If you have a new business then you need to have an employer identification number from the IRS. EIN is a nine-digit unique number, require to run your business and identify the business entity to IRS. In the same way, as the social security number identifies you. Read more about how to get EIN number.
It will be required in some other situations if you create a trust and you will be serving as executor for the deceased person’s estate. So it will be helpful for you to get EIN for any entity you will be creating or administrating yourself.
There are few steps through which you will be required to get the answers that how to get an EIN-
PART-1 Complete your application-
CONFIRM YOUR ELIGIBILITY–
The very first thing for completing application will be requiring to confirm your eligibility. Whether you are eligible to get number or not. This will be only possible if you have a valid taxpayer identification number such as a social security number.
- To have EIN, only one responsible party can apply for this. This responsible party is considered as a person who owns small business or self-employed or who is executor of estate.
DECIDE HOW YOU WANT TO APPLY IT-
There are a few alternatives through which you can apply for EIN. You can easily apply to have your EIN number online by filling in the SS4 form. Also, it can be applied by fax or mail.
- For the first thing, you can apply online for getting your number especially if you are a US resident.
- Apart from these, you will be having another option for applying for an EIN. Afterward, fill the SS4 form and hence consider it for forwarding by mail or fax to get your EIN number.
- If you are an international applicant and you also want to apply for EIN. In that case you can call the IRS specialty number. One can call the IRS specialty number anytime from Monday to Friday between 6 a.m. to 11 p.m. eastern time.
DOWNLOAD THE APPLICATION-
In this, first you need to download the application form SS-4 from IRS website. Make sure that you will be having every single piece of information you need.
- For completing your application if you want a number then you must fill the SS-4 full form
- Along with this, if you are applying for EIN online then, you will be finding some answers to questions.
SUBMIT THE APPLICATION–
Submit your EIN application. If you have filled out all the details in paper application then you can fax or mail it to IRS.
- There is some additional information that will definitely help you out with this. This will help you to get an idea that how are you able to do the process. If your business is legal and is among 50 states or your business is in the district of Columbia. Finally, mail the SS4 form to the IRS.
- You should mail also on ‘Attn: EIN International Operation’.
PART 2- USING YOUR EIN-
Here is some helpful information that one need to have an idea how you can use your EIN.
- Get EIN immediately by applying online. Once all the details in the application are verified.
- If you have faxed your application to get your number. In that case, you need to provide your fax number to get the return fax. For your relevant information, you will be getting a return fax with your number within 4 business days.
- In the case of mail, you have to wait for approximately 4 weeks to process before you receive your EIN.
REGISTER WITH YOUR RESIDING STATE–
Well, most states require EIN if they are registering themselves for business license and paying some business Tax. So as to run their business in the residing state.
- On the IRS website, you will find this detail. On IRS portal, you will find your state license and taxation requirements easily.
- You can use your EIN number if your business needs any state or local business license.
OPEN A BANK ACCOUNT-
- For running your business you will need to have a bank account for your business.
- Opening that particular bank account you need to use EIN rather than using your name and social security number.
- For opening a business bank account you will be required your documents. Such as your business license on which business name registration will prove the name of your business you are running.
- Apart from this, there will be some other documents that will be required to show your registration. Such as a type of your business entity such as an LLC or corporation.
FILE STATE AND FEDERAL TAXES-
If you are a sole proprietor and you are running your business. Then your business taxes will be filed under your business name rather than using your own social security number.
- For being part of IRS permanent records, it will take up to two weeks for EIN to get updated over there. Just remember one thing that you cannot file electronic returns or you cannot make any electronic payments until that happens.
- In case of a deposit and return that is due before having an EIN, you have to enter “applied for” in the given space for the number. This space may include the date you have filed your application.
Hence, this is the complete information which we are supposed to render you with the full efforts and to make you comfortable about getting the things done for planning to get your employer identification number.
Basically, everything has been mentioned here for your convenience. You can easily contact us and we will be glad to serve you with pertinent and reasonable solutions.