What is an EIN?
An EIN serves as a unique identifier for your company. It ’ s used chiefly for tax purposes. The IRS requires an EIN for any record business with employees, corporations, partnerships, and businesses that file employment, excise, or alcohol, tobacco and firearms tax returns .
Your EIN serves as the primary ID of a business to the government. It ‘s besides normally referred to as a “ tax designation phone number ( TIN ) ” or “ federal tax ID number. ” You might use it to :
- File business tax returns
- Open a business bank account
- Apply for small business loans
- Obtain a business license
- File various business legal documents
How to get an EIN
Applying for an EIN is easy ; it can be done on-line within minutes on the IRS web site or by faxing or mailing a completed Form SS-4 to the IRS.
We recommend that businesses apply for an EIN deoxyadenosine monophosphate soon as possible because it ’ sulfur crucial for basic business functions. You do n’t need an EIN if you are a sole owner with no employees, but if you ‘re looking to scale your business, having an EIN early on is beneficial .
Applying for an EIN on-line is fastest, but you besides have these options if you ’ re based in a U.S. state or the District of Columbia :
- Fax: (855) 641-6935
- Mail: Internal Revenue Service, Attn: EIN Operation, Cincinnati, OH 45999
If you ‘re an international applicant and do n’t have a legal residency or place of commercial enterprise in the U.S., you can apply for an EIN by one of these methods :
- Telephone: (267) 941-1099 (available Monday through Friday from 6 a.m. to 11 p.m. Eastern time)
- Fax: (855) 215-1627 if within the U.S., or (304) 707-9471 if outside the U.S.
- Mail: Send your SS-4 form to Internal Revenue Service, Attn: EIN International Operation, Cincinnati, OH 45999
If you call to request an EIN, fill out an SS-4 form ahead of time to have your answers prepared for the questions the agent will ask. If you ‘re filing via fax or mail, complete Form SS-4 and mail or fax it to the IRS. These methods take much longer than applying on-line — while faxing can result in an EIN within four business days, mailed applications can take at least four weeks to work .
once you receive your EIN, make certain to keep it somewhere condom. It ‘s improbable that you ’ ll manipulation an EIN ampere frequently as something like an SSN, so it ‘s easy to forget. however, since your EIN is your commercial enterprise ‘s tax ID, you ’ ll need it handy when dealing with taxes and applying for certain fiscal accounts or business licenses .
Does my business need an EIN?
Businesses of all types are able to apply for an EIN. however, the IRS requires certain businesses to have one. If you answer yes to any of the following, you ‘ll need an EIN :
- Does your business have employees?
- Do you operate your business as a partnership or corporation?
- Does your business file employment, excise, or alcohol, tobacco and firearms tax returns?
- Does your business withhold taxes on non-wage income paid to a nonresident alien?
- Do you have a Keogh plan?
- Is your organization involved in a trust, non-profit organization, estate, real estate mortgage investment conduit, farmer’s cooperative or plan administration?
even if your clientele is a lone proprietorship or single-member LLC with no employees, it ’ mho placid beneficial to get an EIN. It makes it easier to keep your personal and business taxes break, and it may be required to open a commercial enterprise bank account or apply for business licenses. If you do n’t have an EIN, you ‘ll need to use your SSN for respective tax documents .
Keep in mind that those with an SSN, individual tax identification number ( ITIN ), or an existing EIN may apply for an EIN .
Does my business need to reapply for a new EIN?
sometimes, your business may need to reapply for a new EIN. The IRS requires you to reapply for one quite than amending your clientele ‘s existing EIN. According to the IRS, hera are the most park reasons :
- You change the structure of your business, like incorporating or turning your sole proprietorship into a partnership.
- You purchase or inherit an existing business.
- You created a trust with funds from an estate.
- You are subject to a bankruptcy proceeding.
If your circumstances require you to reapply for an EIN, the lotion process is the like as if you ’ re applying for one for the inaugural time.
How do I find my EIN?
If you ’ ve forgotten your EIN, there are a few ways to do an EIN search :
Contact the IRS to find your EIN
If you ca n’t find your EIN on any of your documents, you can contact the IRS at 800-829-4933, but you ‘ll need to call them Monday through Friday between 7 ante meridiem and 7 post meridiem local clock .
If your EIN changed recently and international relations and security network ’ deoxythymidine monophosphate on older documents, this should be your first option. Be certain that the person contacting the IRS is authorized to do so. authorize people broadly include the exclusive owner, a partner in a partnership or a corporate officer .
Check anywhere your EIN could be recorded
Doing an EIN search or tax ID total search should be bare since it should be on many necessity documents. here are a few places your EIN might appear :
- CP 575 Notice. When the IRS issues an EIN, they send you a CP 575 confirming your employer identification number. They may have issued this digitally when you applied online, faxed it or sent it via mail. Check to see if you received an electronic or printed letter from the IRS confirming your EIN when you first applied.
- Prior year tax returns. Check your previous income, employment or excise tax returns. You generally have to include your EIN on any tax returns, so assuming this isn’t your first time using your EIN, it should be on most official government forms.
- Loan or license applications. You may have also used your EIN when applying for a loan
- Bank or financial institution. If you used your EIN to open a business bank account, try calling the bank or visiting a branch to get the EIN you used when you opened the account.
Performing an employer identification total search international relations and security network ’ deoxythymidine monophosphate difficult ; you don ’ t need to hire a service to find your EIN on your behalf .
How to find an EIN for a business
The nature of your business may require that you regularly look up EINs of early companies, or you may want to look up another business ‘s EIN to validate their information .
If the company is publicly traded and registered with the Securities and Exchange Commission ( SEC ), you can use the SEC ‘s EDGAR organization to look up such a company ‘s EIN for release. You can do an EIN search for nonprofit organizations on Guidestar .
If a party is not registered with the SEC, it will be more difficult since there ’ s no cardinal EIN database for these companies. here are a few strategies you can use :
- Contact the company’s accountant or financing office and ask for the EIN, though they don’t have to provide it.
- Search for the company on the secretary of state’s website or seek out other local or federal filings that may be online.
- Hire a service or use a paid database to do the EIN search.
How to cancel an EIN
If you apply for an EIN and realize you preceptor ’ t need it or close your business, you can close your business account with the IRS .
How you close your account depends on whether you ’ ve ever used the EIN to file tax returns or not.
If you never used the EIN, send a letter to the IRS that includes the dispatch legal name of your clientele, your EIN, business address, and the reason you need to close your score. Send your letter to Internal Revenue Service, Cincinnati, OH 45999. You may want to send the letter certified reelect receipt so you have confirmation that the IRS received it .
If you ’ ve filed an income tax return key using the EIN, you need to file a concluding return before the IRS can close your bill. Business tax returns, including form 1065, Form 1120-S, and Form 1120, include a checkbox to mark the render as final. You need to file a final refund even if you didn ’ t have any revenues or expenses during your last year in business .
once the IRS assigns an EIN, it will never assign it to another business entity, even after closing your occupation account. It remains the permanent federal designation act for that business, and you can reopen your account and reuse the EIN for that same occupation later if needed .
