IRS launches Individual Taxpayer Identification Number program

The IRS created the Individual Taxpayer Identification Number (ITIN) program in July 1996, issuing nine-digit tax ID numbers beginning with "9" to foreign nationals and undocumented immigrants unable to obtain Social Security numbers. The program allowed millions of people without legal status to comply with federal tax law — filing returns, paying income taxes, and contributing to Social Security and Medicare funds from which they were barred from collecting benefits. By creating a pathway to financial participation without conferring immigration status, the ITIN became the primary tool through which undocumented immigrants interfaced with both the tax system and, eventually, mainstream banking.