Benefits of Having an EIN Number
An EIN helps register a business, open a bank account, obtain a business loan, and pay taxes. For some businesses, an EIN is required to pay taxes.
EIN Application and Renewal
After getting an EIN, the IRS does not require renewal except in special cases. You still must file income taxes yearly for your company using the assigned EIN.
How to Obtain an EIN Immediately
You can get an EIN immediately by applying online. International applicants must call 267-941-1099 (not toll-free).
**Who Needs an EIN?
Most businesses need an EIN from the IRS. The EIN identifies your business for tax purposes. It serves functions like opening business bank accounts, hiring employees, paying taxes, and getting business licenses. An EIN is mandatory for businesses with employees, partnerships, corporations, and other entities.
You do not have to pay the IRS to obtain an Employer Identification Number, provided you already have a social security number (SSN) or international taxpayer identification number (ITIN). An employer identification number, or EIN, is a nine-digit number issued by the IRS to identify a business entity. The IRS uses the number to identify taxpayers who must file various business tax returns. You may apply for an EIN in various ways, and now you may apply online.
Taxpayers can obtain an EIN immediately by calling the IRS toll-free at (800) 829-4933 between 7:00 a.m. – 7:00 p.m. An assistor takes the information, assigns the EIN, and provides the number over the telephone. If you complete the application online you can get your EIN immediately. This is a free service offered by the Internal Revenue Service.
Once the IRS has processed a payment for an EIN, you won’t have monthly or annual payments. An EIN application form is filed once and lasts the lifetime of the business. You must check with your state to ensure you have the proper state registration.
Should I be charged for an EIN number? You do not have to pay the IRS to get an EIN if you have an SSN or ITIN. Applying for an Employer Identification Number (EIN) is free. Beware of websites charging for this free IRS service.
Why would a company not have an EIN? A single-member LLC that is a disregarded entity without employees or excise tax liability does not need an EIN. It should use the name and tax ID number (TIN) of its single-member owner.
An EIN is similar to an SSN except EINs have 2 digits, a hyphen, and 7 more digits. An EIN has synonyms like Employer ID Number and Federal Tax ID Number, but they all refer to the same 9-digit number.