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How to File for an Employer ID

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  • If you've just started a new business, you may be wondering how to file for an Employer ID. Also known as an Employer Identification Number (EIN) or a Federal Tax Identification Number, an Employer ID is used to identify legal entities, employers and sole proprietors on tax documents. The IRS offers several options for obtaining your Employer ID; this guide will walk you through each one.

  • Tips for Filing an Employer ID

    1. For the quickest processing time, file online. You can also file via fax, telephone or mail.
    2. You will need to provide the information outlined on form SS-4, which you can download and print from the IRS website.
    3. Once you obtain your EIN, you can use it for banking and business purposes as well as for mailing your tax return to the IRS.
    4. You must wait two weeks before using your EIN for electronically submitting tax returns or making online tax payments.

  • Disclaimer

    The content in this page is not a substitute for professional tax advice. Please contact your financial adviser before using the information presented here.

  • Introduction

    • An Employer ID, also known as an Employment Identification Number (EIN) or a Federal Tax Identification Number (TIN), is a nine-digit number (XX-XXXXXXX) that identifies business entities on tax returns, statements and other tax-related documents.IRS.gov: Understanding Your EIN In addition to tax-related uses, an Employer ID can be used for business license applications, opening a separate bank account, and other business needs. You must file for an Employer ID through the IRS. The IRS offers several simple application options based on the form SS-4.

  • Who Needs an Employer ID?

    • Legal entities and businesses may file for an Employer ID for many reasons, including:
    1. Banking purposes.
    2. Hiring employees.
    3. Tax registration.
    • There are various legal entities and business types that may file for an Employer ID, including:
    1. Sole proprietorship: an unincorporated business with one owner.
    2. Corporation: a legal entity governed by shareholders.
    3. Partnership: a trade or business relationship between two or more individuals.
    4. Estate: a legal entity created after an individual's death.
    5. Trust: a legal entity where property is held by a trustee for another person.IRS.gov: Understanding Your EIN

  • When You Should Get a New EIN

    • If you already have an Employer ID, generally you will need a new EIN if you purchase an existing business or change a company's business structure (for example, moving from a sole proprietorship to a corporation). You should file for a new EIN when:
    1. You have started a new business.
    2. You use an estate to create a trust.IRS.gov: Understanding Your EIN
    3. You are filing for bankruptcy.
    4. You are transitioning a business.Video Jug: When Would My Business Need to File for a New EIN? (Time: 0:57)
    5. Your business is a subsidiary of a corporation and currently uses the parent's corporate EIN.IRS.gov: Understanding Your EIN
    • You do not have to apply for a new Employer ID:
    1. If you change the name of your business.
    2. If you change locations.IRS.gov: Understanding Your EIN
    3. If you are using the EIN for employment insurance purposes.Video Jug: When Would My Business Need to File for a New EIN? (Time: 0:57)
    4. If your business is a division of a corporation.IRS.gov: Understanding Your EIN

  • Third-Party Designee

    1. A third-party designee is an individual authorized to receive an Employer ID by the taxpayer requesting the Employer ID. The third-party designee's authority ends once he or she receives the EIN.
    2. The third-party designee must fill out the Third-Party Designee section of form SS-4 with his or her name, address and phone number.
    3. The taxpayer must sign the form for the authorization to be valid.IRS.gov: How to Apply for an EIN
    4. To receive an EIN over the phone, the third-party designee must answer an IRS representative's questions over the phone and fax the completed and signed SS-4 form to an IRS administrative fax number (ATTN: IRS representative's name).IRS.gov: Understanding Your EIN
    5. A third-party designee cannot receive an EIN online.

  • Apply Online

    • Applying online is the quickest way to file for an Employer ID; you will receive the EIN immediately. The easy-to-follow application contains interview-style questions and instructions in the form of help topics and hyperlinked key words with definitions.IRS.gov: Understanding Your EIN To apply online, the business or legal entity must be located in the United States or U.S. territories.
    1. If you don't already have Adobe Reader, the IRS website recommends installing it so you can read the confirmation letter.IRS.gov: EIN Assistant
      • You can find Adobe Reader by googling Adobe Reader or going to the Adobe website.
    2. Go to the IRS website and type EIN into the search box.IRS.gov: Employer Identification Numbers Video
      • You can select the first result.
    3. Click Apply Online and you will be directed to the EIN assistant.
    4. Click Begin Application.
      • Keep in mind, you will have to complete the application in one session and if you are inactive for 15 minutes you will have to start over.IRS.gov: EIN Assistant
    5. The online application is broken down into five sections. You have to complete one section before you can move on to the next.
      1. Identify.
        • Indicate what type of business, legal structure, or organization is being established, such as a sole proprietorship, LLC, estate or trust.
        • You may be asked to specify and confirm your selection.
        • You will also be asked why you are applying for an EIN. The form lists several options.
      2. Authenticate.
        • You will need to provide the owners' legal names (or principal officer's, general partner's, deceased person's, or grantor's legal name, depending on the business or legal structure) and a tax identification number (e.g., a social security number or Individual Taxpayer Identification Number).IRS.gov: Understanding Your EIN
      3. Addresses.
      4. Details.
        • Look at form SS-4 for a better idea about what the application will ask.
      5. EIN Confirmation.
    6. Download the EIN confirmation notice. The confirmation should include your assigned EIN.
    7. Save the confirmation.
    8. Print the confirmation.

