What would you like to talk about?
Legal plans Browse attorney directory Legal document review Speak with an attorney. Check order status Contact us Visit our resource center. Check order status Dashboard Sign out Sign in. Give us a call. Essential for most businesses If your business will have employees or file taxes, you probably need a federal tax ID from the IRS. Often required for business banking Banks usually ask for a federal tax ID before opening a business bank account or line of credit. Helps shield against identity theft Sole proprietors may use a federal tax ID to help keep their own Social Security numbers private.
What is a federal tax ID?
Who needs a federal tax ID? If your business hires employees, has a bank account, or pays taxes, then you probably need a federal tax identification number. Why would a sole proprietor need an EIN? If you're a sole proprietor with employees, a Keogh plan, or you need to pay certain federal taxes including excise and alcohol, tobacco, and firearms taxes then you'll need an EIN.
But even if you don't need an EIN, it might be a good idea to have one, as it can help protect you from identity theft.
The type of entity and the date the business started are both required pieces of information when you apply for your federal tax ID. You need to have your EIN in place by the time you apply for a bank account, hire employees, or withhold taxes.
Speak with an attorney Get legal advice from an independent attorney at a price you can afford. Find out more. Order my federal tax ID. Get helpful tips and info from our newsletter!
Here's how to figure out if you need a federal employer identification number, and how to apply for one. No Competition? Not Possible! Prev Article.
The U. Internal Revenue Service uses these numbers to: Identify businesses located in the United States and its territories Recognize a business for purposes of tax documentation Identify what business employees filing taxes work for Essentially, any business that has employees needs to obtain one, but depending on such things as the type of tax return you file, you may need one even if you have no employees.
Do you operate a business as a corporation or a partnership? Do you file an employment, excise, alcohol, tobacco, or firearms tax return?
Do you withhold taxes on income paid to a non-resident alien, other than wages? Do you have a Keogh plan?
Are you involved with trusts, except certain grantor-owned revocable trusts, IRAs, or exempt organization business income tax returns? Are you involved with estates?
Are you involved with real estate or mortgage investment conduits? Are you involved with nonprofit organizations? Are you involved with plan administrators?
As a stand alone service, or is included in our Complete Incorporation Service package. Feb 20, Will anybody see my TIN? Top publications and forms for TP. If you have made a charitable contribution and need the EIN for tax purposes, the number may be located on the receipt you received from the organization. You can get started by printing Form W-7 and the associated instruction sheet.
When can I start using my EIN? I already operate a business, do I need a new tax ID number? What happens if I lose my federal tax ID number? Starting or Growing a Business? Check out these Offerings. Liked this article?
To find the tax id number for a company requires different methods for different businesses. You can look up a publicly traded corporation on the SEC website. There is the rare instance where you'll need to look up another company's EIN. For example.