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Topic No 755, Employer Identification Number EIN How to Apply Internal Revenue Service

By 26.8.20216 syyskuun, 2023No Comments

employer identification number definition

The processing timeframe for an EIN application received by mail is four weeks. Ensure that the Form SS-4PDF contains all of the required information. If it is determined that the entity needs a new EIN, one will be assigned using the appropriate procedures for the entity type and mailed to the taxpayer.

EIN is a nine-digit number assigned to organizations by the IRS. An EIN is a type of TIN (Tax Identification Number), along with Social Security numbers. Before you start the application process, determine your business’s eligibility. While all businesses are free to apply for an EIN, your business may not need employer identification number definition to apply for an EIN or meet the minimum requirements. By Fax – You can fax the completed Form SS-4, Application for Employer Identification Number to the appropriate fax number (see “Where to File Your Taxes” (for Form SS-4)) for processing. You can receive your EIN by fax generally within 4 business days.

Do I Need an Employee Identification Number?

For more information about EIN application procedures, see Question 4 of FAQs regarding Applying for Tax Exemption. By Mail – You can mail the completed Form SS-4 to the IRS service center address listed on the Instructions for Form SS-4PDF or see “Where to File Your Taxes” (for Form SS-4). Ensure that the Form SS-4 contains all of the required information. Mail Form SS-4 at least 4 to 5 weeks before you need your EIN to file a return or make a deposit. You will receive your EIN in the mail in approximately 4 weeks. An Employer Identification Number–also called a Federal Employer Identification Number–is a code issued to businesses to identify those companies for federal tax purposes.

employer identification number definition

By Fax or Mail – You can apply by fax or mail as indicated above. A business must be located in the U.S. or U.S. territories to apply for an EIN online. Once the online information is validated, an EIN is assigned immediately. The EIN is not considered to be sensitive information the same way a Social Security number is and is freely distributed by businesses online and in print publications. Yarilet Perez is an experienced multimedia journalist and fact-checker with a Master of Science in Journalism. She has worked in multiple cities covering breaking news, politics, education, and more.

Apply by Telephone – International Applicants

You must check with your state to make sure you need a state number or charter. If these measures are not successful, you will need to contact the IRS directly to ask the IRS to search for your EIN number. In addition, you must be a person that is authorized to receive the number on behalf of the business. For example, you must be a corporate officer of a corporation or a manager (or authorized member) of an LLC. If you provide the requisite identification and proper proof of authorization, the IRS employee will give you your EIN number over the phone.

  • An EIN will be necessary for all banking transactions — from opening business checking and savings accounts to applying for a loan.
  • Whatever the size of your business, an EIN may offer a layer of identity protection.
  • You don’t need an EIN if you’re self-employed; you can simply use your Social Security number (SSN).
  • The EIN is not considered to be sensitive information the same way a Social Security number is and is freely distributed by businesses online and in print publications.
  • An Employer Identification Number (EIN) is like a Social Security number (SSN) for your business.

Her expertise is in personal finance and investing, and real estate. You may not plan to go under, but if you do, you’ll need an EIN to assure personal assets are protected from business losses. Business owners love Patriot’s award-winning payroll software. Business owners can apply in several ways to receive a free EIN number from the Internal Revenue Service.

Tax-exempt, charitable, non-profit organizations, and EINs

Employer identification numbers are issued to identify business entities in the United States the same way Social Security Numbers (SSNs) are used to identify individual residents of the country. The EIN is also known as a Federal Tax Identification Number. Applying for an EIN from the Internal Revenue Service is free and easily done online, but you can apply by mail or fax as well.