Operating your business, you do need an EIN, or Employer Identification Number, in order to get your business identified with the Internal Revenue Service for tax purposes. Basically, an EIN is like a Social Security Number only for businesses.
The EIN is a unique nine-digit number assigned for the purposes of identification by the Internal Revenue Service to every business entity operating in the United States.
EIN has other names like the Tax Identification Number (TIN), Federal Employer Identification Number (FEIN), or Federal Tax Identification Number.

Why do you need an EIN?

You will need an EIN/Tax ID Number for the following things:

Forming a new business
Hiring employees, including household employees
Opening a bank account that requires an EIN for banking purposes
Opening a business bank account or wishing to start a business line of credit
Changing the legal structure or ownership of your organization (for example, you incorporate a sole proprietorship or form a partnership)
Creating a trust, corporation, partnership, or LLC
Acting as a representative of an estate that operates a business after the owner's death.

Every business, including nonprofit and tax-exempt organizations, must have an EIN. There are certain business events when you are not required to get a new EIN, however, you will still have to notify the IRS if they happen:

When the new EIN is not required:

When you change the name of your business.
If the location of business changes or you open new locations.
If you run several businesses under one entity.
During a business merger, if the surviving corporation uses the existing EIN.
When a corporation declares bankruptcy.
When a C-Corporation selects a taxation option as an S-Corporation.
When an existing partnership changes its structure to an LLC classified as a partnership.
If an LLC already has an EIN and chooses to be taxed as a C-Corporation or as an S-Corporation.
If a single member LLC (with only one owner) is registered under state law, does not choose to be taxed as a C corporation or S corporation, has no employees, and excises tax liability.

How to apply for an EIN

You can apply for an EIN for your company online via IRS online services. You will be required to file an SS4 form, IRS does not charge any fees for this service.
However, filling out government forms can be confusing and if you make a mistake your application will be rejected and you will have to reapply. So, we recommend using a professional service to make sure your application is filled in correctly. BizStarter guarantees that your SS-4 form is filled in accordance with the IRS requirements so that your company can receive your EIN fast.
BizStarter is an independent business filing expert. We are not affiliated with the IRS or other branches of government.

What do I do if I cannot find my EIN?

If you have previously received an EIN for your business but have misplaced it, you can try searching for your number by doing the following:

You can check your inbox for the computer-generated notice issued by the IRS when you applied for your EIN. The confirmation is always sent to your email when you apply for an EIN and when you receive it.
If you opened a bank account for your business or applied for a business license, you have been asked to provide your EIN. So, you can contact your bank or a state agency that issued your business license and ask them for your EIN record.
You can call the Business and Specialty Tax Line at the IRS and ask them to search for your EIN.

Is it possible to cancel my EIN?

Once issued, EIN becomes the permanent Federal Taxpayer Identification Number for its business entity. Even if you may never use your EIN, it can never be reassigned to another business entity. Also, the IRS cannot cancel your EIN. If for instance, you want to close your business, you can contact the IRS and ask them to close your account, however, no one else can ever get your EIN. To close your account with the IRS, you will need to send a written request to the IRS office and explain the reasons for closing your business. You need to include such details about your business as your corporate name, type of business entity, address, and EIN.

What is the difference between EIN and SSN?

Employer Identification Number and Social Security Number are essentially very similar. The main difference between the two is that SSN is assigned to an individual, while EIN is assigned to a business entity. There are multiple forms of business entities, such as LLCs, sole proprietors, partnerships, C corporations, S Corporations, non-profit organizations, trusts, estates, government agencies, etc. All of them require an EIN to operate.
Individuals who are sole business owners or employers have an option of obtaining an EIN or using their Social Security Number for the purpose of reporting taxes withheld on behalf of their employees.

Can I get an EIN if I am not a US citizen?

Anyone can apply for an EIN for a company. So, even if you are not a US citizen and do not have an SSN, you can still apply for EIN. Your company registered in the US will be assigned an EIN, and not you as an individual

BizStarter can help you file and receive an EIN for your business.
We offer professional business filing services. We will prepare and submit your EIN application fast and accurately so you can receive your EIN as fast as within 24 hours.
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EIN (TAX ID)