. Additionally, the question of being in possession of a foreign bank account must be answered and may trigger a second look when either spouse has current ties overseas or considerable assets.
The IRS’ position is that a taxpayer must disclose truthfully and comprehensively, all factors that affect their tax situation, whether it works for them, or against them. Lastly and extremely important, when entering the country and dealing with USCIS, they are aware of your marital status, dependents, business or employment (at the time of USCIS approval). For a U. S. taxpayer here with a spouse with an immigration case, reporting information that is different on your tax return, such as spouse, dependents, etc., is a red flag. In other words, if USCIS knows that you have a spouse, but you try to file as a single taxpayer, you’re setting yourself up for criminal exposure and possibly removal of your spouse/dependents.
In conclusion, don’t let the current temperature of ICE deter you from filing Form W-7 for an ITIN. If you are required to file taxes and do not possess or cannot obtain an SSN, you must apply for an ITIN. Failure to do so is a violation of IRS rules & regulations and may also trigger a need for removal in conjunction with USCIS. It could also damage your chances for future U. S. citizenship. Be truthful with your Certified Acceptance Agent, choose one who is knowledgeable of the process and available year-round and is also familiar with cultural nuances which may explain situations not so readily understandable, such as naming traditions.
Be truthful with income and accounts overseas, no matter the amount, as the penalties can run as high as 50% of the bank account balance as well as incur criminal penalties for the taxpayer. Lastly, always ensure that the information you supply to your Certified Acceptance Agent and Tax Professional is consistent with the information you gave to USCIS at the time of your USCIS application and have obtained required adjustment of status if needed.
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