Employer Identification Number (EIN) Form SS-4
Frequently Asked Questions
An Employer Identification Number (EIN) is also known as a Federal
Tax Identification Number, and is used to identify a business entity.
Generally, businesses need an EIN. You may apply for an EIN in various
ways, and now you may apply
online, which is the IRS preferred method for customers to apply for
and obtain an Employer ID Number, and get your EIN instantly
Do
you need an Employer Identification Number (EIN) ?
You will
need an EIN if you answer "Yes" to any of the following
questions.
-
Do you
have employees?
-
Do you
operate your business as a corporation or a partnership?
-
Do you
file any of these tax returns: Employment, Excise, or Alcohol,
Tobacco and Firearms?
-
Do you
withhold taxes on income, other than wages, paid to a non-resident
alien?
-
Do you
have a Keogh plan?
-
Are
you involved with any of the following types of organizations?
-
Trusts,
except certain grantor-owned revocable trusts, IRAs, Exempt
Organization Business Income Tax Returns
-
Estates
-
Real
estate mortgage investment conduits
-
Non-profit
organizations
-
Farmers'
cooperatives
-
Plan
administrators
How
to apply for an Employer Identification Number (EIN)
- Apply Online
The Internet
EIN application is the IRS preferred method for customers to
apply for and obtain an EIN. Once the application is completed, the
information is validated during the online session, and an EIN is
issued immediately. The online application process is available for
all entities whose principal business, office or agency, or legal
residence (in the case of an individual), is located in the United
States or U.S. Territories. The principal officer, general partner,
grantor, owner, trustor etc. must have a valid Taxpayer
Identification Number (Social Security Number, Employer
Identification Number, or Individual Taxpayer Identification Number)
in order to use the online application.
- Apply By EIN Toll-Free Telephone Service
Taxpayers can obtain an EIN immediately by calling the Business
& Specialty Tax Line at (800) 829-4933. The hours of operation
are 7:00 a.m. - 10:00 p.m. local time, Monday through Friday. An
assistor takes the information, assigns the EIN, and provides the
number to an authorized individual over the telephone.
- Apply By FAX
Taxpayers can FAX the completed Form
SS-4 (PDF) application to their state FAX number (see Where
to File - Business Forms and Filing Addresses), after ensuring
that the Form SS-4 contains all of the required information. If it
is determined that the entity needs a new Employer ID Number, one
will be assigned using the appropriate procedures for the entity
type. If the taxpayer's fax number is provided, a fax will be sent
back with the EIN within four (4) four business days.
- Apply By Mail
The processing timeframe for an EIN application received by mail is
(4) four weeks. Ensure that the Form
SS-4 (PDF) contains all of the required information. If it is
determined that the entity needs a new EIN, one will be assigned
using the appropriate procedures for the entity type and mailed to
the taxpayer.
Do
you need an NEW Employer Identification Number (EIN) ?
Generally,
businesses need a new EIN when their ownership or structure has changed.
Changing the name of your business does NOT require you to obtain a new
EIN. For answers to frequently asked questions about changing your EIN,
select your business classification. Corporation
| Partnership | Limited
Liability Company (LLC) | Estates |
Trusts
You will
be required to obtain a new EIN if any of the following
statements are true.
- You are subject to a bankruptcy proceeding.
- You incorporate.
- You take in partners and operate as a partnership.
- You purchase or inherit an existing business that you operate as a
sole proprietorship.
You will not be required to obtain a new EIN if any
of the following statements are true.
- You change the name of your business.
- You change your location and/or add other locations.
- You operate multiple businesses.
You will
be required to obtain a new EIN if any of the following
statements are true.
- A corporation receives a new charter from the secretary of state.
- You are a subsidiary of a corporation using the parent's EIN or
you become a subsidiary of a corporation.
- You change to a partnership or a sole proprietorship.
- A new corporation is created after a statutory merger.
You will not be required to obtain a new EIN if any
of the following statements are true.
- You are a division of a corporation.
- The surviving corporation uses the existing EIN after a corporate
merger.
- A corporation declares bankruptcy.
- The corporate name or location changes.
