How to Get a Tax ID Number for Your Business

To get a tax ID number for your business, apply for an Employer Identification Number (EIN) directly with the IRS. It’s free, and the online application issues your number on the spot. Corporations, partnerships, multi-member LLCs, employers, and a few other categories are required to have one; sole proprietors with no employees can use their Social Security Number instead, though many apply anyway for privacy and banking reasons.

Do You Actually Need an EIN

The IRS requires an EIN if any one of these fits your situation:

  • You operate as a corporation, partnership, or multi-member LLC.
  • You have employees, even one.
  • You file excise tax returns (alcohol, tobacco, firearms, and similar).
  • You manage certain trusts, estates, or retirement plans, including IRAs.
  • You run a tax-exempt organization.1Internal Revenue Service. Employer Identification Number

If none of those apply, you’re likely a sole proprietor or a single-member LLC the IRS treats as a “disregarded entity.” Both can file federal taxes using the owner’s SSN on Schedule C, and the IRS doesn’t require a separate number.1Internal Revenue Service. Employer Identification Number

Even so, plenty of solo owners get an EIN voluntarily. Every W-9, vendor form, and business bank application asks for a taxpayer ID; without an EIN, that means handing your SSN to every client and supplier who asks. An EIN also lets you open a dedicated business bank account and start building business credit separately from your personal file.

What to Have Ready Before You Apply

The online application will time out if you leave it idle, so gather this first:

  • Your entity type: corporation, partnership, LLC, sole proprietorship, estate, trust, or nonprofit.
  • The legal name and mailing address of the entity, plus any trade name or DBA.
  • The responsible party’s full name, title, and SSN or ITIN. This must be a real person who controls the entity’s funds and assets, not another business.2Internal Revenue Service. Responsible Parties and Nominees
  • Your reason for applying: new business, hiring employees, banking, or another qualifying purpose.
  • Your principal business activity, such as retail, construction, or consulting.
  • The date the business started or acquired its assets.
  • The highest number of employees you expect over the next 12 months.

How to Apply

Online

The IRS online EIN application at irs.gov is the fastest route. You answer a series of questions about the entity, the responsible party, and your business, and the system issues the EIN on screen when you submit. You can download or print the confirmation notice immediately. Hours are Monday through Friday, 7 a.m. to 10 p.m. Eastern Time.3Internal Revenue Service. Get an Employer Identification Number

One rule catches people setting up several entities at once: the IRS issues only one EIN per responsible party per day. Space the applications out.4Internal Revenue Service. Understanding Your EIN

Fax

Complete Form SS-4 and fax it to 855-641-6935 if your business is in the 50 states or D.C. The IRS typically returns your EIN by fax within four business days.5Internal Revenue Service. Instructions for Form SS-4

Mail

Mail the completed Form SS-4 to Internal Revenue Service, Attn: EIN Operation, Cincinnati, OH 45999. Expect roughly four to five weeks.5Internal Revenue Service. Instructions for Form SS-4

Phone (International Applicants Only)

If your principal place of business is outside the United States and you can’t use the online system, call 267-941-1099, Monday through Friday, 6 a.m. to 11 p.m. Eastern Time.1Internal Revenue Service. Employer Identification Number

If a tax return or deposit comes due before your EIN arrives, write “Applied For” and the application date in the EIN space. Don’t drop your SSN into the EIN field on a business return.5Internal Revenue Service. Instructions for Form SS-4

After You Have Your EIN

The number is permanent. It belongs to the entity it was issued to and can’t be canceled or reused, though the IRS can deactivate it once you’ve filed every outstanding return and paid any tax owed.6Internal Revenue Service. If You No Longer Need Your EIN

A few things to know so you don’t get tripped up later. Routine changes like a new business name or address do not require a new EIN, but certain structural changes do: a sole proprietor incorporating, a partnership becoming a corporation, an LLC terminating and reforming as a different entity type, and similar shifts each trigger a new application.7Internal Revenue Service. When to Get a New EIN If your address or responsible party changes, report it on Form 8822-B; responsible-party changes are due within 60 days.8Internal Revenue Service. About Form 8822-B, Change of Address or Responsible Party – Business

State Tax IDs Are Separate

A federal EIN doesn’t satisfy state requirements. Most states that levy income tax, sales tax, or employer withholding taxes issue their own tax ID and require you to register separately. A retail shop collecting sales tax, for example, generally needs a state seller’s permit on top of the EIN. Registration processes and fees differ by state, so check your state’s revenue or taxation department, or use the SBA’s directory at sba.gov to find the right agency.