SECTION 3. FORM W–7 AND

ACCOMPANYING INSTRUCTIONS

The Service has revised Form W–7 and the accompanying instructions. In general, a taxpayer who must obtain an ITIN from the Service is required to attach the taxpayer's original, completed tax return for which the ITIN is needed, such as a Form 1040, to the Form W–7. There are, however, certain exceptions to the requirement that a completed return be filed with the Form W–7. These exceptions are described in detail in the instructions to the revised Form W–7. One of the exceptions applies to holders of financial accounts generating income subject to information reporting or withholding requirements. In these cases, an applicant for an ITIN must provide the IRS with evidence that the applicant had opened the account with the financial institution and that the applicant had an ownership interest in the account. The Treasury Department and the IRS will consider changes to the requirements of this exception if necessary to ensure the timely issuance of ITINs to holders of these types of financial accounts. In addition, financial institutions may participate in the IRS' acceptance agent program.