How to Apply for an EIN

An Employer Identification Number, or EIN, is a nine digit number that is assigned to certain businesses by the Internal Revenue Service. The purpose in getting an Employer Identification Number is to make it more efficient for the IRS to identify businesses that are required to file business tax returns. It is important to note that you will need to use this same number for any filings you need to make with the Social Security Administration, or SSA.

Who Should Get an EIN?

There are a variety of different types of business entities that should apply for an Employer Identification Number. Some of these include corporations, partnerships, sole proprietors, nonprofit organizations, government agencies, trusts and estates, employers, and some individuals. To find out whether you, or your business, should have an Employer Identification Number, contact the IRS or your accountant for professional advice. They can also let you know if your business is exempt from this particular filing requirement.

As a general rule, if any of the following apply to your business, you will need to apply for an EIN:

• If you have a Keogh plan

• If you withhold taxes on income (other than wages) for a non-resident alien

• If you operate as a partnership or corporation

• If you have employees

• If you file the following types of tax returns: Tobacco and Firearms, Alcohol, Excise, or Employment

• If you are involved with any of these organizations: Farmers’ coops, nonprofit organizations, plan administrators, estates, real estate mortgage investment conduits, trusts

Applying for an EIN

You can apply for an Employer Identification Number in a number of different ways through the Internal Revenue Service’s website. Your options include contacting them via a toll free telephone number, online, fax, or snail mail. Once you have applied for your Employer Identification Number, you should receive it in about one week, so it doesn’t take too long once the process has been started.

If you need to file a return before you receive your newly assigned number, simply contact the IRS (preferably via telephone) so that you can let them know about your situation. They will be able to look up your business and determine what your new number is, and they can also help you with filing for an extension so that you do not incur any late filing fees, should this become necessary.

If you don’t feel comfortable trying to apply for your EIN on your own, consult with your tax attorney or accountant for assistance. Depending on the type of business you have, it may be a good idea to obtain some professional advice before applying for an EIN. An accountant or tax attorney should be able to provide you with all of the information you need so that you can determine whether you really need an EIN or not.

The Internal Revenue Service also has customer support services should you find that you need additional help in applying for an Employer Identification Number. You may choose to speak to a support representative by phone, via email, or through instant messaging. Regardless of the method of communication that you choose, you should be able to obtain the help that you need in order to complete your application.

Once you have an established Employer Identification Number, if you need to make any changes to your business information such as address or other contact information, you will need to alert the IRS immediately to avoid any potential future problems.