  • Hours of Operation

  • Apply by Phone

    • Applying by phone is the second-quickest way to file for an Employer ID; you will also receive the Employer ID immediately when applying by phone. To apply by phone, you must be an individual authorized to receive the EIN.
    1. Fill out form SS-4, so you will have the information ready.IRS.gov: Understanding Your EIN
      • You can download the form from the IRS website.
    2. Call the Business and Specialty Tax Line at (800) 829-4933.IRS.gov: How to Apply for an EIN
    3. An IRS representative will ask you questions found on the SS-4 form.
      • You will need the entity's legal name, tax identification number (such as a social security number or Individual Taxpayer Identification Number) and address.
      • You may also need to answer questions about the type of entity, why you are filing for an EIN, and the number of employees of the entity.IRS.gov: Application for Employer Identification Number (SS-4)
    4. Once you complete the questions, you will be assigned an Employer ID.
    5. Write down the EIN.

  • Hours of Operation

    • You can apply via phone during the following times:
    • Monday - Friday: 7:00 a.m. - 10:00 p.m. Local time.IRS.gov: Understanding Your EIN

  • Apply by Fax

    1. Download and print form SS-4 from the IRS website.
    2. Complete the form. An incomplete form cannot be processed, so double-check your answers.
      • You will need to know the entity's legal name, trade name if applicable, the type of entity, address, the name of owner (or principal officer, general partner, grantor, trustor, etc.), your reason for applying, and the number of employees.IRS.gov: Application for Employer Identification Number (SS-4)
    3. Fax the form to (859) 669-5760.

  • Hours of Operation

  • Apply by Mail

    1. Download and print form SS-4 from the IRS website.
    2. Complete the form. An incomplete form cannot be processed, so double-check your answers.
      • You will need to know the entity's legal name, trade name if applicable, the type of entity, address, the name of owner (or principal officer, general partner, grantor, trustor, etc.), your reason for applying and the number of employees.IRS.gov: Application for Employer Identification Number (SS-4)
    3. For U.S. applicants, mail your application to:
    4. For international applicants, mail your application to:
    5. You can call the EIN toll free number (1-800-829-4933) to verify your EIN or check the status of your EIN application.IRS.gov: Understanding Your EIN

  • After You File for an Employer ID

    • No matter how you apply for an Employer ID, keep the following in mind:
    1. Never use your EIN in place of your social security number (SSN).
    2. Wait two weeks before electronically filing a tax return or making an electronic payment using your new EIN. It can take up to two weeks for the new EIN to show up in the IRS' records.IRS.gov: Employer Identification Numbers Video
      1. Write Applied For and the date you applied on tax returns in place of the EIN.IRS.gov: Understanding Your EIN
      2. If you are making a payment, mail a check or money order, payable to the Internal Revenue Service, to the service center for your state. You will need to include the name you used to apply for an EIN, the date you applied for the EIN, the address, the tax type and the tax period.IRS.gov: How Long Will it Take to Get an EIN?
        • You can look up the address of your local service center on the IRS website.
    3. As soon as you get your EIN, it can be used for mailing in tax returns, mailing payments, opening up a bank account and applying for a business license.
    4. You will receive a confirmation package from the Electronic Federal Tax Payment System (EFTPS) if you indicated on your EIN application that you have employees. EFTPS is a free electronic payment service that allows taxpayers to make electronic tax deposits. The package will include:
      1. Your PIN.
      2. Instructions for making payments online or by phone.IRS.gov: Employer Identification Numbers Video
    5. You should have only one EIN for each business entity.

  • Conclusion

    • Applying for an Employer ID is a simple process any way you file, but you'll receive the fastest results online. Common reasons for filing for an EIN include starting a new business, hiring employees, and transitioning a business. If you are not sure whether you need to obtain an EIN, the IRS website should be able to answer all of your questions.

  • References for How to File for an Employer ID



 


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