Much like an individual's Social Security Number, an Employer Identification Number (EIN) is a federal nine-digit number that identifies a business entity. The Internal Revenue Service (IRS) issues EINs and requires their use on all tax filings during the entire life of a business.
The IRS generally requires the following types of businesses to obtain an EIN:
Many nonprofit organizations, as well as trusts and certain co-ops, must also have an EIN. If a business has changed its formation type or emerged from bankruptcy, it is typically required to apply for a new Employer Identification Number (EIN).
For many business owners, obtaining an EIN is one of the first things they do after incorporating or forming an LLC. Along with tax filings, businesses often need an EIN in order to:
Sometimes you'll see the Employer Identification Number referred to as a Tax Identification Number (TIN) or Federal Employer Identification Number (FEIN). As a general rule, it's good for all businesses, with the exception of sole proprietorships without employees, to have an EIN.
The Company Corporation can obtain an Employer Identification Number (EIN) from the IRS on your business's behalf. The process is fast, easy and cost-effective. If you select The Essentials or The Works package, the EIN is included. Click here if you are interested in ordering just an EIN.
It's important to note that along with an EIN, certain states also require companies to obtain a state tax identification number. The Company Corporation can help you with this requirement, as well as many of your other business compliance needs.