Do you really want a Business Identification Number (EIN) for your small business? You may be expected to get an EIN for any number of reasons, such as:
1. Apply on the web.
Go to the IRS website and complete the application on the web. This is the fastest way to obtain an EIN because once the application is completed, the information is validated during the web-based session, and an EIN is issued immediately. You can then download, save, and print your EIN confirmation notice. It doesn't take extremely lengthy to do this, and the IRS screens are user-accommodating. A business entity's Employer Identification Number (EIN number) is also known as a Federal Tax Identification Number.
To insure you have all the information requested, you should print out Form SS-4 before starting the web-based application process and be sure you can answer all the questions on this form. You can get a copy of Form SS-4 at the IRS website.
Another important necessity - to use the web-based application, the principal officer (for corporations), general partner (for partnerships) or proprietor of the business (for sole proprietorships) must have a valid Taxpayer Identification Number (Social Security Number or Individual Taxpayer Identification Number). What does LLC mean in a company's day-to-day operations?
2. Apply by telephone.
Call the IRS Business and Specialty Tax Line at 800-829-4933 from 7:00 a.m. - 10:00 p.m., Monday through Friday. An IRS worker takes the information, assigns the EIN, and provides the number to an authorized individual via phone, so this is also a quick technique, gave you have all the information assembled beforehand.
3. Apply by FAX
Finish up Form SS-4 and fax it to the appropriate IRS fax number. To find the fax number for your state, visit the IRS website. In the event that you give a fax number, you will receive the new EIN via return fax inside four business days, otherwise it will be mailed to you. A C corporation, under United States federal personal tax law, is any corporation that is taxed separately from its owners.
4. Apply via Mail
Finish up Form SS-4 and mail it to the IRS. It takes four (4) weeks for the IRS to process a mailed Form SS-4, so obviously this is the least desirable strategy.
In the event that you're not inclined to tackle this task yourself, you can authorize an outsider (such as your accountant or CPA) to submit the EIN application for you. Check with your tax professional for details. S corporation (S corp) is a typical element decision for small businesses.
One final note. Regardless of how you apply (on the web, telephone, fax, snail-mail), it will take as long as two weeks before your EIN becomes part of the IRS' permanent records. You must wait until this occurs before you can record an electronic return, make an electronic payment, or pass an IRS Taxpayer Identification Number matching program.
