An EIN identifies your business to the IRS. You could think of the EIN as your “account number” with the IRS. Your LLC needs to be officially formed in Washington before you can apply for an EIN. Visit our After Forming an LLC guide to learn more.
Even if you don’t have employees, an EIN is necessary to open a business bank account, file taxes, and have your LLC taxed as a separate entity. You can apply for an EIN online through the IRS website, by fax, by mail, or by phone.
You can notify the IRS to change the name on your EIN in Washington if you change the name of your business. Your EIN doesn’t need to be renewed in Washington as long as your business remains active.
The Importance of an EIN for Foreign LLCs
Obtaining an EIN for your foreign LLC is vital towards establishing a presence in Washington. To obtain an EIN for your foreign LLC, you have to apply for it from the IRS.
Variations by Business Structure
Most LLCs will need an EIN to file taxes, but sole proprietors and single-member LLCs can use their Social Security numbers instead. However, for husband-and-wife-only LLCs in a community property state, the couple may treat the LLC as a single-member LLC.
Can You Have an LLC Without an EIN?
LLCs with more than one member and those with employees are required to have an EIN. Important: LLCs need to be officially registered and approved before getting an EIN.
Employer Identification Number (EIN) is an exclusive identifier that is essential for tax reporting, opening bank accounts, and applying for credits.
When Do You Need an EIN?
- Single-member LLCs may not need an EIN.
- LLCs choosing to be taxed as a corporation or partnership need an EIN.
- If you are unsure about your existing EIN, you can call the IRS Business & Specialty Tax Line at (800) 829-4933 to retrieve it.
Opening a Bank Account Without an EIN
It is possible to open a bank account without an EIN sometimes, but rarely. Single-member LLCs and sole proprietorships are not strictly required to have an EIN as they are taxed as individuals. However, opening a bank account for a single-member LLC with just the owner’s SSN can be challenging, and it is advisable to consult directly with the bank.
To start an LLC in Washington state, an EIN is required to open a business bank account, file taxes, and tax your LLC as a separate entity. Using a personal social security number in place of an EIN is not recommended as it ties personal finances to your business.