Importance of EIN (Employer Identification Number)
An EIN is a nine-digit number the IRS assigns to your business for tax purposes. Your EIN identifies your company when filing business tax returns—the same way your Social Security Number identifies you. An EIN becomes the permanent federal taxpayer identification number for that business once assigned.
Business Requirements for EIN
Unless you’re a sole proprietor or single-member LLC, you’ll need an EIN if you want to open a business bank account. To start a business in Pennsylvania, you will pay application and licensing fees. Each entity will require a separate EIN.
Obtaining and Activating an EIN
You can get an EIN immediately by applying online. However, allow up to two weeks before your EIN becomes part of the IRS’s permanent records. If you prefer, you can fax a completed Form SS-4 to the service center for your state, and they will respond with a return fax in about one week. If you apply by mail, send your completed Form SS-4 PDF at least four to five weeks before you need your EIN to file a return or make a deposit.