Obtaining Tax Identification Numbers in North Dakota
To obtain your North Dakota Tax ID (EIN) start by choosing the legal structure of the entity you wish to get a Tax ID (EIN) for. To complete the online application you will be required to provide: Full Legal Name; Responsible Party’s legal name and Social Security Number; Contact Email and Phone Number; Physical Address.
An Employer Identification Number (EIN) is a tax ID number used by businesses and organizations. It is used to file taxes and for financial purposes, much like a Social Security Number for an individual. Corporations, LLCs, partnerships, independent contractors and non-commercial organizations can use a federal tax ID.
Importance of Having a Federal Tax ID Number
All businesses need an EIN, even small or sole proprietorships without employees. The only exception is a single member LLC without employees.
To properly set up your business, work with EZ Filing Solutions to apply for your federal tax ID. They provide help before, during and after the application process. You will need an EIN if you work alone, with a partner, or have employees. An EIN helps your business build credit and secure financing.
Registering for Sales Tax in North Dakota
In North Dakota, the state sales tax rate is 5.00%, and businesses are required to collect and remit this tax to the North Dakota Office of State Tax Commissioner. What you need to register for sales tax permits: Gather the necessary information about your business which is crucial to ensure a smooth and accurate application process. North Dakota has a destination-based sales tax system, so you have to pay attention to the varying tax rates across the state.