Applying for EIN for Multi-Member LLC
A multi-member LLC needs an EIN to apply for tax purposes and when hiring employees, opening a business bank account, and conducting other business activities. Multi-member LLCs can apply online for free through the IRS website and the EIN will be provided immediately. They can also download Form SS-4, fill it out, and fax it to the IRS.
EIN Requirement for LLCs
Disregarded single-member LLCs do not need an EIN if they have no employees or excise tax liability. Instead, they use the owner’s name and tax ID number.
LLC Ownership Requirements
Multi-member LLCs have two or more owners who must agree on management, voting, profit/loss distribution, and other governance matters in an operating agreement. Members have limited personal liability.
Applying for EIN
To apply for an EIN, multi-member LLCs can also apply by mail, fax, or phone call using Form SS-4. The IRS treats single-member LLCs as disregarded entities if they do not elect corporate tax status.