- A corporation chooses to be taxed as an S corporation.
- Reorganization of a corporation changes only the identity or
place.
You will
be required to obtain a new EIN if any of the following
statements are true.
- You incorporate.
- Your partnership is taken over by one of the partners and is
operated as a sole proprietorship.
- You end an old partnership and begin a new one.
You will not be required to obtain a new EIN if any
of the following statements are true.
- The partnership declares bankruptcy.
- The partnership name changes.
- You change the location of the partnership or add other locations.
- A new partnership is formed as a result of the termination of a
partnership under IRC section 708(b)(1)(B).
- 50 percent or more of the ownership of the partnership (measured
by interests in capital and profits) changes hands within a
twelve-month period (terminated partnerships under Reg. 301.6109-1).
An LLC is
an entity created by state statute. The IRS did not create a new tax
classification for the LLC when it was created by the states; instead
IRS uses the tax entity classifications it has always had for business
taxpayers: corporation, partnership, or disregarded as an entity
separate from its owner, referred to as a “disregarded entity.”
An LLC is always classified by the IRS as one of these types of taxable
entities. If a “disregarded entity” is owned by an individual,
it is treated as a sole proprietor. If the “disregarded entity” is
owned any any other entity, it is treated as a branch or division of its
owner.
Changes
affecting Single Member LLCs with Employees
For wages
paid on or after January 1, 2009, single member/single owner LLCs that
have not elected to be treated as corporations may be required to change
the way they report and pay federal employment taxes and wage payments
and certain federal excise taxes. On Aug. 16, 2007, changes to Treasury
Regulation Section 301.7701-2 were issued. The new regulations
state that the LLC, not its single owner, will be responsible for filing
and paying all employment taxes on wages paid on or after January 1,
2009. These regulations also state that for certain excise taxes,
the LLC, not its single owner, will be responsible for liabilities
imposed and actions first required or permitted in periods beginning on
or after January 1, 2008.
If a single member LLC has been filing and paying employment
taxes under the name and EIN of the owner, and no EIN was previously
assigned to the LLC, a new EIN will be required for wages paid on or
after January 1, 2009. If a single member LLC has been
filing and paying excise taxes under the name and EIN of the owner and
no EIN was previously assigned to the LLC, a new EIN will be required
for certain excise tax liabilities imposed and actions first required or
permitted in periods beginning on or after January 1, 2008.
You will be required to obtain a new EIN if any of
the following statements are true.
-
A new LLC with more than one owner (Multi-member LLC) is formed
under state law.
-
A new LLC with one owner (Single Member LLC) is formed under state
law and chooses to be taxed as a corporation or an S corporation.
-
A new LLC with one owner (Single Member LLC) is formed under state
law, and has an excise tax filing requirement for tax periods
beginning on or after January 1, 2008 or an employment tax filing
requirement for wages paid on or after January 1, 2009.
You will not be required to obtain a new EIN if any
of the following statements are true.
-
You report income tax as a branch or division of a corporation or
other entity, and the LLC has no employees or excise tax
liability.
-
An existing partnership converts to an LLC classified as a
partnership.
-
The LLC name or location changes.
-
An LLC that already has an EIN chooses to be taxed as a
corporation or as an S corporation.
-
A new LLC with one owner (single member LLC) is formed under state
law, does not choose to be taxed as a corporation or S
corporation, and has no employees or excise tax liability. NOTE:
You may request an EIN for banking or state tax purposes, but
an EIN is not required for federal tax purposes.
You will
be required to obtain a new EIN if any of the following
statements are true.
- A trust is created with funds from the estate (not simply a
continuation of the estate).
- You represent an estate that operates a business after the owner's
death.
You will not be required to obtain a new EIN if any
of the following statement is true.
- The administrator, personal representative, or executor changes
his/her name or address.
You will
be required to obtain a new EIN if any of the following
statements are true.
-
One
person is the grantor/maker of many trusts.
-
A
trust changes to an estate.
-
A
living or intervivos trust changes to a testamentary trust.
-
A
living trust terminates by distributing its property to a residual
trust.
You will
not be required to obtain a new EIN if any of the following
statements are true.
|
