How to Obtaining an Employer Identification Number (EIN)

Verify that your business needs an EIN and confirm you meet the application requirements before beginning the process. Example: Confirm you need an EIN if you have employees, operate as a partnership/corporation/LLC, have a Keogh plan, file certain tax returns like employment or excise taxes, or want to separate business and personal finances, verify you're the responsible party (person with control and authority over the entity) or their authorized representative, ensure your principal place of business is in the US for online applications (international businesses must apply by phone/fax/mail), gather your Social Security Number or Individual Taxpayer Identification Number (ITIN) as the responsible party, understand that you can only apply for one EIN per day regardless of application method, confirm your business entity is legally formed with your state before applying (for LLCs, corporations, partnerships), and determine if you need a new EIN due to business structure changes or if your existing EIN is still valid for your current needs.

Collect all necessary information and documents needed to complete the EIN application accurately and efficiently. Example: Obtain exact legal name of your business entity as registered with your state (for individuals, use your legal name exactly as it appears on your Social Security card), gather business trade name or DBA name if different from legal name, collect complete business address including street address (no PO Box for business address), determine responsible party's name, title, and SSN/ITIN (must be individual person, not business entity), identify your business structure type (sole proprietorship, partnership, LLC, corporation, etc.), prepare reason for applying (starting new business, hired employees, banking purposes, changed type of organization, etc.), gather state where business was legally organized/formed, determine county and state where principal business is located, identify date business started or acquired (for new businesses, use expected start date), and prepare principal business activity description and corresponding NAICS code for your industry type.

Select the most appropriate application method based on your location, urgency, and complexity of your business situation. Example: Use IRS Online EIN Assistant if your principal business location is in the US/territories and you need immediate results (available 24/7), choose phone application if your principal business is outside the US (call 267-941-1099, Monday-Friday 6am-11pm ET), select fax application if you cannot apply online but need faster processing than mail (fax to 855-641-6935), use mail application only if other methods aren't available (mail to Internal Revenue Service, Attn: EIN Operation, Cincinnati, OH 45999), consider third-party services only if you need additional business formation guidance or have complex situations requiring professional assistance, understand processing times: online is immediate, phone is immediate, fax takes 4 business days, mail takes 4 weeks, avoid websites that charge fees by verifying you're on official .gov domain, and prepare to complete online application in one session as it expires after 15 minutes of inactivity.

Fill out the EIN application form completely and accurately to avoid delays, rejections, or need for corrections. Example: Enter legal business name exactly as it appears on state formation documents (no abbreviations or variations), provide trade name/DBA only if you actually operate under a different name publicly, select correct business entity type from dropdown menu matching your state registration, enter responsible party information using their legal name and SSN/ITIN exactly as they appear on government documents, choose most specific reason for applying from provided options (be precise to avoid confusion), provide principal business activity description that clearly explains what your business does, select appropriate NAICS code for your industry (use IRS NAICS lookup tool if unsure), enter actual start date or expected start date if not yet operational, provide complete mailing address and business location address (use registered agent address if working from home), specify number of employees expected in next 12 months (enter 0 if none planned), and review all information carefully before submitting as corrections can be complicated.

Submit your completed application and secure proper documentation of your new EIN for immediate use and future reference. Example: Submit application through your chosen method ensuring all required fields are completed, receive your 9-digit EIN immediately if applying online or by phone (format: XX-XXXXXXX), print or save your EIN confirmation letter immediately as this is your official documentation, verify the EIN number is correct by reviewing all digits carefully, save confirmation letter in multiple locations (computer, cloud storage, physical copy), understand that you can use your EIN immediately for most business purposes including opening bank accounts, note that your EIN never expires and will remain with your business permanently, record your EIN in your business records and share with relevant parties (accountant, bank, etc.), avoid sharing your EIN publicly or with unauthorized parties to prevent identity theft, and understand that if you receive an EIN you didn't request, contact the IRS immediately as this could indicate fraud or unauthorized application.

Confirm your EIN is properly issued and immediately begin using it for essential business setup activities. Example: Verify your EIN format is correct (9 digits with hyphen: XX-XXXXXXX) and matches standard IRS formatting, test your EIN by checking it against IRS guidelines for valid EIN number ranges based on when and where it was issued, contact your bank to open business checking account using your new EIN and business formation documents, provide EIN to your accountant or tax professional for proper business tax setup, register for state tax accounts using your federal EIN as required by your state, set up payroll systems if you plan to hire employees, providing EIN for tax withholding purposes, obtain business credit cards and establish business credit profile using your EIN instead of personal SSN, register for EFTPS (Electronic Federal Tax Payment System) if you'll owe federal taxes, notify business insurance providers of your EIN for proper commercial coverage setup, and maintain secure records of when and how you use your EIN to track business activities for tax and legal purposes.

Learn about federal tax obligations that come with having an EIN and establish compliance procedures for ongoing business operations. Example: Understand that obtaining an EIN triggers expectation of tax return filing even if you have no income, research which federal tax forms you'll need to file based on your business entity type (1040 Schedule C for sole proprietors, 1120S for S-Corps, etc.), determine if you need to make quarterly estimated tax payments based on expected business income, learn about employment tax obligations if you hire employees (Form 941, unemployment taxes, workers compensation), register for state and local business taxes as required by your jurisdiction, understand that business tax ID does not change your personal tax obligations but separates business reporting, set up bookkeeping system to track income and expenses for tax reporting purposes, research business deductions available to your entity type to maximize tax benefits, establish relationship with qualified tax professional if your business has complex tax situations, and create calendar reminders for important tax deadlines including quarterly payments and annual returns to avoid penalties and interest charges.

Establish systems to protect your EIN from fraud and ensure proper ongoing management of your federal tax identification. Example: Store EIN confirmation letter in secure location with other important business documents, limit access to your EIN only to authorized personnel and legitimate business purposes, monitor your business credit reports regularly for unauthorized use of your EIN, never provide your EIN to unsolicited callers or emails requesting tax information, understand that your EIN cannot be canceled but can be deactivated by the IRS if business closes, keep record of when and how you provide your EIN to third parties for tracking purposes, report suspected EIN theft or misuse to IRS using Business Identity Theft Affidavit if necessary, update responsible party information with IRS using Form 8822-B if ownership or control changes, maintain current business address with IRS to ensure you receive important tax notices and correspondence, and create emergency procedures for handling suspected EIN compromise including immediate notification of banks, creditors, and tax authorities to prevent fraudulent use of your business identification number.