Before we dive in you may be asking yourself, why do I need an EIN?
An EIN is required for the following:
- To open a bank account in the name of your business
- For Federal and State tax purposes
- To hire employees for your company
What is an EIN?
A nine-digit number (for example, 12-3456789) assigned entities for tax filing and reporting purposes. An EIN is for use only in connection with a taxpayer’s business activities. It is essentially a social security number for your company.
How do I Apply for an EIN?
You can apply online for FREE. YES 100% free. I don’t want to fall victim to the paid services online.
Submit your application online at https://sa.www4.irs.gov/modiein/individual/index.jsp during IRS hours of operation (Monday to Friday, 7 a.m. to 10 p.m. Eastern Standard Time). Yes, the IRS would have an online form only available during business hours. This simple form requires the following information:
- Legal name of the business
- Legal structure of the business entity
- Trade name of the business, if different – this is that doing business as “DBA” you may be using
- Mailing address and street address (if these are different)
- County and State where the business owner is located
- Name of the “Responsible Party” (owner) and their SSN, ITIN or EIN
- Whether the company is an LLC and number of members
- Reason for applying
- Number of employees, if any
- Type of Business
If you know all of this information, then follow the steps on the IRS website, they have plenty of instructions and explanations along the way to guide you along the way!