Every organization in US need to have an Employer Identification Number (i.e. EIN), even if it has no employees in their business or organization. Basically, EIN is a nine-digit unique number which analyze an organization to the IRS. In order to apply for an EIN one need to take out of the Application Form SS-4 from IRS website. One can apply for an EIN from IRS website by three ways such as by online, mail or by fax. One may also apply for an EIN by phone, if your organization need to reside outside of US or US territory. In this blog, read more on “How to apply for an EIN Number“.
What is the eligibility to apply for an EIN for the business?
In order to apply an EIN for the business entity, business need to reside in US or US territory. The person applying for an EIN need to have his own taxpayer identification number such as SSN for the business entity. A large variety of business entities may apply for and be issued an EIN for their business or organization. These business entities may include sole proprietorship to partnership, LLC, government agencies, non-profit and other type of organization. The sole proprietorship with only owner as an employee can appeal for one EIN, as can be multinational corporation or charity organization.
Why one need to have an EIN?
Businesses need to have an EIN for the business entity so as to pay their federal tax return, to file annual tax return and to issue payroll to their employees. One also need to have an EIN for the business entity so as to give tax document to the suppliers of an organization. EIN for the business entity has less to do with the employee and more to do with the tax return. So, if your business pay tax, then you surely need to have an EIN for your business entity or an organization from the IRS.
How an individual can apply for an EIN?
An individual can apply for an EIN for the business entity by online, by mail or fax or by phone –
Apply for an EIN via Online
This is one of preferred and easiest method that most of the customers may choose for the business entity. In order to apply for and obtain an EIN Online. One need to fill the online Application Form SS-4 on the IRS portal. Once the application form is completed, the information filled in Application Form SS-4 are validated by IRS. After the validation of the Application Form SS-4, EIN for business is issued immediately to an individual by IRS. In order to apply for an EIN Online for the business entity, one need to follow these steps such as –
Determine your Eligibility
- You may apply for an EIN online for the business entity if your principal business entity is located in US or US territories.
- The person applying for an EIN online for the business entity must have a valid Taxpayer Identification Number (i.e. SSN, ITIN and EIN).
- One is limited to have one EIN for the business entity per responsible party per day.
Note – The responsible party is the person who conclusively owns or control the business entity or organization. They may exercise the competent control over the business entity.
Understand the Online Application
- One must need to complete the Application Form SS-4 in one session as you will not be able to save and return at a later time.
- Your session will get cease if you remain inactive for more than 15 minutes. In that case you need to start over again from the beginning of the application form.
Submit your online application
After you have completed all the affirmation of the Application Form SS-4. You will receive your EIN of the business entity immediately. You may then download, save and print your EIN confirmation notice for the business entity.
Apply for an EIN via Fax
Taxpayers can fax the completed Application Form SS-4 by Fax to IRS, after ensuring that application form contain all required information in it. If one has provided the taxpayer’s fax number, then one may get back a fax with EIN on that Fax number in time span of 4 business days.
Apply for an EIN via Mail
The concoct time frame for getting an EIN application received by mail is 4-6 weeks. To apply for an EIN by Fax, one need to ensure that the application Form SS-4 may contain all the required information regarding the business entity. If it is determined that the business entity needs to have a new EIN. In that case, one will be getting a new EIN using the appropriate procedure for entity type and mailed to taxpayer at following address –
Internal Revenue Service
Attn: EIN Operation
Cincinnati, OH 45999
Apply for an EIN via Phone
To apply for an EIN by Phone, international applicant need to call IRS Specialty number from Monday to Friday between 06:00 AM to 11:00 PM (Eastern Time). One can also assign third party designee to apply for an EIN for the business entity. In this case, the assigned person making phone call must be authorized to receive an EIN for the business entity. You must also need to complete third-party designee section so as to empower the individual to receive business entity’s EIN. The designee’s authority may terminate the assigned Employer Identification Number and released an EIN to the designee. You must need to complete the signature area for the authorization to be valid so as to assign that person your designee for receiving an EIN.