Ask away. We’re here to answer all your questions about obtaining your federal tax ID in the US.
EIN is short for Employer Identification Number and some may also call it a Federal Employer Identification Number (FEIN). It is a 9-digit number issued by the Internal Revenue Service (IRS) to identify each operating business in the US for tax purposes. You can think of EIN as a Social Security Number (SSN) for your business. For instance, if you run an LLC or a corporation that is hiring employees, you will most likely be required to register for an EIN. Business owners typically apply for Employer Identification Numbers when they get incorporated. If this number has just shifted to the top of your to-do list, our business formation experts are at your disposal for free consultation.
You will not need a tax ID number if you run a sole proprietorship or an LLC with no employees. You could use your Social Security Number as your business’s tax ID in either of these cases. However, it is recommended that you obtain an EIN if your sole proprietorship files excise tax returns or pensions. Also, in partnerships that don’t have non-partner employees, you will be required to have tax ID numbers.
Even though most sole proprietors don’t need an EIN/Tax Number, it could be beneficial for their businesses. For starters, sole proprietors that operate as independent contractors will be able to protect their identities by registering and using an EIN compared to using their Social Security Numbers. With an EIN, sole proprietors or independent contractors will appear more professional and trustworthy to potential clients. In the past, we’ve worked with sole proprietors that experienced how EIN helped them convert and solidify their relationship with clients very quickly.
Let’s assume that you are a registered Amazon seller. Your payments may be coming from the US or you might be trying to register your business in some well-known payment platforms such as Stripe or PayPal. If so, you are going to need an EIN to move forward. In contrast, you will also require an EIN if you are a non-resident business owner in the US. These are just two examples of the benefits of getting your US Tax ID Number on your company’s behalf. If you’re still optimistic about getting an EIN, our business formation experts will be glad to help.
Get StartedWhile you juggle other crucial deliverables for your business. If you are convinced that your business entity needs an EIN/Tax Number, then we’d like you to know that the registration process is relatively simple. With our experience, we will serve everything to you on a platter to make filling your application much quicker and easier.
The answer to this question can never be a definite yes. All individuals whose businesses, agencies, offices, or legal regal residences are located in the US or within US Territories can apply for EIN with the IRS. The business owner, general partner, principal office, or trustor should have a valid Tax Identification Number to apply online. If the business is a government entity, you will be required to apply for an EIN if you are an individual and not an entity.
Once registered, the IRS updates its records with your unique EIN. If you ever forget your EIN, call (800) 829-4933 and then select a number to choose EIN from the provided list of options. Once you’re connected with the IRS, tell them that you can’t remember your EIN and they will ask you all the required security questions to provide you the number.
No, you will not need any software or application for your EIN application or EIN. All you need to do is visit IRS.gov on your computer or mobile device. However, you will require Adobe Reader if you prefer to receive your confirmation letter online.
Based on what information you submit to the IRS, your business will automatically enroll in their EFTPS (Electronic Federal Tax Payment System) to make deposits via your computer or phone. Within just a few days, you will receive an email confirming your enrollment into the EFTPS, along with a Personal Identification Number and a set of instructions on how to use this system. Of course, you will have to wait for your confirmation email before you can begin making online payments.
A business can typically be formed as a sole proprietorship, partnership, LLC, or corporation.
With that being said, we can help answer your question by first explaining:
• How each business entity is formed
• How each business legally operates
• The ongoing legal requirements of your business once formed
• The effect of your plans for owning or selling your company or adding future investors
We’d love to take our time to answer all the above questions once you contact our talented
business formation experts.
If you’re considering launching a company, consider LLC Business File for tax consultation or for expert help in registering your EIN/Tax Number quickly and painlessly.
We offer end-to-end, 100% online company registration and management solutions. Register your business in just a couple of steps.
Pick a state and business entity and get your project started with a few clicks.
REGISTER LLC TODAYThe following are just some of our favorite testimonials from past clients.
“LLC Business File was quick, professional, and worth every penny for our business formation needs. They also supplied us with regular articles and case studies about how to become a fundamental player in their field of expertise.”
“I’ve utilized their services to launch 3 businesses and I’ve always received quality and speedy services from their teams. Also, all 3 of my brands are now receiving positive feedback from their respective target audiences.”
“I am pleased with every aspect of their services but what I love most is that they have a quick and efficient business formation process which was pretty easy to follow as well.”
“Not only did they help set up my LLC but they were always reachable via phone call whenever I had some legal queries. I highly recommend working with them to receive quality services and to learn a thing or two along the way.”
© 2022. LLC Business File All Rights Reserved.